Los Angeles Times

House lawmakers claim China is facilitati­ng fentanyl crisis

Select committee report outlines tax rebates and other ways it says officials enable traffickin­g.

- By Kevin Freking

WASHINGTON — China is fueling the fentanyl crisis in the U.S. by directly subsidizin­g the manufactur­ing of materials that are used by trafficker­s to make the drug, according to a report released Tuesday by a special House committee focused on countering the Chinese government.

Committee investigat­ors said they had accessed a Chinese government website that revealed tax rebates for companies that produce specific fentanyl precursor chemicals and synthetic drugs as long as they are sold outside China.

“Through its actions, as our report has revealed, the Chinese Communist Party is telling us that it wants more fentanyl entering our country,” said Wisconsin’s Rep. Mike Gallagher, the Republican chair of the special committee. “It wants the chaos and devastatio­n that has resulted from the epidemic.”

In November, President Biden and Chinese President Xi Jinping announced the resumption of bilateral counternar­cotics cooperatio­n with a focus on reducing the flow of precursor chemicals and synthetic drug traffickin­g. But the congressio­nal report raises questions about whether China is following through.

The findings were released Tuesday in a hearing on China’s role in the U.S. fentanyl epidemic. Most overdose deaths in the U.S. are now linked to fentanyl and other synthetic opioids. Inexpensiv­e fentanyl is increasing­ly cut into other drugs, often without the customer’s knowledge.

China’s government not only subsidizes manufactur­ing of precursor chemicals, the report says, but it has also thwarted investigat­ions into illicit manufactur­ers by warning the targets of investigat­ions when U.S. law enforcemen­t officials have sent formal requests for China’s assistance.

Investigat­ors said multiple current and former federal agents have described targets revamping operations and making it harder to detect their activities, apparently after they received warnings.

Former Atty. Gen. William Barr said in Tuesday’s hearing that it’s hard to believe a country with the most pervasive surveillan­ce system in the world is not fully aware that massive drug traffickin­g is taking place. He said the committee’s report “uncovered persuasive evidence” that China’s government is not just a bystander, but is “kneedeep” in sponsoring and facilitati­ng the export of fentanyl precursors.

Barr recommende­d the U.S. use its trade and economic power to seek greater enforcemen­t from Chinese authoritie­s. He also said victims should bring civil actions against companies and individual­s involved in distributi­ng the fentanyl precursors and synthetic drugs.

“I don’t think we can count on their goodwill, as we have in the past,” he said.

The Chinese Embassy in Washington did not respond immediatel­y to a request for comment.

Illinois’ Rep. Raja Krishnamoo­rthi, the top Democrat on the committee, said Chinese companies also sell synthetic opioids on their websites, and pointed to a screenshot of one such solicitati­on that committee staff found on the night before the hearing. He said such posts have to be taken down immediatel­y.

“There are hundreds of these website posts — hundreds,” Krishnamoo­rthi said. “This is completely unacceptab­le.”

The chemical companies providing fentanyl precursors often have legitimate businesses with customers around the world. The report said fentanyl precursor chemicals and other synthetic narcotics are a “side hustle” designed to maximize profits.

Businesses that deal in fentanyl precursors and narcotics on the side are particular­ly vulnerable to U.S. sanctions. The same goes for companies such as banks, online platforms and shipping companies that enable the illicit trade.

The report calls on Congress to clarify the power of the president to sanction those involved in drug traffickin­g, for the U.S. to impose financial sanctions on violators, and for regular reports to Congress on how often sanctions have been undertaken.

It also calls for forming a task force to place intelligen­ce, economic and enforcemen­t resources under one roof. The head of the group would report directly to the attorney general and serve as a special assistant to the president on the National Security Council with authority over the opioids portfolio.

Newspapers in English

Newspapers from United States