When President Xi Jinping visited San Francisco recently, his top aides delivered some exciting news to U.S. officials: Beijing had taken action against 25 Chinese companies linked to supplying chemicals used in the illegal fentanyl trade, as reported by a knowledgeable White House official.
This move was seen as an indication that Beijing is committed to intensifying cooperation against narcotics following over a year of diplomatic efforts which faced resistance from the Chinese officials. After President Biden and Xi met, the White House announced that China has agreed to reestablish cooperation in the fight against narcotics with the U.S., while also clamping down on chemicals flowing to secret fentanyl labs abroad.
Although the agreement marks a political win for Biden and his efforts to combat the nation’s ongoing drug crisis, experts remain skeptical about whether China’s commitment will have a long-term impact on the global supply chain for illicit drugs. They question whether China will truly follow through, or if the country is even capable of eradicating shady players within its vast chemical industry who utilize encrypted communications and cryptocurrency while supplying precursor chemicals to Mexican drug cartels.
Concerns have been raised about the possibility of other synthetic drugs emerging as substitutes for fentanyl and the idea that the sales of precursor chemicals could simply move to other countries like India.
The Biden administration has made efforts to combat the country’s drug crisis a priority by investing hundreds of millions of dollars in community support systems and increasing education campaigns. However, the death toll continues to rise, with more than 110,000 deaths recorded in the U.S. in 2022, a large portion attributed to synthetic opioids such as illicit fentanyl.
Fentanyl made in secret labs in Mexico has long since surpassed prescription painkillers and heroin as the primary cause of drug-related deaths in America. The drug issue has garnered attention from both Democrats and Republicans, with the GOP criticizing Biden’s record.
In response, the White House says Beijing has issued a notice to the industry alerting to laws and regulations surrounding the sales of precursor chemicals and has started enforcing these laws. As a result, certain companies have ceased operations and had some international payment accounts blocked. China has also started sharing intelligence with an international board that monitors drug threats.
While the cooperation between the U.S. and China may appear to be a significant step forward, analysts say it is important to remain cautious and note the possibility of China halting its cooperation if it doesn’t feel it’s benefiting on a broader political scale.
Ultimately, China’s mammoth chemical and drug industries are fragmented with many small companies operating on thin margins, making it difficult for regulators to detect the diversion of precursor chemicals. Although the U.S. has made strides in targeting Chinese companies involved in the illegal drug trade, it remains a complex and ongoing issue that will require continued international cooperation to effectively tackle.
