WEBVTT 00:01.933 --> 00:03.966 align:left position:10% line:77% size:80% JOHN YANG: This past week, the Biden administration moved against China 00:03.966 --> 00:08.033 align:left position:10% line:77% size:80% based firms and executives blamed for importing chemicals used to make the 00:08.033 --> 00:12.933 align:left position:10% line:77% size:80% synthetic opioid fentanyl which is up to 50 times stronger than heroin. It's part 00:12.933 --> 00:17.933 align:left position:10% line:71% size:80% of the government's effort to disrupt the global illegal drug trade and stem the opioid epidemic. 00:19.833 --> 00:23.533 align:left position:10% line:77% size:80% Ali Rogin spoke with Vanda Felbab-Brown of the Brookings Institution. 00:25.466 --> 00:27.800 align:left position:10% line:77% size:80% ALI ROGIN: Vanda Felbab-Brown, thank you so much for joining us. Tell us about how 00:27.800 --> 00:32.800 align:left position:10% line:77% size:80% Chinese entities are working with Mexican drug cartels to produce and distribute fentanyl. 00:34.833 --> 00:36.900 align:left position:20% line:71% size:70% VANDA FELBAB-BROWN, The Brookings Institute: Well, thank you for having me. China is the 00:36.900 --> 00:41.533 align:left position:10% line:77% size:80% principal source of precursor chemicals from which Mexican cartels synthetize fentanyl. So 00:43.566 --> 00:48.466 align:left position:20% line:71% size:70% various Chinese brokers individuals, sometimes larger family based networks and companies 00:50.833 --> 00:55.800 align:left position:20% line:71% size:70% produce and sell these precursors to Mexico often very knowingly enabling the cartels in 00:58.733 --> 01:03.700 align:left position:10% line:71% size:80% synthesizing fentanyl. They even provide recipes to the cartels how to make fentanyl out of them. 01:05.566 --> 01:08.233 align:left position:10% line:77% size:80% JOHN YANG: The Biden administration has made very clear that the actions 01:08.233 --> 01:12.400 align:left position:10% line:77% size:80% that they've been taking over the past few months are part of a very deliberate effort 01:12.400 --> 01:17.400 align:left position:10% line:77% size:80% to stop the global fentanyl trade. Why is the U.S. stepping up these actions now? 01:19.433 --> 01:22.533 align:left position:10% line:77% size:80% VANDA FELBAB-BROWN: Well for well over a year we have had no meaningful cooperation 01:22.533 --> 01:25.266 align:left position:10% line:83% size:80% from the government of China and frankly we have 01:25.266 --> 01:29.900 align:left position:10% line:77% size:80% had minimal and in adequate cooperation from the government of Mexico as well. 01:29.900 --> 01:34.900 align:left position:10% line:77% size:80% In 2018, 2019, we had the height of China's cooperation in trying to stop 01:36.933 --> 01:41.466 align:left position:10% line:77% size:80% the flows of precursors and fentanyl out of China. At the time China scheduled the 01:43.433 --> 01:47.700 align:left position:10% line:77% size:80% entire class of fentanyl type drugs as a scheduled substance, requiring 01:49.766 --> 01:54.100 align:left position:10% line:77% size:80% that permits are obtained for the production of fentanyl, class drugs and their exports. 01:56.466 --> 02:00.133 align:left position:10% line:83% size:80% And that's changed the patterns of the illegal trade. Instead of 02:00.133 --> 02:03.900 align:left position:20% line:77% size:70% fentanyl being shipped directly to the United States, these precursor 02:03.900 --> 02:08.900 align:left position:10% line:77% size:80% chemicals would now be shipped to Mexican cartels that sanitize fentanyl from it. 02:10.933 --> 02:14.533 align:left position:20% line:71% size:70% But after that China has significantly scaled back cooperation. Why? Because it had expected 02:16.733 --> 02:20.600 align:left position:10% line:71% size:80% that the Trump administration would lessen the economic tariffs on Chinese goods. And then it 02:23.133 --> 02:26.533 align:left position:10% line:71% size:80% expected that the Biden administration will take a softer geostrategic approach to China neither 02:28.500 --> 02:33.033 align:left position:10% line:77% size:80% happened. In fact, we have seen significant increase in tensions between the two countries, 02:34.800 --> 02:39.266 align:left position:10% line:77% size:80% China in general subordinates its law enforcement cooperation with 02:39.266 --> 02:44.000 align:left position:10% line:77% size:80% other countries to its other objectives. And with countries where the economic or 02:44.000 --> 02:49.000 align:left position:10% line:77% size:80% geostrategic relationship is not what it wants, it weakens or altogether suspense cooperation. 02:50.966 --> 02:54.533 align:left position:10% line:77% size:80% The Biden administration has attempted to redress this lack of cooperation in 02:56.500 --> 02:59.666 align:left position:10% line:77% size:80% several ways. One is the set of prosecutions that we are seeing. They found an important 03:01.633 --> 03:05.433 align:left position:10% line:77% size:80% way to get around the fact that many of the precursors being sold and legal 03:07.433 --> 03:11.066 align:left position:20% line:71% size:70% nonscheduled chemicals. It has also engaged the Chinese government when Secretary Blinken 03:13.066 --> 03:16.266 align:left position:10% line:77% size:80% was in China in the spring, the issue of fentanyl and counter narcotics came up. 03:16.266 --> 03:19.833 align:left position:10% line:83% size:80% And that seemed to be a hopeful moment when Chinese officials, 03:19.833 --> 03:24.833 align:left position:10% line:77% size:80% Chinese interlocutors started looking back and reviving the possibility of a joint 03:26.666 --> 03:30.700 align:left position:10% line:77% size:80% fentanyl working group. Certainly seeing that move ahead would be important in July 03:32.633 --> 03:36.200 align:left position:10% line:77% size:80% organizing the first summit of a global coalition against the threat of synthetic 03:36.200 --> 03:41.200 align:left position:10% line:77% size:80% drugs. And hopefully this joint international effort to put pressure on China will pay off. 03:43.100 --> 03:45.733 align:left position:10% line:77% size:80% ALI ROGIN: This is also affecting the U.S. relationship with Mexico. 03:45.733 --> 03:49.633 align:left position:10% line:77% size:80% Attorney General Garland and other senior U.S. officials were in Mexico this week 03:49.633 --> 03:53.866 align:left position:10% line:77% size:80% talking about this issue. What is the role of the Mexican government then? 03:53.866 --> 03:58.366 align:left position:10% line:71% size:80% VANDA FELBAB-BROWN: Well, unfortunately, just as with China, we also have had really inadequate 03:58.366 --> 04:03.333 align:left position:10% line:77% size:80% cooperation from the government of Mexico ever since President Andres Manuel Lopez 04:05.433 --> 04:09.033 align:left position:20% line:71% size:70% Obrador came to office in Mexico, so much so that even earlier this year, in the spring, 04:11.000 --> 04:15.300 align:left position:10% line:77% size:80% we have had President Lopez Obrador making claims that there is no fentanyl produced 04:15.300 --> 04:20.300 align:left position:10% line:71% size:80% in Mexico, even though we know that Mexico is the predominant place that fentanyl sympathized (ph). 04:22.333 --> 04:27.100 align:left position:10% line:77% size:80% In recent weeks, there has been more effort on the part of the Mexican government to 04:29.433 --> 04:32.300 align:left position:10% line:71% size:80% restart at least some cooperation. And the meeting that you mentioned between Mexican 04:34.333 --> 04:37.800 align:left position:10% line:77% size:80% officials and high level U.S. officials is part of that spirit to see whether 04:37.800 --> 04:42.800 align:left position:10% line:77% size:80% we could get toward some more meaningful corporations that have been some progress. 04:44.733 --> 04:47.900 align:left position:10% line:77% size:80% And most importantly, the Mexican government extradited Ovidio Guzman, 04:47.900 --> 04:52.900 align:left position:10% line:77% size:80% one of the leaders of the Sinaloa Cartel to the United States, just in recent days. 04:54.933 --> 04:58.700 align:left position:10% line:77% size:80% But we really need to get to a space where U.S. law enforcement agents can in the field operate 05:00.666 --> 05:05.333 align:left position:10% line:77% size:80% with Mexican counterparts. We don't have that right now. We need to also get to a 05:05.333 --> 05:10.333 align:left position:20% line:71% size:70% state where the Mexican government is far more willing to confront the cartels than assaults. 05:12.300 --> 05:16.300 align:left position:10% line:77% size:80% ALI ROGIN: What impact do these announcements actually have on the global fentanyl trade? 05:16.300 --> 05:21.300 align:left position:10% line:71% size:80% VANDA FELBAB-BROWN: I do hope that at minimum, they will help shrink the pool of actors in China 05:23.800 --> 05:27.066 align:left position:10% line:71% size:80% who are willing to violate laws, at least U.S. laws and international laws. If instead of having 05:29.466 --> 05:33.666 align:left position:10% line:71% size:80% thousands of potential suppliers, we shrink through these indictments through deterrence, 05:35.600 --> 05:39.433 align:left position:10% line:77% size:80% those who are willing to supply to hundreds or tens. That's an important accomplishment. 05:41.433 --> 05:45.866 align:left position:10% line:77% size:80% Your question touches at the core of what comes in narcotics efforts have been grappling with 05:47.933 --> 05:51.066 align:left position:10% line:77% size:80% over the past decades the so called balloon effect, that as long as demand persists, 05:53.100 --> 05:56.333 align:left position:10% line:77% size:80% as someone will step in even if production is suppressed in one place, or precursor chemicals 05:58.433 --> 06:02.633 align:left position:20% line:71% size:70% are suppressed in one place, they will move to another place. That will be the reality with us. 06:04.266 --> 06:08.833 align:left position:20% line:77% size:70% But the answer is not to simply give up and allow unmitigated supply to 06:08.833 --> 06:13.833 align:left position:10% line:77% size:80% come. The lesser the supply, the more the supply is in places where we have 06:15.733 --> 06:20.433 align:left position:10% line:77% size:80% good cooperation when network networks can be dismantled, the better off we are. 06:22.466 --> 06:25.800 align:left position:10% line:77% size:80% ALI ROGIN: Vanda Felbab-Brown with the Brookings Institution. Thank you so much for your time. 06:25.800 --> 06:27.000 align:left position:20% line:83% size:70% VANDA FELBAB-BROWN: Thank you for having me.