By Jason Tayer
Now that the coronavirus has essentially inhabited every region around the world, countless businesses and industries have taken major financial hits. Not only have legal industries been suffering from the pandemic, but underground, illegal trade systems have also been experiencing declines. Specifically, drug cartels, illicit powers over the production and sale of narcotics, traveling between the Mexico-U.S. border are undergoing a significant collapse stage.
These drug cartels are primarily suffering from a lack of resources along with means to make drugs in the production phase. According to the Washington Post, many of the chemical precursors used to manufacture these narcotics are supplied by China, and specifically from the city of Wuhan. With previous, open trade systems halting and borders closing over the past 2-3 months, it is no surprise that global and local drug trade has been negatively affected. Even within different Latin American cities and countries, drug transportation is slowing at considerable rates. While drug cartels slow production, criminal investigators can now take advantage of this time to try to shut down many drug cartels.
Government officials may gain more traction than ever in terms of seizing drug money and honing in on busting certain drug cartels. According to NBC News, cash seizures have more than doubled this year around the Los Angeles area. Again, without as much contact and access to China’s criminal gangs, many Latin American drug cartels are less able to launder money and utilize bank wires in a clean, less traceable manner.
On the contrary, the National Post suggests that stress and anxiety within the U.S. are actually leading to increased demand for narcotics such as meth and fentanyl. This increasing demand is outgrowing meth withdrawal treatment programs, and obviously not meeting the current supply of these drugs, so the industry is subsiding from both sides.
