House Panel Claims China Subsidizes Fentanyl Production

China is fueling the fentanyl crisis in the US by directly subsidizing the manufacturing of materials used by traffickers to make the drug outside the country, according to a report released by a special House committee focused on countering the Chinese government, as reported by Kevin Freking for the Associated Press (AP).

Most overdose deaths in the US continue to be linked to fentanyl and other synthetic opioids.

Committee investigators said they accessed a government website that revealed tax rebates for the production of specific fentanyl precursors as well as other synthetic drugs as long as those companies sell them outside of 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 Rep. Mike Gallagher, the Republican chairman of the special House committee.

"It wants the chaos and devastation that has resulted from the epidemic.”

In November, President Joe Biden and Chinese President Xi Jinping announced a resumption of bilateral cooperation on counternarcotics 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 report’s findings were released Tuesday as part of a hearing examining China’s role in the fentanyl epidemic in the US.

Most overdose deaths in the US continue to be linked to fentanyl and other synthetic opioids. Inexpensive fentanyl is increasingly cut into other drugs, often without the buyers’ knowledge.