Outrage at White House’s ‘Dismissive’ Attitude Toward Damning Report on China Subsidizing Fentanyl Production  

‘I am appalled,’ one congressman exclusively tells the Sun of the White House’s response to a congressional report about the Chinese government directly subsidizing the export of fentanyl materials. The administration’s ‘weak stance’ on the issue is ‘unacceptable,’ he says.

Mamta Popat/Arizona Daily Star via AP
A display of the meth and fentanyl seized by U.S. Customs and Border Protection officers at the Nogales Port of Entry in Arizona. Mamta Popat/Arizona Daily Star via AP

A congressman, speaking exclusively to the Sun, is expressing outrage over the White House’s dismissal of a congressional investigative report finding that the Chinese government is actively incentivizing and promoting the production of fentanyl, which has greatly exacerbated America’s opioid epidemic.

The House Select Committee On The Strategic Competition Between The United States And The Chinese Communist Party released a lengthy investigative report earlier this year unveiling new evidence that Communist China — already acknowledged as a primary source of fentanyl precursors — is also directly fueling the exports of “illicit fentanyl materials” through government subsidies in the form of tax rebates to companies that produce them for use outside of China, among other findings. 

Fentanyl is produced for legitimate use in hospitals, but the precursor chemicals often end up in the hands of Mexican drug cartels and other miscreants who manufacture illegal fentanyl which is smuggled into America. Chinese chemical manufacturers have been accused of failing to employ safeguards to keep their wares out of criminals’ clutches. The congressional report even accuses China of warning targets of investigations when the American government sends the Chinese government formal requests for assistance.

The White House, when asked by Politico about the report over the summer, said that while it was “aware” of the report, it did “not have any information to support that finding that the PRC is actually subsidizing these exports” and that “there’s a need for an ongoing conversation about that.”

A homeless man, 24, smokes fentanyl in Seattle, Washington. John Moore/Getty Images

“I am appalled that the Administration can be so dismissive about the Select Committee’s findings connecting the Chinese Communist Party to America’s fentanyl crisis,” a congressman serving on the Select Committee, Neal Dunn, who is also a medical doctor, tells the Sun. “Our months-long investigation was incredibly thorough and uncovered that the PRC provides grants to companies openly trafficking illicit fentanyl materials and allows the open sale of fentanyl precursors on the extensively monitored PRC internet, among other disturbing findings.”

The White House’s “dismissive” stance on the report comes as the Biden administration’s own intelligence agencies have confirmed the report’s findings about the Chinese government directly subsidizing fentanyl production and export, a source close to the committee tells the Sun. “The Select Committee’s fentanyl report has been briefed to several law enforcement and intelligence agencies that have confirmed the evidence,” the source says. 

The White House has not responded to a request from the Sun for further comment. In recent months, the White House has been touting the progress it has made as it seeks “bilateral cooperation on counternarcotics” with Chinese President Xi. President Biden’s national security advisor, Jake Sullivan, wrapped up a trip to Beijing at the end of August to “maintain channels of communication” with China, and a call between Mr. Biden and Mr. Xi is expected in the coming weeks. 

“The Administration’s weak stance on China and the fentanyl epidemic is unacceptable,” Dr. Dunn says, adding that instead of “equivocating,” the Biden administration should work with the Select Committee to take “swift action that would hold China accountable and protect American lives.”

Fentanyl supplies seized that have been linked to China, Brookings Institution

The urgency of addressing the source of the fentanyl supply is growing daily as the American population faces a devastating death toll from fentanyl overdoses.

“The fentanyl crisis is one of the most horrific disasters that America has ever faced. On average, fentanyl kills over 200 Americans daily, the equivalent of a packed Boeing 737 crashing every single day,” as the Select Committee’s report notes. “Fentanyl is the leading cause of death for Americans aged 18-45 and a leading cause in the historic drop in American life expectancy.”

The Select Committee’s investigation, noting that “nearly all fentanyl precursors that are used to manufacture illicit fentanyl worldwide” are produced by Chinese companies, conducted a deep dive into Chinese websites and government documents, undercover operations, and consultations with private and public sector experts — and found that the Chinese government is directly fueling and economically benefiting from the fentanyl crisis in multiple ways. 

In addition to giving tax rebates, the Chinese government gave monetary grants to companies “openly trafficking illicit fentanyl materials and other synthetic narcotics,” the report notes. The Chinese government also protects drug traffickers from being legally targeted or investigated, “holds ownership interest in several PRC companies tied to drug trafficking,” and allows the “open sale of fentanyl precursors and other illicit materials on the extensively monitored and controlled PRC internet,” the report found.

A volunteer cleans up needles used for drug injection that were found at a homeless encampment at Everett, Washington.
A volunteer cleans up needles used for drug injection that were found at a homeless encampment at Everett, Washington. AP/Ted S. Warren, file

China’s ruthless approach to opioid addiction on its own soil has been largely consistent since the Opium Wars almost 200 years ago, and the House report found stark differences between the treatment of drugs domestically versus internationally: “the PRC aggressively prosecutes domestic drug trafficking but leaves illicit drug exports untouched,” the report reads. “The issue is not that the PRC government does not want to use its security apparatus to investigate and prosecute drug trafficking. It does do so routinely, but only in cases that impact its domestic population,” it notes, adding that the government prosecutes and even executes internal drug traffickers. 

“The PRC is controlling this from the very top. It’s just no question,” a retired special agent of the Drug Enforcement Agency who specialized in targeting narcotic supply chains overseas, Michael Brown, tells the Sun. “We know because China is the most security-conscious, surveillance-conscious country in the world, every time you log on to a computer or China, you have to put your ID in.”

China “knows and is monitoring” all of the communication between the chemical companies yet does nothing, he says. 

“That report clearly identifies, establishes, that the PRC is actively involved in supporting what they know is killing 100,000 Americans every year,” he says. “We can expect no support from China.” 

A concerted effort by San Francisco authorities to crack down on fentanyl dealers and open air drug use has yielded hundreds of arrests and seizures but the problems remain persistent.
In San Francisco, a concerted effort by authorities to crack down on fentanyl dealers and open air drug use has yielded hundreds of arrests and seizures but the problems are persistent. Anadolu Agency via Getty Images

The congressional report brought to light what the DEA has suspected for years about the Chinese government, he says. 

“There have been allegations for years. The DEA obviously can’t come out publicly and say, but I can tell you, having worked on the inside, there were clear indications through our investigation that the Chinese government was well aware of these activities,” he says. 

When asked about the White House’s response, Mr. Brown says that “they’re not admitting basically that the report is legitimate” because the Biden administration is relying on China for its broader goals, he said, referring to controversial Biden administration environmental initiatives. 

“Is this administration going to chastise China and jeopardize the bigger agenda of green energy, lithium batteries? They need China in that equation to support the green energy deal — without China, it doesn’t work,” he says. “China is the number one strategic threat to the United States, but yet we have an administration that’s working with China.”


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