The Trump administration announced sweeping new sanctions Monday targeting an illicit fentanyl operation tied to the Sinaloa Cartel, intensifying its crackdown on narco-terrorism and the foreign drug pipelines fueling America’s overdose crisis.
The Treasury Department’s Office of Foreign Assets Control (OFAC) designated eight Mexican nationals and 12 Mexico-based companies for their involvement in trafficking fentanyl precursors on behalf of the Sinaloa Cartel’s notorious Los Chapitos faction. The move blocks all U.S.-based assets of those named and bans Americans from doing business with them.
“Over 500,000 Americans have died of fentanyl poisoning,” said Undersecretary for Terrorism and Financial Intelligence John K. Hurley. “President Trump has made clear that stopping the deadly flow of drugs into our country is a top national security priority. Under Secretary Bessent’s leadership, the Treasury Department is committed to dismantling the complex financial networks that support these terrorist organizations.”
The administration has officially designated the Sinaloa Cartel as a Foreign Terrorist Organization — a major legal shift that opens the door for aggressive financial and legal tools typically used in counterterrorism cases.
At the center of the new sanctions is Sumilab, a Mexican company accused of shipping precursor chemicals used to manufacture illicit fentanyl and methamphetamine. Among those sanctioned were key individuals tied to the company — Jorge Luis Favela Lopez, Francisco Favela Lopez, Victor Andres Favela Lopez, and Martha Emilia — whom officials say operated a shadowy network supplying materials to cartel-linked labs across Mexico.
According to Treasury, the Favela Lopez family and their business empire were “responsible for supplying and distributing precursor chemicals and lab equipment to Sinaloa Cartel-affiliated chemical brokers and lab operators.” Seven other companies tied to the family were sanctioned, including Agrolaren, Viand, Favelab, Qui Lab, and Storelab.
Another key figure named in Monday’s action was Martha Emilia Conde Uraga, described by U.S. officials as a “longtime” chemical broker deeply embedded within the Sinaloa Cartel’s Los Chapitos wing. She reportedly operated out of Culiacán and used fraudulent invoices and concealment tactics to funnel chemicals to cartel-controlled labs.
“Utilizing fraudulent invoicing and other concealment methods, Conde Uraga supplies precursor chemicals to drug traffickers and lab operators working for the Los Chapitos faction of the Sinaloa Cartel,” the department stated.
The sanctions come with major financial consequences. All property and assets under U.S. jurisdiction belonging to the designated individuals and companies are now blocked. Additionally, any entity that is 50% or more owned — directly or indirectly — by the sanctioned individuals is also subject to the same restrictions.
The action follows a growing pattern of aggressive moves by the Trump administration, which has prioritized the fentanyl crisis as both a national health emergency and a threat to U.S. sovereignty. In recent months, the administration has deployed military resources along the southern border, expanded surveillance of drug corridors, and increased cooperation with Mexican authorities under pressure to rein in cartel operations.
Officials say more sanctions and criminal indictments are coming.
“This is just the beginning,” said a senior Treasury official. “We are systematically targeting the financial lifelines of these cartels. If you support fentanyl production, you are on notice — your assets will be frozen, and your days of hiding are numbered.”
The post Trump Treasury Slaps Sanctions on Sinaloa Cartel Fentanyl Network: ‘Terrorist Organizations Will Be Dismantled’ appeared first on Real News Now.
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