CJNG expands its criminal empire with fuel theft and complicity in Pemex

The Cártel Jalisco Nueva Generación (CJNG) has extended its operations beyond drug trafficking, now also focusing on fuel theft and smuggling, known as "huachicol". This activity has become the cartel's second source of income, only behind drug trafficking.

According to the United States Department of the Treasury, the CJNG operates through a sophisticated structure involving front companies and corrupt PEMEX employees. They extract crude oil and gasoline, which is then smuggled into Texas.

Front companies and smuggling routes

Investigations have identified two Mexican companies, Servicios Logísticos Ambientales and Grupo Jala Logística, as key pieces in this criminal network. Both are linked to César Morfín Morfín, alias "El Primito", leader of a CJNG cell in Tamaulipas.

These companies transport the stolen fuel using false documentation, labeling it as "used oil" or "hazardous material," which facilitates its border crossing. Once in the United States, the product is sold to intermediaries, generating profits of up to 5 million dollars per shipment.

CJNG expands its criminal empire with fuel theft and complicity in Pemex

Economic impact and international sanctions

Fuel smuggling strengthens the CJNG and generates million-dollar losses for Pemex. It is estimated that this network has cost the Mexican government billions of dollars in lost revenue.

In response, the U.S. Department of the Treasury has imposed sanctions against individuals and entities involved, freezing assets and prohibiting transactions with U.S. citizens.

CJNG expands its criminal empire with fuel theft and complicity in Pemex

Binational collaboration and persistent challenges

Mexico and the United States have intensified their cooperation to combat huachicol, implementing joint operations and sharing financial intelligence. However, the persistence of these criminal networks exposes the structural weakness of the Mexican state.

Corruption in Pemex and the lack of effective oversight remain critical obstacles. The Morena regime has failed to contain this criminal activity, which directly affects state resources and evidences a permissiveness that favors organized crime.

CJNG expands its criminal empire with fuel theft and complicity in Pemex