Chinese, Mexican crime rings taking over legal marijuana trade

  • Crime rings are taking advantage of legalized states
  • They are buying up land in states where marijuana is legal
  • It has become a multi-billion-dollar business

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(NewsNation) — Chinese and Mexican transnational criminal organizations are trafficking marijuana to states where recreational use is still illegal, keeping the black market alive and booming.

But this isn’t just about small grow operations anymore.

According to the DEA’s 2025 National Drug Threat Assessment, over the last 10 years, Chinese and Mexican transnational criminal organizations have turned the legalization movement into a multi-billion-dollar black market, exploiting loose state laws to set up illegal grows and traffic high-potency marijuana across the country.

Criminal groups buying land to cultivate marijuana: DEA

Criminal groups are buying up land — indoor and outdoor — to cultivate marijuana far beyond legal limits in Oklahoma and California, among others.

According to a former California Wildlife Department lieutenant, many of these operations rely on trafficked, undocumented immigrants to work the grows, often under threat.

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“[They are] bringing in Mexican nationals, bringing in Chinese immigrants as well, and basically bringing them in as the labor force within these bureau sites, promising them payment,” retired Lt. John Nores, formerly of the California Department of Fish and Wildlife, told NewsNation.

“Not paying these guys, kind of extorting and keeping them around, really not really against their will,” Nores added.

Illegal growers typically operate in states where marijuana is legal: DEA

In 2023, NewsNation embedded with the Riverside County Sheriff’s Marijuana Eradication Team, targeting Chinese illegal grow sites in the deserts, where neighbors were too frightened to leave their property and deputies were outnumbered by organized criminals.

The DEA says these illegal growers often operate in states where marijuana is legal but skip licensing or use falsified documents. If they are caught, little to no prison time is common, allowing them to pack up and move.

In 2024, Oklahoma alone accounted for two-thirds of the DEA’s total marijuana seizures. But that doesn’t mean all the drugs originated there; many were caught in transit, being moved from grow states to black market destinations.

Chinese groups producing ‘most potent form of marijuana’: DEA

According to the DEA’s report, these Chinese transnational criminal organizations are creating the most potent form of marijuana in the history of drug trafficking. This marijuana allegedly has a THC content of 25% to 30%, when the national average is 16%.

The grow sites allegedly use pesticides and fertilizers that are coming from China. Many of these contain chemicals that have been banned in the U.S. for decades, according to the DEA.

In California, teams with the California Department of Justice were able to eradicate over 900,000 cannabis plants across 28 California counties. There were reportedly:

  • 855 illegal cannabis cultivation sites
  • 55.6 tons of processed marijuana that were seized
  • 156 weapons across all sites taken
  • 209 arrests made
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