Chinese Company Indicted for Trafficking 'Flesh-Eating Drug' and Fentanyl Precursors into the U.S

Hubei Aoks Bio-tech, a chemical company based in Wuhan, China, along with its director and three senior employees, faces a 13-count indictment by a U.S. federal grand jury. The charges allege the company and individuals manufactured and exported xylazine— a drug dubbed 'flesh-eating zombie drug' for its side effects— and fentanyl precursor chemicals.

International Distribution and Smuggling Tactics

The company exported chemicals to at least 100 countries, including the United States and Mexico. According to the indictment, Hubei Aoks imported 11 kilograms of fentanyl precursors— capable of producing millions of fentanyl pills— and two kilograms of xylazine into the U.S. from Nov. 2016 to Nov. 2023. These chemicals were mislabeled as items like furniture parts, vases, and makeup and delivered to an undercover U.S. agent posing as a fentanyl trafficker.

Sales representatives sometimes offered the undercover agent "additional chemicals" they claimed would "sell well." Authorities state that the company and its employees "reaped financial benefits by knowingly exporting materials that helped fuel the fentanyl crisis in our nation."

Charges Against Key Individuals

Hubei Aok's director, Xuening Gao, 38, is charged with two conspiracy charges, while Guangzhao Gao, 36, the company's cryptocurrency operator, is charged with six felonies related to manufacturing and distribution. Two sales managers were also charged for participating in the conspiracy.

The Ministry of Public Security in China informed the U.S. Justice Department that it arrested the four Chinese nationals.

Xylazine: An Emerging Public Health Threat

In April 2023, the White House Office of National Drug Control Policy declared xylazine an "emerging threat" to public health. The drug, which is highly addictive and known for causing necrotic skin wounds, is often referred to as the 'flesh-eating' or 'zombie' drug due to its severe effects.

Research from Johns Hopkins University indicated that, by Nov. 2022, xylazine had been found in 48 states and contributed to nearly 11% of all fentanyl overdose cases, marking a 279% rise since 2019. Initially identified in street drugs in 2015, its prevalence has since increased sharply.

"Synthetic drugs such as fentanyl have wreaked devastation in our country, and it is therefore critical that we hold accountable those behind the crisis—rest assured, we will have no patience for those who profit off this poison," said United States Attorney Martin Estrada in a written statement.