Trump's designation risks US businesses linked to cartels

U.S. President Donald Trump has labeled Mexican cartels as foreign terrorist organizations. This decision could put American businesses at risk of legal problems, according to experts. The designation includes prominent cartels like the Sinaloa and Jalisco New Generation Cartels. Trump’s focus on these groups began on the first day of his presidency. He aims to tackle the fentanyl crisis, which has caused many overdoses in the U.S. In 2023, nearly 75,000 Americans died from opioid overdoses, much of which was linked to drugs coming from Mexico. Experts believe this new label allows for stronger actions against drug cartels, including covert operations. It also enables U.S. authorities to target cartel funding more effectively. However, analysts warn that businesses connected to the cartels could face scrutiny. For example, family members sending money to Mexico could be implicated if their funds are used for cartel activities. Michael Ballard, a security expert, advises American businesses to closely examine their relationships in Mexico. He stresses the importance of compliance to avoid being associated with foreign terrorist organizations. Trump's war on drugs has led to rising tensions with Mexico. Recently, he imposed tariffs on Mexican goods but postponed some duties amid market concerns. The Mexican government has also increased its crackdown on cartel activities, including extraditing notable cartel members to the U.S. There are fears that Trump may consider more extreme measures, including potential military action against the cartels. This has raised concerns about a possible military conflict near the U.S. border.