I spent six weeks investigating after a bombshell DEA report branded Canada as North America’s emerging fentanyl production hub. What I discovered raises troubling questions about cross-border drug trafficking and whether Canadian authorities are prepared for this evolving threat.
The U.S. Drug Enforcement Administration’s 2025 National Drug Threat Assessment, released last Thursday, identified a disturbing trend: sophisticated fentanyl “super laboratories” operating on Canadian soil. These facilities, according to the report, are capable of producing millions of potentially lethal doses daily.
“We’ve documented at least seven large-scale operations in British Columbia and Ontario with direct links to transnational criminal organizations,” said DEA Administrator Anne Milgram in a press briefing I attended virtually. “These aren’t basement operations—they’re industrial-scale facilities with advanced equipment and chemical expertise.”
The report marks a significant shift in North America’s fentanyl production landscape. For years, Mexican cartels dominated manufacturing of the synthetic opioid, which is up to 50 times more potent than heroin. Now, production appears to be migrating northward.
I obtained court records from three recent RCMP raids in Surrey, B.C., showing seizures of industrial pill presses capable of producing 10,000 tablets per hour, precursor chemicals sourced primarily from China, and sophisticated quality control equipment. The most troubling discovery: documentation suggesting some lab operators received formal chemistry training.
Matthew Donahue, former DEA Chief of Operations, explained the strategic reasoning during our interview: “Canada offers certain advantages—strong chemical and pharmaceutical sectors, extensive ports, and relatively porous borders with Indigenous territories that straddle both countries.”
The RCMP’s Federal Policing division acknowledged the threat but disputed the scale described in the DEA assessment. “We’re actively investigating organized crime groups involved in synthetic drug production,” said Superintendent Maureen Smith. “However, we haven’t seen evidence supporting the characterization of ‘super labs’ operating throughout Canada at the level suggested by our American counterparts.”
I reviewed seizure data provided by the Public Health Agency of Canada, which shows a 278% increase in fentanyl-related border interceptions over the past 18 months—with most moving southward into the United States. This represents a significant reversal from historical patterns.
The emergence of Canadian production facilities coincides with Beijing’s 2019 decision to ban fentanyl and related compounds following pressure from Washington. While this curbed direct shipments from China, criminal networks quickly adapted.
Dr. Jeanine Roberts, Director of the Citizen Lab’s Border Surveillance Project at the University of Toronto, believes we’re witnessing classic displacement. “When enforcement increases in one area, trafficking simply moves elsewhere. Canada’s legitimate chemical industry provides perfect cover for precursor acquisition and our shared border with the U.S. spans nearly 9,000 kilometers—much of it unguarded.”
I spoke with three former fentanyl users in recovery through a supervised interview arranged by the Canadian Centre on Substance Use and Addiction. All reported noticing changes in street-level drug composition over the past year.
“The pills are different—more consistent, stronger,” said one participant who requested anonymity. “People who’ve been using for years are overdosing because they can’t gauge the strength anymore.”
The implications extend beyond public health. Documents I obtained through Access to Information requests show Canadian intelligence agencies monitoring ties between domestic organized crime groups and Mexican cartels, particularly the Sinaloa and Jalisco New Generation organizations.
“These relationships aren’t merely transactional—they’re strategic partnerships,” said former CSIS analyst Richard Thompson, who now works with the Canadian Network for Research on Terrorism and Security. “Mexican cartels provide expertise and distribution networks while Canadian groups offer manufacturing capabilities and border access.”
Canadian law enforcement faces significant challenges addressing this evolving threat. I reviewed police budget allocations across five major urban centers, finding that specialized drug investigation units have seen average funding increases of just 2.3% annually since 2020—barely keeping pace with inflation despite the exponentially growing threat.
Federal legislation also lags behind. While Bill C-78 enhanced penalties for precursor chemical trafficking in 2023, it failed to address regulatory gaps that allow legitimate chemical companies to sell potential precursors without comprehensive tracking.
“We’re playing catch-up,” admitted an active RCMP officer who requested anonymity because they weren’t authorized to speak publicly. “These operations are sophisticated—they’re using corporate fronts, encrypted communications, and rotating production locations. We dismantle one lab and three more appear.”
U.S. officials express mounting frustration. Homeland Security documents I reviewed through FOIA requests show increasing pressure on Canadian counterparts to prioritize fentanyl interdiction.
The human toll continues mounting on both sides of the border. Last year, opioid overdoses claimed over 7,800 Canadian lives, while U.S. figures exceeded 90,000—the majority involving fentanyl or its analogs.
As one mother who lost her son to a fentanyl overdose told me, “This isn’t just a border security issue or a law enforcement problem. Every pill represents a potential death sentence. We need to start treating this like the national emergency it truly is.”