Yellen on Report CCP Subsidizes Fentanyl Precursors: They’ve Had ‘Helpful Developments’ But We’d ‘Like to See More’

On Friday’s broadcast of WBUR’s “Here and Now,” Treasury Secretary Janet Yellen reacted to reports raising the possibility that the Chinese Communist Party directly subsidizes the makers of precursor chemicals for fentanyl — a claim backed by a report by the House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party — by stating that “we have seen the PRC take some very helpful steps.” And “there have been helpful developments with China.” But “We would like to see more steps and we would like to see the support sustained.”

Co-host Scott Tong asked, [relevant exchange begins around 5:15] “[M]adam Secretary, there are reports suggesting that the Chinese government may be directly subsidizing these fentanyl chemical entities with tax rebates. So, I guess, the question is, is Beijing helping or curtailing this side of the industry?”

Yellen responded, “I guess what we have seen recently since the agreement was reached in California is that we have seen the PRC take some very helpful steps. We would like to see more steps and we would like to see the support sustained. And we’ll have to wait and see how that goes. But there have been helpful developments with China.”

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