Borderlands Mexico: US widens Mexican cartel crackdown to tequila makers, baby shoe company

Treasury Secretary Scott Bessent said the sanctions strike at the cartel’s “leadership, financiers, and criminal networks,” denying CJNG resources used to traffic fentanyl into the U.S. and finance other criminal enterprises.

The sanctions freeze any U.S.-based assets belonging to the designated individuals and companies and prohibit U.S. persons from conducting business with them. 

Foreign financial institutions that knowingly facilitate transactions involving sanctioned parties also risk secondary sanctions.

Legitimate businesses allegedly used as cartel fronts

Unlike previous sanctions focused primarily on cartel leaders, Thursday’s action highlights how CJNG allegedly embedded itself within Mexico’s legitimate economy through businesses spanning numerous industries.

Among the sanctioned companies are:

One of the more unusual sanctions targets was Bubux Baby Shoes, a company that markets infant footwear. 

Treasury alleges the business is owned by senior CJNG member Gerardo Botello Rozalez, known as “El Cachas,” while relatives allegedly occupied leadership positions within the company and related businesses.

Fuel theft and logistics remain key revenue streams

One of the most significant aspects of the sanctions package is the Treasury’s renewed emphasis on fuel theft and logistics.

The U.S. Treasury said CJNG continues to diversify beyond narcotics trafficking through huachicol—the theft and smuggling of gasoline and crude oil—which costs Mexico billions of dollars annually. Officials said some cartel operatives simultaneously participate in fentanyl trafficking and fuel theft operations.

OFAC also sanctioned logistics company Transic Logistic S.A. de C.V. and petroleum company Strong Energy S.A. de C.V., alleging the businesses were controlled by Alma Laura Mena Alvarado and Jose Mora Leon. 

Treasury alleges the logistics company diverted liquid fentanyl to CJNG while the pair also participated in gasoline theft in cartel-controlled territory.

New CJNG leadership targeted

The sanctions also formally identify Juan Carlos Gonzalez, also known as “Pelón,” as the cartel’s new leader following the death of CJNG founder Rubén Oseguera Cervantes (“El Mencho”) earlier this year.

Treasury said Gonzalez has been charged in a U.S. federal drug trafficking indictment, while the U.S. State Department is offering up to a $5 million reward for information leading to his arrest or conviction.

Why it matters: The sanctions demonstrate that U.S. authorities increasingly view cartels as sophisticated business enterprises that rely on transportation, fuel, agriculture, manufacturing and consumer companies to finance criminal operations—placing legitimate cross-border businesses and supply chains under greater scrutiny for potential cartel exposure.

Port Houston posts record first-half container volume

Port Houston handled 2.23 million twenty-foot equivalent units during the first half of 2026, the highest first-half container volume in the port’s history.

Container volume reached 389,962 TEUs in June, an 18% increase from the same month last year. Loaded imports rose 27% to 177,097 TEUs, while loaded exports declined 2% to 131,011 TEUs, according to data provided by Port Houston.

The port’s public terminals handled more than 28.2 million tons through June, up 3% year over year. General cargo increased 34% during the first half, while breakbulk cargo rose 35%.

Steel volumes showed signs of improvement in June, increasing 46% to 430,510 tons, although first-half steel tonnage remained 14% below the same period in 2025.

Trade through the broader Houston Ship Channel region increased 17% through May, driven by a 23% increase in export tonnage. Imports declined 4% during the period. Deep-draft vessel transits rose 8% during the first half, while barge traffic increased 5%.

Foundry Commercial plans 192,000-square-foot logistics center in Fort Worth

Foundry Commercial has acquired a development site in Fort Worth, Texas, where it plans to build Gemini Logistics Center, a two-building, 192,000-square-foot Class A industrial project, according to a news release.

The development will be located near Interstate 35 West. Foundry said the project went through more than a year of entitlement and permitting work. Company officials said Gemini Logistics Center is positioned to meet tenant demand in one of North Texas’ fastest-growing logistics corridors.

The project is part of Foundry’s expanding industrial investment portfolio. The company said it has closed eight investments totaling nearly $500 million this year and has another 15 projects representing about $1 billion under contract.