US Appetite for Cocaine Powers Rise of Cartel Boss

As cocaine use surges in the US, Nemesio "Mencho" Oseguera, leader of Mexico's Jalisco New Generation Cartel, has emerged as the most powerful drug lord in the country, and possibly the world. Operating from a fortified hideout in the Sierra Madre, Oseguera has capitalized on two trends: a crackdown on fentanyl traffickers by US authorities and a renewed appetite for cocaine among Americans, the Wall Street Journal reports. Once overshadowed by the Sinaloa cartel, Oseguera's organization now runs an extensive operation, moving tons of cocaine from Colombia through Mexico and into the US.

The price of cocaine has plummeted almost 50% over the last five years, and purity remains high, helping fuel a 154% increase in use in the western US since 2019, according to Millennium Health. The drug-testing company says cocaine use in the eastern US rose 19% over the same period. Fentanyl use, meanwhile, has been declining since the middle of 2023, according to the CDC.

The Sinaloa cartel's internal strife and targeted law enforcement have weakened its hold, leading to a violent split and thousands of casualties. Oseguera seized the opportunity, forging an alliance with Sinaloa's "Chapitos" faction. Under their pact, Sinaloa focuses on fentanyl while Jalisco dominates the cocaine and methamphetamine pipelines, making use of smuggling tunnels into the US. Former DEA interim Derek Maltz says "Mencho" has become "the most powerful drug trafficker operating in the world."

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According to a December State Department notice offering a reward of up to $15 million for information leading to the drug kingpin's arrest, the cartel "has been responsible for many homicides against rival trafficking groups and Mexican law enforcement officers" as well as recent attempts to assassinate government officials. Oseguera's cartel diversifies beyond drugs, taxing local goods, controlling construction, selling stolen fuel, and even operating call centers that scam US seniors, the Journal reports. Oseguera, called "El Señor Mencho" in narco-ballads, is seen as a benefactor in cartel-controlled areas, orchestrating festivals and handing out aid.