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A new report from Washington, D.C.-based nonprofit C4ADS reveals sophisticated networks supporting Chinese squid fleets accused of illegal fishing off South America. These operations—often conducted with Automatic Identification System (AIS) trackers turned off—are undermining local fishers who depend on regional marine resources for their livelihoods.
### Illegal, Unreported and Unregulated
The rising demand for seafood and diminishing local stocks have forced fishing fleets to venture farther from home. Operating in international waters for months or even years at a time, these vessels are virtually unmonitored, increasing the risk of illegal, unreported and unregulated (IUU) fishing and labor abuses.
China and Taiwan account for about 60 percent of distant-water fishing. Chinese squid fleets in particular have faced growing scrutiny for allegedly operating illegally within South American exclusive economic zones, prompting increased grassroots pressure to tighten enforcement and close regulatory loopholes.
### What to Know
Abundant stocks of jumbo flying squid and Argentine shortfin squid have attracted distant-water fishing fleets to the coasts of South America. According to a report released by C4ADS, 69 percent of squid jiggers operating off the Pacific and Atlantic coasts share ownership with ships allegedly involved in illicit activities or vessels of concern.
While these operations are theoretically under the oversight of the South Pacific Regional Fisheries Management Organization (SPRFMO), enforcement is often spotty. The situation is even more tenuous on the Atlantic coast, which lacks a comparable fisheries management framework.
Monitoring these vessels is challenging due to extended periods between port calls. Complicating matters further are sophisticated networks of onshore and offshore actors who facilitate illicit operations by obscuring catch data, obfuscating labor abuses, and lobbying for lax regulations.
### Offshore Support
A variety of offshore support vessels is crucial to sustaining industrial squid fishing operations over long periods.
Refrigerated cargo ships, or “reefers,” transfer catches, equipment, supplies, and crew between vessels. This allows fishing ships to reduce port visits, where they may be subject to inspections, and obscure the origin of hauls. Reefers then typically offload catches at ports in states that are not party to the Port State Measures Agreement (PSMA), a treaty aimed at blocking illegal fishing vessels from offloading their harvest.
Enforcement is further hindered by relatively lax regulations. Unlike other distant-water fishers restricted to interacting with SPRFMO-authorized vessels, squid jiggers only need to report transshipments within 30 days and provide operational details quarterly. Chinese firms have a significant presence in this sector. Nearly 90 percent of transshipment events involving distant-water squid jiggers were linked to Chinese-owned reefers, with just 15 ships accounting for 72 percent of these interactions.
These 15 ships operated under flags of convenience, registering under foreign nations to mask Chinese ownership and reduce oversight. Tankers also play a key role by refueling these ships and allowing them to remain at sea for longer periods. Unlike reefers, tankers are typically not required to report encounters with squid jiggers or register vessels that supply fuel to squid fishers.
Support vessels referred to as “floating offshore fishery bases” by C4ADS also bolster these operations. These multifunctional ships provide logistics, operational coordination, and limited medical care, extending time at sea while concealing labor abuses.
### Onshore Support
While much of the squid fleet’s activity occurs at sea, critical support comes from land. Two key sectors help sustain these operations, sometimes enabling illicit behavior in the process.
Port agents act as a link between vessels and local authorities, managing logistics and relaying operational details. However, the same access that facilitates oversight can also be used to shield questionable practices from government scrutiny.
Insurance providers also play a role. Many underwrite high-risk vessels despite ties to IUU fishing, forced labor, or sanctions violations—offering financial cushioning that helps these operations continue. Insurance claims themselves can sometimes offer clearer insights into crew movement and health than data from vessel tracking systems.
### What People Are Saying
According to Sara Nix, a natural resource security analyst at C4ADS: “The distant water squid fleet relies on a global network of enablers, from port agents to tankers, that allow operations to continue largely unchecked. The tide is shifting due to growing grassroots pressure, especially in Peru and Argentina, where squid is vital for food security and local economies.
As squid landings decline—whether due to climatic variations like El Niño, overfishing, or IUU activity—frustration is mounting among local fishers and civic groups. They are increasingly demanding stronger oversight of foreign vessels and the opaque systems that enable them to operate with impunity.”
📚 Reading Comprehension Quiz
According to the report from C4ADS, what percentage of squid jiggers operating off the coast of South America share ownership with ships allegedly involved in illicit activities or vessels of concern?
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