roin, and amphetamine production; large producer of cannabis for
the international market; vulnerable to money laundering due to its
cash-based economy and porous borders

Canada
illicit producer of cannabis for the domestic drug market and
export to US; use of hydroponics technology permits growers to plant
large quantities of high-quality marijuana indoors; transit point
for heroin and cocaine entering the US market; vulnerable to
narcotics money laundering because of its mature financial services
sector

Cape Verde
used as a transshipment point for illicit drugs moving
from Latin America and Asia destined for Western Europe; the lack of
a well-developed financial system limits the country's utility as a
money-laundering center

Cayman Islands
offshore financial center; vulnerable to drug
transshipment to the US and Europe

Chile
important transshipment country for cocaine destined for
Europe and the US; economic prosperity and increasing trade have
made Chile more attractive to traffickers seeking to launder drug
profits, especially through the Iquique Free Trade Zone, but a new
anti-money-laundering law improves controls; imported precursors
passed on to Bolivia; domestic cocaine consumption is rising

China
major transshipment point for heroin produced in the Golden
Triangle; growing domestic drug abuse problem; source country for
chemical precursors and methamphetamine

Colombia
illicit producer of coca, opium poppy, and cannabis;
world's leading coca cultivator (cultivation of coca in 2002 was
144,450 hectares, a 15% decline since 2001); potential production of
opium between 2001 and 2002 declined by 25% to 91 metric tons;
potential production of heroin declined to 11.3 metric tons; the
world's largest processor of coca derivatives into cocaine; supplier
of about 90% of the cocaine to the US market and the great majority
of cocaine to other international drug markets; important supplier
of heroin to the US market; active aerial eradication program; a
significant portion of non-US narcotics proceeds are either
laundered or invested in Colombia through the black market peso
exchange

Congo, Democratic Republic of the
illicit producer of cannabis,
mostly for domestic consumption; while rampant corruption and
inadequate supervision leaves the banking system vulnerable to money
laundering, the lack of a well-developed financi