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Over the last several years Hezbollah and its patrons in Iran have greatly expanded their operations in Latin America to the detriment of inter-American security and US strategic interests. Today, Hezbollah is using the Western Hemisphere as a staging ground, fundraising center, and operational base to wage asymmetric warfare against the United States. Venezuela’s Hugo Chávez and other anti-American governments in the region have facilitated this expansion by rolling out the welcome mats for Hezbollah and Iran. US policymakers must increase their attention to this problem, expand their assets in the region, and develop a comprehensive strategy to combat this threat in a sustained and meaningful way.

Key points in this Outlook:

• To ward off its international isolation and undermine US influence in the region, Iran, with its Hezbollah proxy in tow, has made a major diplomatic and economic push into the Western Hemisphere.
• Hugo Chávez in Venezuela and other radical anti-American populists have made common cause with Iran and Hezbollah in waging asymmetric warfare against the United States.
• Hezbollah’s criminality in the region has multiplied as it has established deeper relations with transnational criminal organizations.
• Evidence indicates Hezbollah is sharing its terrorist experiences and techniques with Mexican drug cartels along the US border.

Hezbollah’s presence in Latin America dates to the mid-1980s, when it began sending operatives into the notoriously lawless region known as the tri-border area (TBA)—where the borders of Brazil, Argentina, and Paraguay meet—to use it as a principal safe haven for fundraising, money laundering, recruitment, training, plotting, and other terrorist-related activities.1 Their activity also includes drug and arms trafficking, counterfeiting, forging travel documents, and pirating software and music. Their resulting proselytizing has led to the creation of numerous Hezbollah cells, with an estimated 460 operatives in the TBA by mid-2000.2

It is impossible to quantify the level of criminal activity taking place in the TBA, but some estimate that Islamic extremist groups there and in other suspect areas in Latin America remit $300 to $500 million per year in illicit profits to radical Islamic groups in the Middle East.3 US authorities have been well aware of the wanton criminality occurring in the TBA through the years and have cited some individuals and entities for providing financing to terrorist groups and achieved some extraditions, but the overall effort to combat the menace has been hampered by uneven levels of cooperation from the governments of Brazil, Argentina, and Paraguay.

It is not appropriate, though, to see this as simply a law enforcement issue, as if the illicit business activities and fundraising were ends in themselves. In fact, the nature of the threat has changed considerably. Hezbollah is a preeminent international terrorist organization dedicated to waging Islamic jihad against its enemies, which include the United States and its allies, and the threat it poses should be dealt with accordingly by all law-abiding nations.

The Hezbollah Modus Operandi

Building cells abroad in the service of Hezbollah’s mission involves substantial time and investment. The group sends only its most committed and intrepid operatives into new regions with no support. They must establish a network from scratch among which they can raise money to send back to the leadership in Lebanon, familiarize themselves with the territory and potential targets, and begin planning operations. Invariably, their missions involve infiltrating or establishing mosques or “Islamic centers” to help Hezbollah to spread its influence, legitimize its cause, and promote jihad on a global scale. Continue Reading →