Gun dealers are primary suppliers of trafficked firearms

In 2022, Smith & Wesson handguns were available for purchase at a Houston gun store. Data from the federal Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) indicates that between 2017 and 2023, roughly 96% of firearms recovered from crime scenes and traced were initially bought from licensed dealers.

A recent study by the research division of Everytown for Gun Safety, a group advocating for stricter gun regulations, highlights that licensed dealers are a primary source of guns that later enter the illegal market. Gun trafficking typically occurs when firearms are diverted from lawful commerce through methods such as straw purchases, unlicensed sales, or other ways that bypass background checks and federal recordkeeping.

A straw purchase happens when a legally eligible buyer purchases a gun on behalf of someone who cannot legally buy one or prefers not to have their name associated with the transaction.

Using ATF trace data, Everytown found that nearly all guns recovered from crime scenes and traced from 2017 to 2023 were originally sold by licensed dealers. The organization projects that over 1.27 million guns could be trafficked across the U.S. by 2026. Revenue from these firearms, according to the report, totaled an estimated $695 million for licensed dealers.

The analysis also emphasizes weaknesses in federal oversight. Gun shop inspections have significantly decreased in recent years, a trend noted during the Trump administration but extending beyond it. For instance, in Oregon, federal inspectors examined fewer than 2% of the states approximately 2,000 licensed dealers in 2022 and 2023.

Federal budget documents released in June reveal plans to cut two-thirds of the investigators responsible for overseeing federally licensed gun dealers, reducing inspector numbers from around 850 to about 300. In May, the ATF updated its policy to relax conditions for revoking gun dealer licenses. Additionally, since January of the Trump administration, around 80% of ATF special agents have been reassigned to handle some immigration enforcement duties.

Everytown asserts that these lapses in oversight allow suspicious firearm sales to proceed without detection. ATF statistics indicate that trafficked guns are linked to twice as many shootings as non-trafficked firearms, with nearly 88% of recipients legally prohibited from purchasing guns. Trafficked firearms are commonly connected to drug-related crimes, aggravated assaults, homicides, and attempted homicides.

The report recommends that states enhance regulatory inspections of gun dealers, implement laws aimed at preventing trafficking, and utilize data to disrupt illegal firearm supply chains. Marianna Mitchem, a former associate assistant director of field operations at the ATF and senior firearms industry advisor at Everytown, emphasized that states do not need to wait for federal action to take meaningful steps.

Currently, at least 16 states and Washington, D.C., license and regulate firearms dealers. For example, Colorado and Illinois require dealers to obtain state licenses, adhere to security, recordkeeping, and storage rules, and submit to regular state inspections.

Author: Sophia Brooks