Organized crime has adopted new tactics, significantly impacting Americans’ holiday shopping and finances. Hackers are now using malware and other cybercrime tools to infiltrate online freight markets, targeting high-value cargo during transit.
“Criminals have realized that transportation is the weak link between point A and point B,” noted Michael Evanoff, a chief security officer at Verkada. “Instead of risking a warehouse heist, they can just take it while it’s on the move.” Since 2020, both shipping companies and law enforcement have reported a surge in criminal groups using online methods to hijack cargo deliveries and extort valuable items.
The U.S. trucking industry is urging lawmakers to respond to the rising trend of online cargo theft. According to Keith Lewis from Verisk Cargonet, criminals have adapted during the pandemic, taking a “year off” to learn new techniques. “Fraud became widespread, changing from simple theft of trucks to using the internet for crime,” he explained.
In fact, cargo thefts have surged nationwide, with over $318 million lost this year due to stolen goods. The average value of stolen cargo has climbed to $278,797.
Modern tools, including artificial intelligence, have simplified theft for criminals. Many now exploit online load boards, marketplaces where businesses share shipment details, allowing them to focus on specific vehicles. “Criminals create online accounts impersonating legitimate drivers or companies to gather information about shipments,” Lewis said. Without rigorous vetting, ensuring the right truck and driver has become challenging.
Once they identify a truck’s contents, criminals use fake IDs to intercept unmarked vehicles and deceive drivers into relinquishing cargo. “This scheme relies on both human and cyber elements,” Evanoff remarked, emphasizing how criminals blend into the supply chain.
As the holiday season approaches, thieves often target larger shipments. During Thanksgiving 2024, there was a staggering 65% increase in cargo thefts, resulting in approximately $9.5 million in losses. Consumables typically rank as the most stolen items, followed by electronics and household goods.
Locations like New York City, California, Florida, and Texas have become hotspots for these types of thefts, according to Verisk Cargonet data. The Department of Transportation (DOT) has even announced a request for stakeholder input on developing strategies to combat cargo theft, highlighting the seriousness of the issue. They noted that cargo theft leads to significant economic losses, supply chain disruptions, and may even fund broader illegal activities.
Lewis emphasized the national security risk posed by cargo cybercrime, saying that criminal organizations often ship stolen goods internationally or sell them to unsuspecting consumers. “We’ve tracked these groups to over 40 countries,” he revealed. Once these items are sold or shipped overseas, tracking them becomes nearly impossible. The bad actors have created somewhat legitimate supply chains abroad, making it easier for stolen goods to circulate without being detected.
Currently, investigative agencies focus on monitoring criminal networks to understand their behaviors, although actual arrests remain limited. Experts caution that while technology can help track these criminals, it’s equally accessible to them. “The supply chain operates at lightning speed,” Lewis concluded. “And unfortunately, so do the criminals’ operations.”
