Using technology and deception to carry out their vicious crimes, organized crime networks are ruthlessly targeting the U.S. supply chain and pushing the rates of cargo theft to shocking levels.
American supply chains are under siege as organized crime networks pilfer a staggering $35 billion worth of cargo every year.
These complex theft rings are targeting trucks, warehouses, and rail cars with increasing boldness, driving up consumer prices.
Small business truckers are being devastated as authorities struggle to coordinate across state lines.
Cargo theft reached crisis levels in 2024, with incidents soaring to all-time highs.
Industry experts predict a shocking 25% increase in cargo theft from last year, creating a massive financial burden that ultimately falls on American consumers through higher prices for everyday goods.
“In my 25 years in the supply chain, I’ve never seen cargo theft this prevalent,” Academy Sports and Outdoors chief supply chain officer Robert Howell declared before a U.S. Senate Committee hearing.
Criminal organizations have evolved their tactics beyond simple hijackings. They now employ sophisticated fraud schemes, identity theft, and cyber attacks to intercept valuable shipments.
These are not opportunistic thieves but organized criminals who have made cargo theft their full-time “career.”
“These folks are getting better at what they do. Folks in white-collar and blue-collar America are not the only ones who re-careered during the pandemic; criminals did it, too,” warns the director of intelligence at data firm Overhaul, Danny Ramon.
“A lot of them found cargo theft as their new ‘career,’ and they’ve been focusing their efforts and getting better,” he added.
The financial impact is devastating. Homeland Security Investigations estimates annual losses up to $35 billion.
Reported losses in 2024 alone totaled nearly $455 million—a 26% increase in just one year.
The true figure is likely much higher since many thefts go unreported as companies try to avoid negative publicity.
Small trucking businesses are especially vulnerable. When criminals steal an entire truckload worth hundreds of thousands of dollars, it can bankrupt independent operators and small fleets.
The most alarming trend is the rise of “strategic theft,” where criminals use deception and falsified documentation to impersonate legitimate companies.
They simply show up with fake credentials and doctored invoices, and unsuspecting warehouse workers willingly hand over valuable merchandise.
Industry security expert Keith Lewis expressed that the scheme is “low risk and a very high reward.”
“The return on investment is almost 100%. And if there’s no risk of getting caught, why not do it better and do it faster?” he added.
Additionally, law enforcement’s hands are often tied due to jurisdictional challenges.
“Cargo theft cases often cross multiple state lines, making jurisdictional coordination, prosecution and data collection extremely difficult,” said BNSF Railway Police Department chief special agent Will Johnson.
“A lack of a coordinated federal cargo theft enforcement effort also hinders effective prosecution,” he continued.
Experts identify Southern California, Texas, Memphis, and Pennsylvania as major hotspots for cargo theft.
Electronics make up nearly a quarter of all thefts, with food and beverage products also heavily targeted.
Theft of entire vehicles has surged an incredible 273%, accounting for a fifth of all cargo heists.
Industry leaders are calling for the establishment of a federal supply chain crime coordination center and task force, modernization of the Federal Motor Carrier Safety vetting process, and stricter penalties for repeat offenders.
Without decisive action, American consumers will continue paying the price through increased costs and disrupted supply chains.
