Cargo theft in the US continues to be a pressing issue, with 771 incidents reported in Q2 2024, according to the latest “Risk Trends Analysis” report by CargoNet, a freight security firm. Although this represents a 10% decrease from the previous quarter, it’s a significant increase of one-third from Q2 2023. The report also highlights a shift in the behavior of organized cargo theft groups, particularly in Southern California, with a more selective approach to their targets.
The Rising Trend of Theft by Deception
CargoNet’s report also points to a growing trend of theft by deception schemes, particularly targeted pilferage schemes and non-delivery of entire shipments. These complex fraud schemes often involve document forgery, with thieves posing as legitimate drivers to fraudulently secure a load. They then partially unload the cargo at its intended destination and alter the bill of lading to show a complete delivery.
The Impact on the Supply Chain
The average shipment value in Q2 was $150,711, and an estimated $68.5 million in freight was stolen during this period. The report also notes significant growth in the targeting of specific goods, such as vitamins, supplements, alcoholic beverages, and skincare products. Conversely, theft of vehicle accessories, footwear, and consumer electronics saw a notable decrease.
The report also highlights the geographical disparity in cargo theft incidents, with California, Texas, and Illinois accounting for a significant percentage of total theft incidents in Q2. CargoNet anticipates that cargo theft activity will remain high in Q3 2024, with theft by deception schemes expected to continue increasing in popularity.
The rising trend of cargo theft, particularly through deception schemes, poses a significant threat to the supply chain. As these incidents continue to increase, it’s crucial for supply chain leaders to stay informed and implement robust security measures to protect their operations.
