Trucking Industry Trends to Watch (Part II: Cargo Theft)

Cargo theft has surged in recent years, worsening transportation bottlenecks and supply chain issues. This rise is largely driven by organized crime, which escalated during the COVID-19 pandemic. According to Verisk, 776 cargo theft incidents occurred in Q3 2024 alone, resulting in over $39 million in losses. California, Texas, and Illinois were the most targeted states, with warehouses, distribution centers, and truck stops being prime locations. Thieves primarily steal electronics, clothing, pharmaceuticals, and food due to their high demand, portability, and resale value. These crimes create significant financial and operational strains on trucking companies.

To combat cargo theft, federal regulators are introducing new initiatives. The FMCSA will launch a phased registration system in 2025 to improve fleet identification, enhance verification tools, and provide real-time fraud alerts. Additionally, the proposed Safeguarding Our Supply Chains Act aims to establish a national task force to coordinate efforts with the Department of Homeland Security and the FBI to combat organized supply chain crime.

Despite these measures, trucking companies must take their own precautions. Best practices include thorough employee vetting, secure parking, encrypted communications, anti-theft technology (e.g., tracking software, alarms, and wheel locks), and requiring multiple employees to oversee deliveries. Strengthening security protocols is crucial in mitigating theft risks and protecting operations.