Cargo theft has stirred up the trucking industry in North America during the first half of the year.
According to Overhaul, a company specializing in supply chain visibility — cargo theft incidents rose by 49% compared to last year, reaching 787 cases in the United States from January to June.
The average value lost per theft was $115,230, which is an 83% increase from the same period in 2023.
Danny Ramon, Overhaul’s director of intelligence and law enforcement connections, stated that the increase in average loss value is due to the trucking industry attracting more thieves, who are becoming more skilled at targeting specific shipments.
According to Ramon, the pandemic acted as a catalyst for the change in cargo theft patterns across the United States and globally. He explained that many people found new careers during and after the pandemic, and some turned to cargo theft, recognizing its profitability and ease.
Ramon stated that as thieves become more skilled at targeting specific cargo, the value of the goods they obtain will continue to rise. He pointed out that the pandemic wasn’t the only reason, but it did have an impact on the cargo theft scene.
Cargo theft continues to add huge problems for the supply chains in Mexico. The country saw 5,140 cargo thefts in the first half of 2024. That means about 57 thefts took place each day.
Criminals in Mexico stop cargo trucks while they’re moving, which made up 72% of the cases in early 2024. Moreover, there was some kind of violence in about 84% of cargo thefts that occurred in Mexico.
Ramon said that one reason cargo theft in Mexico tends to be more violent is that the police and punishments for violent crimes might not be as tough as they are in the U.S. or Canada.
Ramon pointed out that Mexico’s rise in violent cargo thefts stems from two main factors: criminals face less strict arrests and lighter punishments than in the U.S. He notes that in Mexico organized groups stealing cargo often resort to violence as a regular part of their operations.
In contrast, Ramon stated that in the U.S., if violence is used during a cargo theft, it is likely not carried out by an organized crime group but rather by a local criminal who is already involved in violent activities and has escalated to robbing truck drivers.
Cargo theft in Canada has not grown as much as in the US and Mexico but remains a concern. A significant 93% of thefts in Canada occur in Ontario, with the greater Toronto area being the most dangerous area for freight in the country.
Although cargo theft was not reported in Alberta and Saskatchewan in 2023, some incidents still occurred in the first half of 2024.
California was the most targeted in the US as numbers for all thefts reached 45%. Texas came in second at 14%. The Los Angeles area and California’s Inland Empire were tough hit, making up 36% of U.S. cargo thefts in the first six months of 2024. This region averaged 58.6 thefts per month, nearly two per day.
According to Danny Ramon, Southern California will likely continue to be a major cargo theft hotspot going forward. The large amount of goods passing through the region makes it tempting to thieves.
Ramon pointed out that California’s high cargo theft rate stems from the substantial quantity of goods moving through the state. California has plenty of intermodal activity, with items switching from ships to trains or trucks.
In the U.S., electronics top the list of items thieves prefer making up 23% of stolen goods. Home and garden products follow at 14%, clothes and shoes at 11%, and food and drinks at 10%.
In Mexico, food and drink products rank as the most often stolen items accounting for 31% of thefts, with building and industrial goods next at 17%. Other targeted items include car parts (9%), clothes and shoes (5%) fuels (5%), and medicines (3%).
The increase in cargo theft goes beyond being just a problem for law enforcement; it also has an impact on the economy. These thefts come with hefty price tags adding up to about $406.9 million each year. This figure covers the worth of stolen items harm to equipment, and the money companies spend to beef up their security. As businesses put more cash into keeping things safe, we might see the end prices of goods go up.
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