BSI, TT Club & TAPA EMEA Cargo Theft Report

The 2021 Cargo Theft Report from TT Club, TAPA EMEA, and BSI reveals critical supply chain vulnerabilities exacerbated by COVID-19 disruptions. Global port congestion created unprecedented idle times, making cargo increasingly vulnerable to theft. The report identifies five key themes: increased idle times due to port congestion, rising insider theft risks, criminals exploiting digital freight platforms, urgent supply chain relocations, and railway theft surges particularly in Los Angeles.

Port congestion reached record levels with average wait times of 17 days, forcing cargo into unsecured locations. This led to diversification of theft types, with criminals targeting cargo at rest in container yards and unsecured parking areas. For transport & logistics operators cover, understanding these evolving risks proves essential for maintaining secure operations.

Insider threats and digital vulnerabilities

Insider participation accounted for 20% of European thefts and showed a 48% increase in North America. Criminal organisations increasingly infiltrate supply chains through employee corruption or coercion. Simultaneously, fraudulent carriers exploit digital freight exchanges, particularly in Brazil, Russia, Italy, and Mexico. These criminals pose as legitimate carriers through online platforms, stealing high-value goods before discovery.

The report emphasises how cargo handling facilities cover becomes crucial as 56% of insider thefts occurred in warehouses. Strict COVID-19 policies in Asia further complicated matters, reducing trucking capacity by 70% between Hong Kong and mainland China.

Railway theft emerged as a significant concern, with Union Pacific reporting 90 container breaches daily in Los Angeles, resulting in $5 million damages annually. Memphis, Tennessee experienced similar spikes. These incidents highlight the importance of robust claims management & digital services for affected operators.

Mitigation strategies include enhanced employee screening, GPS tracking, secure sealing protocols, and thorough due diligence for digital freight platforms. Companies must conduct comprehensive risk assessments when relocating operations, considering regional theft patterns, regulatory frameworks, and labour considerations.

Key takeaways

• Global cargo theft patterns shifted significantly in 2021, with criminals targeting idle cargo at congested ports
• Insider theft participation increased dramatically, particularly in Europe (20%) and North America (48% year-on-year increase)
• Digital freight platforms became prime targets for fraudulent carriers, prompting legislative changes in France
• Railway theft surged in US logistics hubs, with Los Angeles experiencing 90 daily container breaches
• Comprehensive risk assessments and enhanced security protocols are essential for supply chain resilience

Frequently asked questions

What were the main factors driving increased cargo theft in 2021?
Port congestion creating longer idle times, COVID-19 disruptions, insider participation growth, and criminals exploiting digital freight platforms were the primary drivers.

Which regions experienced the highest insider theft risks?
Europe reported 20% insider participation (particularly Russia and Italy), whilst Asia recorded 13%, with India, Indonesia, China, Vietnam, and Bangladesh most affected.

How can companies protect against fraudulent digital carriers?
Verify trucking companies through multiple channels, establish pre-alerts with driver details, check IDs thoroughly, train staff to recognise suspicious behaviour, and conduct criminal background checks.