Dive Brief:
- A group of motor carriers reported over $16 million in cargo value stolen in 2023, according to a report released this month by the American Transportation Research Institute.
- The survey found that nearly one in 76 registered trucks experienced a cargo theft incident. Straight trucks and small commercial vehicles were not part of the research.
- Based on those losses, the entire population of registered combination trucks could have had an estimated $1.8 billion to $6.6 billion in direct and indirect costs to businesses that year, based on an ATRI analysis.
Dive Insight:
With cargo theft, financial losses for carriers and logistics service providers are not the only impacts: truck drivers face safety risks, and business operations become disrupted.
Stolen cargo can disrupt plant operations, just-in-time manufacturing and affect consumer needs, per the report. “Within a motor carrier, cargo replacement activities can unexpectedly lock up additional truck drivers and equipment, all in an industry with record high costs and operating margins under 5 percent,” ATRI said.
For truck drivers, their safety is at risk, especially in hijacking scenarios, ATRI says.
“A theft may lead to driver retention issues, and the driver may face lost revenue and productivity if he or she is not driving in the immediate aftermath of a cargo theft incident,” per the report.
With a rising threat of cargo theft, legislation and government intervention have been seeking to tackle the problem. The Department of Transportation is currently asking for feedback through Oct. 20 to improve response efforts regarding the crime. The agency aims to identify and address barriers that prevent the timely detection of theft incidents.
Congress has also held multiple hearings to hear stakeholders' input on what cargo theft is doing to the industry, how it is developing and what can be done policy-wise.
