2023 showcased how bad freight theft has been in our national supply chain, and 2024 has not been different. Freight Waves found that cargo thefts spiked around 57% year-over year in Q3 and 68% in Q4 in 2023. The story is usually the same, the truck shows up, accepts and picks up the load. The truck would give the warehouse the load pick up number and then would drive off - disappearing to never be seen again. Leaving all other parties to answer "where did our freight go?".
The trends keep increasing annually, to the point where now theft in logistics is in a 10-year high. We're now at a point where different types of theft occur nationwide. Sometimes fraudsters use stolen motor carrier operating authorities or logistics brokers identify to obtain freight and misdirect it from the intended receiver in order to steal it. In strategic theft, various means are used to trick you into giving them the freight. this could be through identity theft, fictitious pick ups or double-brokering scams. Especially with double-brokering, it seems like there is a fraudulent network of carrier identities across the country that is being used for double loading, gathering intelligence on the exact procedures company use and then the strategic theft takes place.
What's being stolen the most? Commodities like food and beverages, electronics and household goods are often the most targeted because of the resale value. Stats such as California, Texas, Florida, Georgia and Kentucky are the current hotspots where items like these are being stolen the most in 2024.
When thefts increase, we all look to the large regulators - like the Federal Motor Carrier Safety Administration (FMCSA) are currently looking into what can be done to help the greater good. FMCSA stated they have taken steps like implementing multi-factor authentication on IT systems to deter fraud but much of it still lies in the hands of the everyday companies that handle freight. LDi pushes for ELD and GPS tracking
What can be done? Taking the simple steps like verifying all paper work is legitimate. Are the email correct? Driver's license the driver who is picking it up? Is the Motor Carrier number (MC#) legitimate? What about their authority? It is up to us to help stop these reoccurring issues. Red flags are always when the previous content is changed at the last minute. Be sure to have a positive rapport with anyone who you are currently working with, networking still remains the safest thing to do in our industry.
Take the time to do the small things right to protect your business!