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Cargo crime in North America down in Q3, but losses are mounting

Organised criminal networks are increasingly exploiting identity fraud, carrier impersonation and weaknesses in freight verification, driving cargo theft losses across Canada and the US up 39% year on year, despite a sharp decline in reported incidents Verisk CargoNet recorded 2,072 of reported supply chain crime incidents across the countries through to 23 October, marking a 25% decrease in total numbers from the 2,755 recorded during the comparable period in 2025. VP operations at Verisk CargoNet Keith Lewis told The Loadstar: "But while the number of incidents declined, the financial impact moved in the opposite direction, losses increasing 39% to $718.9m." Furthermore, he noted that the average documented value of stolen goods had also registered a massive surge, 72% year on year, from approximately $261,000 to more than $448,000. Over the third quarter, CargoNet recorded 547 incidents, approximately 33% fewer than a year earlier, but estimated losses still reached $230.1m, with California accounting for the largest share, with 182 incidents, followed by New Jersey, Texas, and Illinois. "The data shows why fewer reported incidents should not necessarily be interpreted as lower cargo theft risk. Losses associated with these events are becoming increasingly significant," Mr Lewis added. Among the biggest concerns are fictitious pickups, where criminals impersonate legitimate carriers to collect and divert shipments, with CargoNet recording 138 such incidents in Q3, compared with 147 over the same period of 2025. Mr Lewis continued: "Criminals are looking for ways to exploit identity, communications, and shipment-verification processes to pose as legitimate participants in the supply chain." He noted these efforts tended to involve schemes making use of compromised business email accounts, internet-based phone systems, and transport-industry applications. On a commodity basis, food and beverages was the most frequently targeted category in Q3, accounting for 94 incidents, followed by metals (63), household goods (49), and electronics (46), while warehouses and distribution centres accounted for 197 reported incidents. Chair of TAPA Americas Scott Cornell told The Loadstar: "Cargo theft has fundamentally changed in the US over the last six years. We have seen massive increases in the overall cargo theft numbers and values, and, in particular, a significant rise in strategic cargo theft." He estimated strategic theft, involving deception rather than straightforward physical stealing, had risen 10-fold this decade, up from less than 3% of all cargo theft before 2020 to roughly 30% or more. While he stressed the majority of incidents involved conventional physical theft, Mr Cornell said: "Bad actors are using technology such as AI to become increasingly sophisticated and globalised, running these schemes from anywhere in the world." One emerging technique, the "Trojan Driver Scam", involves criminals infiltrating legitimate, vetted trucking companies, highlighting the limitations of verification systems concentrating on checking carriers rather than individual drivers. Consequently, Mr Cornell said: "Thorough background checks and carrier- and driver-level vetting need to be standard due diligence." Indeed, the Airforwarders' Association (AfA) is calling on US lawmakers to strengthen federal response by incorporating the Combating Organised Retail Crime Act (CORCA) into the final fiscal year 2027 National Defense Authorization Act. AfA CEO Steve Smith said: "Forwarders are dealing with organised networks across state lines, exploiting gaps between jurisdictions. Republicans and Democrats should continue working together to give law enforcement and businesses the tools to root them out." The legislation, which passed the House of Representatives, would establish an Organised Retail and Supply Chain Crime Coordination Centre and improve intelligence sharing between federal, state, and local law enforcement, and private sector organisations. Mr Smith told The Loadstar: "It would help investigators connect related incidents across jurisdictions. A fraudulent pickup in one state and a stripped trailer in another may involve the same network, but fragmented information can make connection harder to identify." Furthermore, it also includes provisions to aggregate theft values over a 12-month period for certain federal stolen property offences, alongside expanded money laundering provisions and criminal forfeiture measures. AfA members have reported criminals buying established federal motor carrier registrations from struggling hauliers for $25,000-$35,000, with Mr Smith noting that this allows them to exploit years of apparently clean operating history. "Two extra minutes up front can save you two months of difficulty on the back end," Mr Cornell said, urging forwarders and trucking companies to strengthen verification procedures, train frontline employees and check drivers' identities before releasing shipments.

Taipei air cargo operations battle to clear backlogs

Air cargo operations at Taiwan's Taoyuan International Airport (TPE) are facing delays as handlers battle backlogs caused by Typhoon Champi, which struck Taipei towards the end of October, and heightened AI-related demand. The tropical cyclone battered Taiwan on 22 and 23 October, with winds reaching around 185 miles per hour. According to freight forwarder Expeditors, freighter operations were suspended from 23-25 October as a result. It is estimated that more than 207 freighter flights were cancelled, creating a "substantial import backlog". Expeditors said that cargo terminals remain congested and freighter delays are expected throughout the fourth quarter while terminals clear the residual backlog. The company added that cargo volumes at the airport were already elevated as a result of increased exports of AI servers, semiconductor equipment, and related products, and increased imports of semiconductor equipment, raw materials, and server parts. This demand means that handlers at the airport are already handling an additional 80-90 freighter flights per month on top of regular commercial flights. There are also dolly (flatbed trailer) and manpower constraints. For exports, Expeditors said that shippers should expect longer cargo handling and acceptance lead times, while for imports there were delays to cargo breakdown and availability. "Further freighter cancellations remain possible while terminals clear the backlog," Expeditors said. "China Airlines freighter services have experienced the most disruption, including cancellations and delays," it added. "China Airlines, EVA Air, and STARLUX Airlines have advised that cargo handling and export processing may take longer." Seko Logistics has also reported cargo congestion at the airport. "Increased cargo volumes at TPE are placing pressure on ground handling resources, potentially affecting shipment processing and departure schedules," the company said. "Selected China Airlines flights, including US-bound freighter services, have also been cancelled." It added that China Airlines, EVA Air and STARLUX Airlines have advised that increased import cargo volumes at TPE are placing pressure on manpower, cargo dollies and handling capacity. "Cargo handling may be delayed, export processing may take longer and planned departure schedules may change," it warned. Both companies said that customers should share forecasts, book space and flag sensitive cargo as early as possible.

Shenzhen air cargo restrictions ahead of APEC threaten peak shipments

Air cargo moving in and out of Shenzhen faces restrictions ahead of next week's APEC summit, with operators announcing cargo embargoes, longer handling times, and changes to collection and delivery services. The measures threaten to complicate peak season shipments through mainland China's third-largest cargo airport, while forwarders warn that diversions will tighten space at neighbouring Guangzhou. And elsewhere in the region, Taiwan's cargo congestion is expected to delay freighter operations throughout Q4. The APEC Economic Leaders' Meeting takes place in Shenzhen on 18-19 November, with the main cargo restrictions covering 16-20 November. ANA Cargo's notice, issued yesterday, restricts dangerous goods through 20 November, including excepted quantities and goods normally treated as unrestricted under special provisions. Previously booked dangerous goods shipments travelling 9-15 November can still be accepted, but new bookings are barred. From 16-20 November, ANA will also refuse perishables, PRIO products, time-sensitive shipments, cargo exceeding its AKE container-door dimensions, and shipper-built units, other than those using AKE containers. The restrictions cover arrivals, departures, and air-to-air connections through Shenzhen. Air-to-road connections are exempt from the transit provision. For accepted shipments, ANA requires exports to be tendered at least 12 hours before scheduled departure, while imports will become available for collection at least eight hours after arrival. The carrier attributes the measures to instructions from local authorities ahead of APEC. Teleport has published a broader notice, saying international passenger flights arriving at or departing from Shenzhen will be prohibited from carrying cargo between midnight on 16 November and 6pm on 20 November, local time. Its advisory instructs cargo agents and terminal operators not to accept or handle cargo for affected services. The published notices differ in scope, and an airport-wide embargo covering all operators has not been independently established. UPS, meanwhile, has announced temporary adjustments to import, export, collection, and delivery services in selected areas from 12-21 November, citing traffic controls and enhanced security screening. Road restrictions will add another constraint. Shenzhen police have banned dangerous-goods vehicles from all city roads, including expressways, on 16-20 November. Other freight vehicles face restrictions on specified roads and in selected districts at different times. The city's Ports Office has also urged cross-border freight companies to bring stock movements forward, postpone non-urgent orders, and stagger necessary journeys during the summit week. Dimerco warned in its 3 November freight report that APEC "may halt Shenzhen terminal acceptance on 16-20 November", advising customers to plan South China exports around restrictions. The forwarder also identified APEC and winter schedule changes as constraints on freighter and belly capacity during the year-end peak. Hong Kong and Guangzhou offer alternative gateways, but securing uplift could prove difficult. Geodis has recommended considering both airports, while Zencargo warned that Shenzhen flight cancellations would divert cargo into Guangzhou, leaving "very tight space" on services to Europe and the US. The disruption comes as peak season demand pushes up China's airfreight rates. Freightos reported today that China-US prices increased 3% last week to more than $8/kg, already reaching the previous year's high, recorded only in mid-December. China-Europe rates rose 11%, to $4.87,/kg, up 23% year on year. Shenzhen handled approximately 2.05m tonnes of cargo and mail in 2025, including 1.06m tonnes of international and regional traffic. The airport has developed specialist handling arrangements for lithium batteries, battery-containing electronics and vaping products, potentially exposing established export flows to dangerous goods restrictions. Its first-half report this year records the launch of bonded e-cigarette export operations. Perishable imports are also exposed: Shenzhen handled 25,000 tonnes of fresh and cold-chain imports in the first half of 2026, up 37.1% year on year. The total tonnage covered by the announced restrictions has not been established. Meanwhile, congestion at Taiwan Taoyuan Airport is expected to delay freighter operations throughout Q4, extending the disruption previously reported by The Loadstar. In an update yesterday, Expeditors said ground handlers were serving 80-90 additional freighters a month above regular commercial flights. Exports of AI servers and semiconductor equipment, alongside imports of equipment, raw materials, and server parts, were stretching resources. Imports awaiting breakdown had occupied cargo dollies needed to move exports to the ramp. Dolly availability has improved, but staffing constraints and the residual backlog mean recovery remains gradual. China Airlines' freighter services have experienced the most disruption. Expeditors said "freighter delays are expected throughout Q4", although it did not expect large-scale cancellations to continue. Further cancellations remain possible as handlers clear the backlog, with longer handling times, delayed import availability, and onward connections remaining concerns.