Cargo Theft Becomes More Sophisticated for Crime Syndicates

The growing global crisis of cargo theft isn’t hitting the Port of Long Beach hard right now. However, it is a crisis that the ports in Long Beach and Los Angeles, other government bodies, transport companies, warehouse operators and law enforcement officials, are taking very seriously.

“A security matter that will continue to be a focus of our attention is cargo theft,” said Dr. Noel Hacegaba, CEO, Port of Long Beach, during his 2026 State of the Port speech on Jan. 15.

“While theft within our tightly controlled terminal areas is rare, cargo theft anywhere is a threat to the entire supply chain. That’s why we’ve been on top of this issue, convening security conferences like last year’s cargo theft security symposium to deepen collaboration with trucking and rail partners, warehouse operators, investigators and prosecutors,” Hacegaba said.

The problem is being taken seriously throughout global ports and supply chains, around the U.S., and in the Southland. For the greater Los Angeles metro area and its surrounding counties, it has gotten worse outside the immediate port areas in recent years.

Criminals are becoming more sophisticated, targeting intermodal facilities, truck yards, warehouses and railroads. That can come from individuals and small groups, along with what’s being called Organized Theft Groups (OTGs), according to a 2025 report from IMC Logistics. They’re becoming more able to manipulate supply chain technology, how cargo is being shipped by trucking and rail, and a lack of coordination among local, state, and federal law enforcement agencies, IMC Logistics says.

Markets for Stolen Goods

Shipping and logistics is seeing evolving tactics among organized crime groups, and increased targeting of high-value and ultra-high-value goods, says Verisk CargoNet. Some of the stolen goods are ending up being shipped to overseas markets where thieves can see much higher rates of return, says Keith Lewis, vice president of operations at the company.

Overseas demand is tied to what’s popular in product sales overall, Lewis says. Consumer electronics products have made up much of it, with smartphones and tablets being high on the list. Some products can get 10 times the value they’ll sell for overseas versus domestically. For several years, energy drinks have sold very well in countries that don’t allow them, he said.

Since 2020, there’s been a 100% increase in cargo theft in the U.S., Lewis says. The company breaks out the numbers into two categories – truck/trailer, which is the standard theft practice that goes back to the beginning of trucking; and fraud, which is based on deceptive practices. One of these fraudulent tactics is called “blind shipment,” where a truck operator might be directed to move cargo from Los Angeles to Charlotte, N.C. Suddenly, the trucks are being redirected to Fontana, where the deceptive practices will be completed and the goods stolen.

Cyber theft is part of the new and evolving fraud. Thieves that have a good understanding of how switching yards work, and that can manipulate reporting and data sharing on the cargo units, will do very well.

Freight containers are moved by drayage trucks that haul them short distances to switching yards where they go between ports, rail yards and distribution centers. Some of the criminal organizations are able to tap into thieves with experience in the field who clearly understand how it all works. Some of them may own or work for a trucking or warehouse business, doubling as a member of a crime syndicate, according to industry analysts.

CargoNet reported to Beachcomber through its Incident Reporter service that the five cities in Southern California in 2025 that had the most theft incidents were Fontana with 92, Los Angeles at 82, Ontario at 75, San Bernardino at 49, and Stockton at 44. In 2024, Fontana was again the largest with 84 incidents, Ontario at 72, Los Angeles at 72, Carson at 53, and Compton at 44.

Organized cargo theft is also impacting railroads, costing the industry more than $100 million in 2024, with more than 65,000 thefts nationwide. That makes for a roughly 40% increase over the previous year, according to the American Association of Railroads.

Federal Bill Addresses Issue

Trucking companies, government agencies, and industry groups have been lobbying in Washington, D.C., for a law that would coordinate law enforcement efforts to address cargo theft.

“We’re proud to support bi-partisan legislation to crack down on retail theft schemes through the Combating Organized Retail Crime Act, or CORCA, which would establish a coordinated multi-agency response to tackle evolving trends in organized retail theft,” Hacegaba said during his State of the Port comments. “I want to thank my friend John Gold from the National Retail Federation for leading on that issue as well.”

The port CEO was very pleased to start his speech with good news. “In 2025, the Port of Long Beach saw 9.9 million TEUs (twenty-foot equivalent units), the busiest year ever,” he said.

“Electronics, furniture and clothing were the top import categories. Millions of Disney Stitch Plush dolls came through, the hottest Christmas gift,” Hacegaba said.

Coordinated law enforcement efforts could help reduce theft of these and other popular products that could end up stolen and delivered all over the country and the world.

The CORCA bill has passed unanimously through the House Judiciary Committee. The next step in the legislative process is House floor debate and vote, says Jennifer Shaffer, vice president of marketing and public relations at IMC Logistics.

IMC Logistics says that it supports the CORCA bill since it would provide law enforcement with critical tools to help crack down on criminal cargo networks. Contacting your U.S. senators and members of the House of Representatives in support of the bill would help their efforts.

Jon LeSage is a resident of Long Beach and a veteran business media reporter and editor. You can reach him at jtlesage1@yahoo.com.