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      Supply Chain

    Rail Theft Triples in 18 Months: What Changed?

    Our supply chain experts analyze the data behind the surge in rail theft and what it means for your supply chain risk strategy.

    In less than two years, we've watched rail theft triple its share of overall theft activity. BSI Connect Screen reports that rail theft now accounts for around 12% of all theft incidents in the US, up from just 4% in 2023 and 6% in 2024.

    One major US railroad company reported more than 65,000 theft incidents in 2024 alone—a 40% increase from the previous year. That works out to roughly 178 thefts per day. These aren't one-off opportunistic grabs either. We're seeing organized operations targeting specific high-value consumer goods, including unreleased sneakers, electronics, appliances, and designer accessories.

    Los Angeles leads the way as a hotspot, followed by rural areas in California and Arizona, with significant activity in Chicago and Memphis. Operations involve scouts, train stoppers, armed guards, and coordinated transport networks. Reports from Arizona suggest Mexican cartel involvement in some cases, bringing a level of organization and sophistication that's raised the stakes considerably.

    Criminal groups use tactics that suggest careful planning: forcing train stops in isolated areas, exploiting slow-speed zones, and breaking outdated locks and seals. In some cases, they've even sabotaged brake lines or signal boxes. Groups coordinate via radio and move stolen goods with notable efficiency. The precision with which they target specific containers points to possible insider involvement.

    What's driving the increase?

    1. Major disruptions: The east coast port strikes, Baltimore bridge collapse, and Red Sea shipping attacks through 2024 pushed higher cargo volumes through west coast ports and onto rail lines, creating more theft opportunities.
    2. Infrastructure: Rural rail lines lack adequate surveillance, railyards remain unsecured, and long trains with small crews struggle to respond quickly to incidents. These vulnerabilities aren't new; they've just become more exploitable as cargo volumes increase.
    3. Enforcement: As border security tightens around traditional smuggling operations, some criminal groups are diversifying into rail theft. In fiscal year 2024, the US Customs and Border Protection seized 573,000 pounds of drugs at the border, a 4.4% increase year over year. With drug routes under pressure, rail theft offers an attractive alternative: lower risk, decent returns, and exploitable infrastructure.

    Response

    Railroad organizations are increasing patrols, deploying more conductors for physical train inspections, and expanding GPS-based cargo tracking systems.

    On the law enforcement side, we're seeing multi-agency coordination involving local, state, and federal resources. The US Attorney's Office in Arizona has proposed a Supply Chain Crime Coordination Center and Supply Chain Fraud and Theft Task Force. Congress introduced the Combating Organized Retail Crime Act (CORCA) in 2025 to address organized retail crime and supply chain theft more broadly.

    What can you do?

    You should build rail theft into your risk assessments if you haven't done so already. It's worth having conversations with your rail carriers about security protocols, understanding which routes carry a higher risk, and considering how cargo tracking technology fits into your overall security strategy.

    The situation is changing, and the industry is responding. Whether or not that response keeps pace with the problem is the question we'll be tracking in the months ahead.

    Further BSI Consulting cargo theft resources

    On-demand webinar: The state of cargo theft: Current threats, hotspots, and security risks

    Current threats, hotspots, and security risks in cargo