Danny Ramon, director of intelligence and law enforcement at Overhaul, said some of the reasons for the significant increase in average loss value are that the transportation industry is attracting more thieves and they are becoming more adept at targeting specific loads.

“The pandemic wasn’t necessarily the cause, but it was kind of the catalyst for this change in cargo theft in the United States and around the world,” Ramon said in an interview with FreightWaves. “A lot of people started new careers during and after the pandemic. It turns out that a lot of them switched to cargo theft. They saw how lucrative it is, how easy it can be, and that’s why we’re seeing this increase. The cargo they target and capture will increase in value as they get better and better at getting exactly what they’re after.”

Cargo theft in Mexico also continues to pose a challenge to supply chains. In the first half of 2024, 5,140 cargo thefts were reported in Mexico, an average of about 57 per day.

The main tactic used by criminals in Mexico is to intercept trucks while they are in transit, which accounted for 72% of cases in the first half of 2024. About 84% of cargo thefts in Mexico also involved some form of violence.

One of the reasons for the higher prevalence of cargo thefts in Mexico is that police there may not be as strict and penalties for violent crimes may not be as severe as in the United States or Canada, Ramon said.

“In Mexico, it’s about arrest and punishment,” Ramon said. “The punishment is not necessarily increased as much in Mexico as it is here in the United States. In Mexico, it’s standard procedure for organized cargo thieves to use violence. If violence is used here in the U.S., it’s most likely not an organized cargo thief. It’s most likely a local criminal who is probably already involved in violent crime and is taking the assault on a driver to the next level.”

While cargo theft in Canada does not show trends as dramatic as those in the United States and Mexico, 93% of cargo thefts in Canada occurred in the province of Ontario. Cargo thefts were particularly common in the Greater Toronto Area, which remains the riskiest area for cargo movement in Canada.

Cargo thefts were also recorded in various provinces such as Alberta and Saskatchewan in the first half of 2024, after no cases had been reported at all in 2023.

In the US, California accounted for 45% of all reported cargo thefts, followed by Texas with 14%. An area that includes Los Angeles and California’s Inland Empire accounted for 36% of all cargo thefts in the US in the first half of 2024, an average of 58.6 per month, or nearly two per day.

Ramon said Southern California will always be a hotspot for cargo theft.

“A big part of it is volume: California has a high intermodal density, where a lot of stuff comes from ships and is moved to rail or road,” Ramon said.

In the US, the most sought-after goods for thieves were electronics (23%), followed by

and garden products (14%), clothing and shoes (11%) and food and beverages (10%).

Food and beverages were the most commonly sought cargo by thieves in Mexico, accounting for 31% of cases, followed by construction and industrial goods (17%). Other goods targeted by thieves included auto parts (9%), clothing and footwear (5%), fuels (5%) and pharmaceuticals (3%).

Chinese manufacturer builds $100 million factory near Houston and creates 100 jobs

Oriental Yuhong Waterproof Technology Co. plans to build a large manufacturing facility and research and development center in Prairie View, Texas, according to a press release.

The Beijing-based company will produce waterproof roofing, thermal insulation, mortar powder and piping for the construction industry. The plant and research and development facility could cost between $100 million and $500 million, according to media reports.

Oriental Yuhong Waterproof Technology Co. did not respond to a request for comment.

The first construction phase is scheduled to be completed in 2025 and will create around 100 jobs.

The factory and research center will be Oriental Yuhong’s first facilities outside China. Prairie View is located about 75 kilometers northwest of Houston.

“We believe we are competitive in the United States and North America,” Lei Liu, CEO of Oriental Yuhong Waterproof Technology Co., told Fox 26 Houston. “To achieve that, we basically want to come here and manufacture here.”

Founded in 1995, Oriental Yuhong is one of the largest manufacturers of waterproofing materials in China, according to its website. The company has 52 production and logistics bases and more than 100 subsidiaries. Oriental Yuhong’s products are exported to more than 100 countries.

According to a press release, investment firm Realterm has partnered with developer Alliance Industrial to acquire a 19.76-acre property in Laredo, Texas.

The joint venture plans to build a 22,500 square meter transshipment facility for cross-border traffic. The facility will have a clearance height of 9.7 meters, 50 loading gates and 190 trailer parking spaces.

“Laredo’s strategic location continues to generate significant economic growth, largely due to the relocation of manufacturing operations to northern Mexico and Monterrey, Mexico,” said Ed Brickley, managing director and fund manager of Realterm, in a statement.

Realterm and Alliance Industrial did not disclose how much they are investing in the project.

Realterm is an independent global investment manager focused on the transportation industry. Houston-based Alliance Industrial is a privately held company engaged in industrial real estate investment, development and construction.

Continental begins construction of a $90 million plant in Mexico

The German tire and industrial parts manufacturer Continental AG has begun construction of a factory to produce hydraulic hoses in Aguascalientes, Mexico.

Once completed, the 85,000 square meter factory will be the company’s largest plant in Mexico, according to a press release. Continental announced the opening of the factory in January. Aguascalientes is located about 480 kilometers northwest of Mexico City.

The $90 million facility will create up to 500 new jobs in two phases. Continental officials also said the factory will help the company expand its hydraulics business into industries such as agriculture, mining, construction, manufacturing and energy.

Construction of the plant is scheduled to be completed by the end of 2025.