Borderlands is a weekly rundown of developments in the world of United States-Mexico cross-border trucking and trade. This week: Organized crime groups fuel rise of US cargo thefts; Imperial Auto opens $21M factory in Mexico; EGO Group launches electronic components plant in central Mexico; and Billor opens logistics hub in Houston.
Organized crime groups fuel rise of US cargo thefts
Supply chain security firm Overhaul said organized criminal gangs were a factor in the soaring number of cargo thefts reported in 2024, with theft across the U.S. increasing 49% year over year to 2,217 cases.
Austin, Texas-based Overhaul recently released its “United States & Canada: Annual Cargo Theft Report 2024” and hosted a webinar discussing trends and statistics affecting the freight industry.
Danny Ramon, Overhaul’s head of intelligence and response, said there were more reports of criminal gang members participating in cargo thefts across the U.S. last year.
“Unfortunately, they are playing a role in U.S. cargo theft,” Ramon said during the webinar on Wednesday. “We know of at least one strategic crew that’s operating in the eastern United States from Mexico all the way up through Canada. They are led by a Russian national who resides in Cincinnati, Ohio.”
Overhaul has received confirmation from law enforcement agencies that have seen known cartel members patrolling warehouses and possibly using fraudulent carrier identities.
“They use almost exclusively strategic theft tactics to steal cargo in the eastern United States,” Ramon said. “I do expect that we will see more transnational crime groups that are completely unrelated to one one another start to perform strategic theft within the United States and Canada within the next three to five years.”
Ramon said Overhaul also received reports of organized crime groups forcing illegal immigrants to work as thieves.
“We do see the cartels active in strategic theft in the U.S., as well as in pilferage,” Ramon said. “That happens in Arizona and New Mexico in the form of indentured servitude for the migrants that are being smuggled across by cartel coyotes. Once they get them across, they say, “OK, well, you’ve got to steal a certain amount of cargo off of transports before we’re going to release you.”
Overall, cargo theft in the U.S. continued to show higher incidences near freight hubs and large cities.
California (32%) and Texas (19%) were at greatest cargo theft risk during the year, but states such as Arizona also saw more freight-related theft.
“Some of the things that we did see was the emergence of some new geographical hot spots, particularly … Arizona,” Ramon said. “Arizona saw quite an uptick in cargo theft activity, primarily in the form of pilferage from rail, and large scale over-the-road pilferage as well. We’ve also seen Central and Northern California increase in activity to the point where they’re basically hot spots now as well.”
The U.S. averaged 184.8 reported cargo thefts per month, a rate of 6.07 per day in 2024, up from 4.06 per day in 2023.
“One of the things that’s been trending for the last several years … we see thefts where there is intermodal cargo density,” Ramon said. “You will see hot spots along some of the seaports, for example Savannah and Houston, but then you see a much hotter hot spot in the intermodal crossroads that would be Dallas, outside of Houston, Atlanta, outside of Savannah.”
Ramon said intermodal facilities in Arizona are also becoming more frequent targets for thieves.
“A great example is actually Glendale, Arizona, just outside of Phoenix. There’s reports almost every week about a new distribution center going in in Glendale,” Ramon said. “We’re seeing not just the large-scale pilferage of shipments that are leaving California, but strategic theft and straight theft of over-the-road shipments that are actually originating and departing from the Phoenix area.”
Overhaul did not provide 2024 cargo theft totals for Canada but said 85% of all thefts there took place in Ontario.
Full truckload theft remained criminals’ most popular tactic in 2024, comprising 64% of total thefts in Canada and the U.S.
Electronics was again the most targeted product type in both countries, making up 24% of all thefts in the U.S. and 31% of those across Canada.
Imperial Auto opens $21M factory in Mexico
Imperial Auto Industries recently opened a fluid transmission components plant in the Mexican city of Ramos Arizpe.
The $21 million facility will generate between 170 to 400 direct jobs and produce fluid transmission components and high-pressure tubes for the automotive and industrial sectors, according to a news release.
Imperial Auto Industries was founded in 1969 and is based in Faridabad, India. The company has more than 50 plants worldwide.
The facility in Ramos Arizpe is Imperial Auto’s first factory in North America. Ramos Arizpe is in northern Mexico, about 179 miles from Laredo, Texas.
EGO Group launches electronic components plant in central Mexico
Germany-based EGO Group has opened a $20 million electronic components plant in the municipality of Apaseo el Grande, Mexico.
The 193,750-square-foot facility employs 300 workers. The factory produces electronic controls for dishwashers, clothes dryers, ovens, refrigerators and washing machines.
Apaseo el Grande is in central Mexico in the state of Guanajuato. The company also has a factory in the Mexican city of Queretaro.
“Mexico is a strategically important production location for our group,” Bernd Eckl, CEO of Blanc & Fischer Family Holding, the parent company of EGO Group, said in a news release.
The EGO Group has facilities in 19 countries and more than 5,300 employees.
Billor opens logistics hub in Houston
Billor, a FreightTech and fintech platform for truckers, has opened a delivery center and logistics hub in Houston for owner-operators working with the company.
The hub will allow truck drivers to pick up their trucks and bring them in for inspections, according to a news release.
“The opening of Billor’s new Delivery Center in Texas is a critical step in our nationwide expansion strategy,” Vincent Goetten, CEO of Billor, said in a statement. “Texas consistently ranks as the top state for freight tonnage, driven by a strong economy. Houston’s location at the intersection of major interstates makes it a natural choice for growth.”
Billor was founded in 2023 and is headquartered in Orlando, Florida. The company provides services to owner-operators, ranging from cargo management to truck financing and maintenance.
The post Borderlands Mexico: Organized crime groups fuel rise of US cargo thefts appeared first on FreightWaves.
