Trucking industry backs Combating Organized Retail Crime Act

Cargo theft is escalating into a national supply chain crisis and demands immediate federal action, the American Trucking Associations (ATA) told the U.S. Senate Judiciary Committee this week.

Donna Lemm, chief strategy officer for IMC Logistics, testified on behalf of ATA and in support of the Combating Organized Retail Crime Act.

Introduced in April by Sens. Chuck Grassley, R-Iowa, and Catherine Cortez Masto, D-Nev., the Combating Organized Retail Crime Act would assign the Department of Homeland Security to lead a national strategy to combat the problem.

According to the organization, the act would "establish a coordinated multi-agency response and equip law enforcement with new resources to address a surge of cargo theft incidents happening across the country."

The hearing focused on the growth of organized criminal activity targeting freight and retail supply chains.

In her statement, Lemm said rising cargo theft is affecting the trucking industry across the United States and that it "will continue to metastasize unless Congress recognizes the severity of the problem, law enforcement devotes sufficient time and resources, and the federal government takes a leading role in coordinating enforcement efforts."

According to testimony and committee materials, cargo theft is costing the supply chain up to $35 billion annually, contributing to higher consumer prices and insurance costs. Strategic cargo theft, involving cybercrime, fraud and other complex schemes, has increased 1,500% since the first quarter of 2021. The average loss per incident now exceeds $200,000.