Cybercrime Drives Surge in Digital Cargo Theft in Canada

News Analysis

Cyber-enabled cargo theft is surging in Canada, with risk analysts and law enforcement in the United States warning that sophisticated criminals now use fake websites, phishing emails, and even stolen credentials to redirect entire shipments of high-value goods across the continent.

Trailers loaded with consumer electronics, home appliances, and even beef are being targeted in transport hubs in Ontario, California, and Texas, as criminals infiltrate logistics systems, pose as legitimate carriers, and reroute cargo mid-transit before it reaches its intended destination.

Cargo theft losses in Canada and the United States combined jumped to almost $1 billion in 2025, a 60 percent increase from 2024, the FBI said in a public service announcement on April 30. The average value per theft rose 36 percent to $372,000 at the same time, reflecting a shift toward higher-value loads and more sophisticated tactics.

In Canada in particular, trucking companies, insurers, police, and legislators risk falling behind as criminal gangs that once relied on crowbars and bolt cutters grow increasingly adept with keyboards, malicious software, and fake documents.

Compared to the United States, Canada has a limited ability to deal with even traditional forms of cargo theft, let alone the modern variety, industry observers say. Cargo theft is not classified as a distinct offence in Canada and it lacks a dedicated reporting framework. This contributes to underreporting and leaves authorities with an incomplete picture of the threat.

“Industrywide reporting still trails behind that of the United States, yet organized cargo thieves in Canada are just as sophisticated as they are in the United States, often utilizing the same methods and criminal networks not only to target products, but also to liquidate them,” Overhaul, a global supply chain risk intelligence firm based in Texas, warned in a report published in February.

“While industry incident reporting lags behind, cargo crime in Canada is likely to rise until cargo theft specific legislation is passed and better data is available to understand the problem.”

Meanwhile, Canadian authorities have not outlined a national strategy specifically targeting cargo theft or cyber-enabled freight fraud, leaving the issue to be addressed through laws and police procedures designed for more traditional forms of theft.

Cyber Deception

While traditional cargo theft resembled burglary—thieves stealing entire trailers or hijacking trucks—modern operations are far more sophisticated, relying on misdirection and cyber deception.

Cybercriminals gain access to broker or carrier systems through phishing emails, fake websites, or compromised accounts, then pose as legitimate companies on digital load boards, according to the FBI.

Using these identities, they secure real shipments, alter delivery details, and redirect cargo to locations they control. By the time the fraud is detected, the goods have often been transferred, resold, or disappeared entirely, sometimes leaving little or no paper trail.

Overhaul reports that fraud-driven schemes—what it calls “deceptive pickup”—are among the fastest-growing forms of cargo theft, enabling criminal groups to scale their operations far beyond the limits of traditional, opportunistic theft.

Cyber-enabled cargo theft accelerated throughout last year, in a trend likely continuing in 2026, according to data compiled by Overhaul. The fourth quarter of last year saw 31 percent of all last year’s deceptive pickups in North America, from 26 percent in the third quarter, 24 percent in the second and 18 percent in the first.

From Gold Bars to Beef Roast

With today’s more sophisticated methods, criminals can also be more selective about their targets, instead of simply taking any trailer they can and hoping for expensive goods. In 2025, Overhaul says 23 percent of deceptive pickups targeted electronics, while 16 percent hit food and drink shipments, 13 percent were aimed at each pharmaceutical and metals, and the clothing and shoes category accounted for 11 percent.

In Canada, across all forms of cargo theft, home and garden supplies were the most frequently targeted category, accounting for 21 percent of incidents. Electronics followed at 15 percent, while food and drinks accounted for 13 percent. The categories of miscellaneous, building and industrial, clothing and shoes, and tobacco each represented between 8 and 10 percent, the report says.

One of the most infamous cases of cargo theft in Canada came in April 2023, when more than $22 million in gold and cash was stolen from a secure cargo facility at Toronto Pearson International Airport after arriving on a flight from Switzerland.

Police say a criminal gang used falsified documents to collect the shipment before it was picked up by the intended carrier. One of the criminals invovled, Arsalan Chaudhary, pleaded guilty to theft over $5,000 and was sentenced to four years in prison, while several other suspects have been charged and some remain at large.

More recent cases illustrate how the new methods of theft are playing out in Canada.

Last week, York Regional Police arrested five men in connection with a tractor trailer load of $2 million of cannabis products that was stolen on the way to multiple dispensaries in Ontario. And last August, cargo thieves stole a semi-truck trailer load with 530 boxes of boneless beef chuck roast worth about $220,000, according to the Windsor Police Service.

Also last year, Peel Regional Police arrested two Brampton men in an investigation into more than $5 million worth of stolen cargo. Police allege they used the names of trucking companies to secure cargo contracts through an online platform, then redirected the shipments through other carriers and stole trailers and freight worth more than $5 million.

The Situation in Canada

Cyber-enabled freight fraud is exacerbating a problem that Canadian authorities were already struggling with, in part due to rising crime in general, limited police resources, the cross-boundary nature of the crimes, an apparent reluctance among victim companies to report theft, and the lack of a classification for cargo theft.

As Canada’s Criminal Code has no dedicated cargo theft offence, cases are typically prosecuted under general theft or fraud provisions regardless of scale or level of organization. Also, few specialized cargo theft policing units exist in the country, while the crimes often span provincial and international boundaries.

Meanwhile, police are forced to report related crime data to Statistics Canada under other categories such as theft of a vehicle or theft from a vehicle. It is then recorded under general theft thresholds.

According to Equité Association, a Canadian non-profit group established to combat insurance fraud and crime, trailer theft increased to approximately 970 incidents nationwide in 2025, up from about 570 in 2024.

Yet reported cargo losses did not rise at the same pace, suggesting the industry may be absorbing more theft than official records reflect. Equité Association says the gap between stolen trailers and reported missing loads points to significant undercounting.

Cargo theft in Canada remains heavily concentrated in Ontario, particularly in the Greater Toronto Area, where the density of warehouses, distribution centres, and freight corridors creates a prime target environment.

Overhaul says about 65 percent of reported cargo theft incidents occurred in Ontario last year. However, the data also points to a geographic shift, with British Columbia’s share rising to roughly 15 percent, suggesting the problem is spreading beyond traditional logistics hubs.

Overall, a lack of hard data leaves policymakers struggling with approximate numbers and, in some cases, educated guesses by industry experts. Without a dedicated reporting system, much of it is hidden within broader crime categories, leaving an incomplete picture of a rapidly evolving threat.

And as the crime moves online, it becomes increasingly difficult to see, often leaving little behind but missing cargo and unanswered questions.