The logistics sector has gained renewed importance in today’s digital-first world, with retailers and customers demanding instant delivery of goods at the click of a button. To meet these expectations, logistics companies have adopted technology at scale to streamline operations and improve efficiency. While this digital transformation has delivered operational benefits, it has also introduced serious cybersecurity risks.
Supply chain disruptions linked to cyberattacks have increasingly made headlines. One notable example is the May 2021 Colonial Pipeline ransomware attack in the US, which shut down oil supplies for a week and resulted in nearly $50 million in ransom payments and business disruption. Cyberattacks on logistics and transportation companies are no longer rare incidents—they are becoming routine, as hackers increasingly target high-value logistics operations. The reduced cost and complexity of launching cyberattacks further increase the likelihood of breaches.
To prevent severe operational and financial damage, logistics companies must understand their cybersecurity gaps and the key threats they face.
Every component of the logistics supply chain is vulnerable to cyberattacks, including trucking, shipping, railways, and last-mile delivery. Operational technology now digitally connects central systems to distributed assets through wireless networks, creating a large attack surface for cybercriminals.
Logistics organizations also rely heavily on third-party digital partnerships with suppliers, distributors, and technology providers. A single compromised partner can expose the entire supply chain to risk. Customer-facing platforms—such as shipment tracking systems, order management portals, and mobile applications—also present attack vectors, as they handle sensitive customer and operational data.
Another major concern is organizational security maturity. Many companies take a reactive approach, addressing cybersecurity issues only after incidents occur. Even when leadership wants to improve security, a shortage of skilled cybersecurity professionals can hinder progress. These gaps provide opportunities for attackers to exploit weaknesses.
Regulatory challenges further complicate matters. Cybersecurity standards vary across regions and industries, especially in global logistics operations. While many regulations lack logistics-specific cybersecurity focus, newer frameworks such as the EU Network and Information Security (NIS) Directive, CLC/TS 50701, and EN 50126 for railways are beginning to address these risks.
Internet of Things (IoT) devices are widely used across the supply chain to track shipments and verify deliveries in real time. However, many IoT manufacturers do not follow strong cybersecurity practices. Compromised devices can allow attackers to manipulate data, issue unauthorized commands, or steal sensitive information.
To reduce IoT-related risks, organizations should change default credentials, encrypt transmitted data, and ensure employees access devices only through secure networks.
Bring Your Own Device (BYOD) policies are common in logistics, particularly for drivers and field workers. Personal devices often lack enterprise-grade security controls, making them vulnerable to phishing, malware, and unauthorized access.
Organizations can mitigate these risks by issuing secured company devices or by educating employees on safe online behavior, secure network usage, and malware prevention.
Ransomware poses a severe threat to logistics operations. In December 2020, freight company Forward Air was hit by a ransomware attack that resulted in $7.5 million in lost revenue. Later disclosures revealed that sensitive employee data had also been compromised.
Ransomware attacks encrypt systems and demand payment for decryption keys. Even if your organization avoids an attack, a compromised partner can disrupt your operations through shared systems and data dependencies.
Phishing remains one of the most effective attack methods. Attackers use realistic-looking emails, texts, or phone calls to trick victims into revealing credentials or installing malware. Logistics companies are especially vulnerable, as employees and customers frequently receive delivery-related communications.
In December 2020, attackers impersonated a senior executive from Haier Biomedical, a COVID-19 vaccine supply chain participant, to send phishing emails to transport organizations involved in cold-chain logistics. The likely goal was credential theft and network access.
Freight forwarding fraud involves impersonating legitimate forwarders to steal payments or cargo. Attackers may clone a real company’s website or offer unusually low rates to lure victims. In some cases, scammers hold Bills of Lading hostage until ransom payments are made.
To reduce risk, verify SSL certificates, ensure HTTPS encryption, scrutinize URLs for errors, and confirm pricing against industry norms.
There is no universal cybersecurity solution for logistics, but several best practices can significantly reduce risk:
Regular security audits
Conduct frequent vulnerability assessments and penetration testing (VAPT) to identify weaknesses across systems and networks.
Third-party compliance
Ensure partners meet defined security standards and hold them accountable for data protection. Evaluate IoT vendors for secure development practices.
Cyber-first mindset
Adopt a proactive security strategy by prioritizing risks, creating incident response plans, and dedicating internal or external teams to cybersecurity. Train employees to recognize phishing, use strong passwords, and follow secure practices.
Zero-trust architecture
Implement zero-trust security models that verify every access request and continuously monitor network activity to prevent unauthorized data access.
Timely updates and backups
Apply software updates and security patches regularly. Maintain encrypted backups to enable rapid recovery from ransomware incidents.
Cyber risks in logistics are complex, but security doesn’t have to be. ThreatScan is a SaaS-based vulnerability management and penetration testing platform designed to uncover risks across applications and networks. It provides instant threat scoring, organizational risk insights, and an intuitive dashboard for managing vulnerabilities and monitoring penetration tests.
ThreatScan also features an AI-powered chatbot, Diana, to assist with test management and cybersecurity queries in real time. With 24/7 support and integrations with email, Jira, and Slack, ThreatScan enables faster response and effective collaboration.
Connect with ThreatScan to strengthen your logistics security posture and stay ahead of emerging cyber threats.
https://www.bcg.com/en-in/publications/2021/navigating-rising-cyber-risks-in-transportation-and-logistics
https://siliconangle.com/2021/09/29/shipping-company-forward-air-discloses-data-theft-following-ransomware-attack/
https://securityintelligence.com/posts/ibm-uncovers-global-phishing-covid-19-vaccine-cold-chain/
https://www.marshcommercial.co.uk/articles/seven-cyber-risks-facing-transport-and-logistics/