On Tuesday, U.S. Rep. David Valadao (R-CA) introduced legislation that would protect cargo against theft and secure the supply chain.
Valadao, along with Rep. Brad Schneider (D-IL), introduced the Safeguarding our Supply Chains Act that would improve the coordination between the U.S. Department of Homeland Security and the FBI to stop theft within the supply chain. Valadao said that since the start of the COVID-19 pandemic, millions of dollars’ worth of cargo had been stolen through organized theft. In California, he said, the first quarter of 2024 saw a 72 percent year-over-year increase in cargo thefts.
“Central Valley families are paying more for just about everything, and supply chain disruptions only make this problem worse,” Valadao said. “The alarming increase in cargo theft is having a devastating impact across industries, and we need to do more to ensure these goods are making it to their destination. The Safeguarding our Supply Chains Act will improve coordination to identify solutions and prevent theft. I’m proud to introduce this bipartisan bill and look forward to working with my colleagues to get this across the finish line.”
The legislation, if passed, would establish a Supply Chain Crime Coordination Center and a Supply Chain and Theft Task Force. These entities would collect and analyze data related to supply chain fraud and theft, as well as analyze regions and modes of transportation across the country that are seeing high volumes of organized crime. The Task Force will be required to report to Congress withing 180 days after the legislation is enacted about its effectiveness.
“Cargo theft and supply chain fraud has increased at an alarming rate over the last few years. In just the first four months of this year, my state of Illinois experienced a 126 percent spike in incidents of fraud schemes,” Schneider said.
The legislation is supported by the Association of American Railroads (AAR), American Trucking Associations (ATA), National Milk Producers Federation, U.S. Dairy Export Council, UPS, Union Pacific (UP), U.S. Chamber of Commerce, Retail Industry Leaders Association (RILA), National Retail Federation, National Association of Manufacturers (NAM), and BNSF Railway.