Phishing attacks are escalating in the global supply chain

The global supply chain is essential for the economy, connecting suppliers, manufacturers, transporters, and consumers. However, it is vulnerable to disruptions from cyberattacks. These attacks can cause delays, halt projects, and create shortages of goods, affecting prices and availability for consumers. One major threat to supply chains is phishing scams, particularly double brokering fraud. In recent years, complaints about these scams among freight and transportation companies have surged by 400%. About 50% of freight brokers consider it their biggest concern. In double brokering scams, attackers impersonate transport companies to trick victims into revealing shipment details. They offer lower prices to secure contracts but then pass the shipment to a legitimate carrier without paying them. This can lead to significant financial losses and reputational damage for the affected businesses. Phishing is effective because it exploits human error rather than relying on hacking technical systems. Scammers often use fake email domains that look similar to real ones to deceive victims. The consequences include delayed deliveries and tarnished reputations, which can take a long time to recover from. To combat these scams, businesses must focus on employee training and awareness. Workers should be able to recognize unusual email signs and verify the identities of senders before sharing information. Technology also plays an important role in enhancing security. Advanced tools, such as machine learning and artificial intelligence, help detect suspicious activity. Improving cyber resilience—ability to recover from cyberattacks—is another key focus. Organizations should assess risks throughout their supply chain and strengthen weak links. Collaboration is necessary to protect the overall supply chain. By working together, businesses can create a safer supply chain and help ensure more stable global trade.