Cyber Threats Pose Risk to Ocean Cargo Supply Chain

An annual intelligence authorization act passed last month by the House of Representatives would crack down on cyber-security at U.S. seaports, the latest step to alleviate growing concerns over terror attacks on the maritime industry.

Lawmakers voted 371-35 for the Intelligence Authorization Act of 2017, allowing funding for 16 different intelligence agencies, including the Federal Bureau of Investigation, the Central Intelligence Agency, the Department of Defense, the Department of Homeland Security and the National Security Agency. But it is the new and revised policies in the bill that lawmakers are emphasizing, notes a dispatch from Washington, DC-based AMI Newswire.

Specifically, the legislation would require, within six months of the bill becoming law, reports from intelligence officials on cyber-security at the 360 commercial ports in the U.S., as well as how information is being shared among federal agencies.

Supply chain managers see danger, too. According to a report from BDO USA, an accounting and consulting organization, manufacturers’ intellectual property, data and products have also become prime targets for cybercriminals.

In a recent survey, more than nine in 10 manufacturers (92 percent) cite cybersecurity concerns in their SEC disclosures this year. That represents a 44-percent jump from 2013 – and the first time in BDO’s analysis that cyber risk ranks among manufacturers' top 10 risk factors. “As the industry races toward the next frontier, manufacturers must strike a balance between progress and security,” said Rick Schreiber, partner and national leader of the Manufacturing & Distribution practice and National Association of Manufacturers board member.

“Data analytics and the Internet of Things may spur the next industrial revolution, but with that comes increased exposure to cyber risk. Manufacturers still have some catching up to do to adequately protect their data, customers, products and factory floors.”

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