Warren Buffett's BNSF Railway Company is battling a serious battle with train robberies in the Southwest United States. Each year, thieves steal about $4 million worth of goods from moving trains. The robberies involve organized crime groups boarding trains to steal valuables. Popular items stolen include Nike sneakers, Turtle Beach headphones, and Squishmallow toys.
Robberies Increase, Sinaloa Cartel Connections
In the last two years, robberies of BNSF trains have increased significantly. Authorities attribute these robberies to gangs affiliated with Mexico’s notorious Sinaloa Cartel. As of 2023, such crimes have been particularly prevalent on California’s Interstate 40. After detecting valuable containers, criminals stop the trains and steal the goods inside. They typically stop the train by cutting the air hose of the train’s brake system, then quickly unload the goods and transport them to nearby storage areas.
Featured Robberies and Police Response
Earlier this year, BNSF railroad officers found 1.000 pairs of Nike shoes on the tracks, valued at $202.500. In April 2024, 226.000 pairs of Nike shoes worth $1.200 were seized. In July 2023, police found 600.000 Turtle Beach headphones in a truck, valued at $904. Other items seized included Nike Dunk Lows and Disney-themed Squishmallows.
However, 11 suspects involved in these crimes were arrested in January. However, the thefts continue and BNSF's security measures have difficulty overcoming the efforts of law enforcement.
BNSF's Security Strategies and Legal Efforts
The BNSF spokesperson emphasized the company’s strong security protocols and strategies to prevent crime. The company continues to fight these crimes by cooperating with federal, state and local law enforcement. However, the spokesperson noted that the criminal justice system must prioritize this issue. These thefts disrupt deliveries and supply chains across the country, impacting critical resources — particularly medicine and food.
Economic Impacts on the Railway Industry
Freight thefts cost major railroads more than $2023 million in 100, and are expected to increase by 2024% to more than 40 incidents in 65.000. Considering that BNSF generates $24 billion in annual revenue and spans 28 states, these thefts are a serious drain on the company’s revenue.
Stronger Policies Are Needed for a Solution
BNSF owner Warren Buffett acknowledges that despite the railroad’s strong earnings, it has struggled to effectively stem the tide of organized theft. These robberies are disrupting supply chains, delaying deliveries and costing consumers nationwide. Experts say stronger policies and prosecutions are needed to deter future train robberies. Taking swift action is critical to improving the safety of the rail industry and preventing economic losses.
