RCMP recovers 392 vehicles set to be exported from Canada by organized crime

The Growth Op
Thu, Aug 6
Key Points
  • The RCMP’s Project NoCargo, launched in June 2025 with INTERPOL Ottawa, intercepted and recovered 392 vehicles valued at $28 million across Canadian ports to combat transnational vehicle finance and insurance fraud.
  • Auto theft in Canada decreased by 33% since 2023 due to the federal government's national action plan, but evolving tactics by organized crime—such as key fob relay attacks—remain a significant challenge.
  • Despite declines in theft claims and losses reported by the Insurance Bureau of Canada (IBC), theft-related insurance costs remain historically high, with ongoing concerns over weak regulation of vehicle exports and freight forwarders.
  • Vehicle recovery rates remain low (around 50%) in provinces like Ontario, Quebec, and Alberta, with many stolen vehicles likely exported or dismantled, highlighting challenges in addressing the export of stolen vehicles and associated criminal activities.

The RCMP, working with other law enforcement agencies and Canadian financial institutions, says it has prevented hundreds of vehicles from being exported through Canadian ports.

“Over the past year, Project NoCargo has led to the interception and recovery of 392 vehicles, with an estimated total value of $28 million in Halifax, Montreal, Toronto, and Vancouver,” according to a statement released today.

Project NoCargo was launched in June 2025 by the RCMP’s Federal Policing Criminal Operations program, assisted by INTERPOL Ottawa, with the aim of tracking down suspicious vehicle exports. The project came about after INTERPOL Ottawa detected transnational organized crime networks engaging in vehicle finance fraud by stealing or manufacturing personal credentials and using them to apply for vehicle loans, as well as insurance policies with the intention of committing insurance fraud.

These criminal operations contributed to an estimated $900 million in insurance losses last year, says the statement. Through Project NoCargo, the CBSA have been referring cases presenting potential fraud to the RCMP for investigation.

The 2026 Canadian Auto Theft Impact Survey from Équité Association, a national not-for-profit that collaborates with Canadian property and casualty insurers to fight fraud, found that more than one-third of Canadians have been affected by auto theft, but only 18 per cent of the respondents believe vehicles can be built to withstand modern technology-based theft tactics.

Équité says auto theft in Canada has decreased by 33 per cent since 2023, due to the federal government’s national action plan to combat auto theft. But 55 per cent of respondents also pointed to evolving tactics by organized crime. Two thirds believe meaningful progress requires a coordinated response among governments, manufacturers, law enforcement and vehicle owners. That’s up slightly from 61 per cent in 2023.

Canadian communities “are justifiably concerned about public safety and evolving criminal tactics,” says Bryan Gast, national vice president of Intelligence & Investigations at Équité Association. “Canadians are telling us clearly that they feel security protections should be built into their vehicles (72 per cent), not sold to them as an after-market add-on.”

Gast noted that organized crime has traded crowbars for technology-based theft, such as key fob relay attacks and reprogramming to bypass vehicle security systems.

National Post previously reported that Toronto had 12,170 car thefts in 2023, with some residents of Rosedale, one of the city’s wealthy neighbourhoods, hiring private security as a means of prevention. Amid the auto theft crisis, some residents also installed retractable bollards, or short, vertical posts, to form a theft-prevention barrier around their vehicles.

Canadian Auto Dealer magazine reported in May of this year that auto theft insurance claims and losses have declined, drewing on 2025 data released by the Insurance Bureau of Canada.

The IBC said theft claims fell 24 per cent year-over-year in 2025 and the value of claims dropped 30 per cent. Total theft-related losses reached $724 million last year, down from more than $1 billion in 2024. However, despite the decline, the IBC also says auto theft costs remain significantly above historical levels.

“Over the past decade, theft-related insurance claims increased 38 per cent, while the value of claims rose 169 per cent. (IBC) is urging Ottawa to continue implementing recommendations from its National Action Plan on Combatting Auto Theft, including tougher vehicle immobilization standards and stronger oversight of vehicle exports,” according to IBC.

And counter to today’s announcement, the IBC told Canadian Auto Dealer that weak regulation of freight forwarders and export systems has made it easier for stolen vehicles to leave Canada through the nation’s ports. The IBC said claims counts peaked at more than 43,000 nationally in 2023 before declining over the past two years.

Recovery of stolen vehicles remains a problem, according to driving.ca. While thefts are down 22 per cent in Ontario and 25 per cent in Quebec, recovery rates are just 51 per cent in Ontario and 48 per cent in Quebec.

Équité’s 2025 Auto Theft Report states that nearly “half of the vehicles stolen in these provinces have not been recovered, likely exported or dismantled in chop shops.”

In Western Canada, there was a decrease in vehicle theft of 11 per cent in 2025 from 2024. However, states the Équité’ report, Alberta’s recovery rate has also dropped, with the western province continuing to be a feeder province for registering stolen and re-VINed vehicles (VIN refers to a vehicle identification number).

Car theft is described by driving.ca as “synonymous” with high-priced vehicles being loaded into containers to be shipped abroad and technology that can reproduce any legal document and enable financial fraud.