Mexican Manufacturing Industry Targeted by Ransomware Attacks

A Quest Software report based on the responses of 300 C-level IT executives globally reveals that the manufacturing industry became a prime target for ransomware and extortion in 2022. Of those surveyed, 66% believe that the financial consequences of a cyberattack can be devastating for their operations. 

"In an era of increasingly sophisticated cyberthreats, organizations, especially those in the manufacturing industry, must view Active Directory as a high-level investment and pay special attention to its cybersecurity and protection," says Patricia Fuentes, Manager, Quest Software. "Investing in cyber resilience can significantly reduce the risks of supply chain disruption and manufacturing system downtime." 

The report revealed that 38% of organizations estimated a compromise of their Active Directory lasting more than 24 hours could cost revenue losses between US$20 million and US$50 million. However, despite the proven financial risks associated with cyber breaches, only 19% of respondents conduct monthly vulnerability reviews and analyze potential attack paths within their Active Directory network. Additionally, only 7% of IT professionals in the manufacturing industry perform security system reviews on a weekly basis.

According to IT executives working in the manufacturing sector, ransomware attacks accounted for 22% of the identified security threats, closely followed by industrial espionage at 21%. The study also highlighted that 35% of respondents recognized ransomware as the most prevalent form of attack, while 27% identified phishing as the leading technique for breaching digital systems.

Mexican businesses are particularly vulnerable to cyberattacks, as companies invest little in cybersecurity. A study conducted by Alestra revealed that 61% of Mexican companies allocate less than 1% of their budget to cybersecurity services, with only 12% assigning between 5% and 10%, as reported by MBN. The deficiencies in Mexico's cybersecurity services are likely rooted in the overall underestimation of its importance among companies and organizations. 

These inadequate investment levels hinder Mexico's ability to fully capitalize on its nearshoring potential, despite its attractive manufacturing capabilities, strategic geographical location and cost-effective skilled workforce. By investing in cybersecurity, Mexico could enhance operational efficiency, ensuring uninterrupted workflow and long-term profitability.

IT specialists have identified significant challenges in addressing this cybersecurity vulnerability. On one hand, companies have struggled significantly in finding available cybersecurity talent. On the other, keeping up with the increasingly innovative techniques employed by hackers has been more difficult than expected, especially with the emergence of Generative AI. However, 27% of the interviewees recognize that budget restrictions continue to obstruct cybersecurity measures. 

Addressing the cybersecurity vulnerabilities in Mexico's manufacturing sector is imperative. Organizations must recognize the critical importance of cybersecurity and allocate appropriate resources to protect their operations. By doing so, they can safeguard their assets, maintain customer trust and unlock the full potential of Mexico's manufacturing capabilities in an increasingly interconnected and digitized world.