Managing cyber risk with USCG's new Maritime Security Directive By Michael DeVolld


In


this article


Michael DeVolld, Maritime Transportation System (MTS) Cybersecurity Lead at ABS Consulting, looks at the potential of the new directive, the importance of acting now to prepare for the implementation of the regulations and some of the key steps that should be taken.


In February 2024, the United States Coast Guard (USCG) published a Notice of Proposed Rulemaking (NPRM) in the Federal Register, updating maritime security regulations and introducing new regulations establishing minimum cybersecurity requirements for US-flagged vessels, facilities on the Outer Continental Shelf and US facilities subject to regulations under the Maritime Transportation Security Act of 2002.


The USCG’s proposed rule followed an Executive Order from the Biden- Harris Administration that directed it: “to respond to malicious cyber activity in the nation’s Maritime Transportation System (MTS) by requiring vessels and waterfront facilities to mitigate cyber conditions that may endanger the safety of a vessel, facility, or harbor.” The new proposal also mandated the reporting of cyber incidents – or active cyber threats – endangering any vessel, harbor, port or waterfront facility.


In addition, USCG also issued a Maritime Security Directive on cyber risk management actions for the owners and operators of ship-to-shore cranes manufactured by the People’s Republic of China that are located at US Commercial Strategic Seaports. Under it, owners and operators will be required to take a series of actions on these cranes and associated Information Technology (IT) and Operational Technology (OT) systems, to safeguard against cyber risk.


In publishing the Executive Order, the White House highlighted that:


“America’s prosperity is directly linked to maritime trade and the integrated network of ports, terminals, vessels, waterways and land-side connections that constitute the Nation’s Marine Transportation System (MTS). This complex system supports $5.4 trillion worth of economic activity each year, contributes to the employment of more


58 | ISSUE 111 | MAR 2025 | THE REPORT


than 31 million Americans, and supports nearly 95% of cargo entering the US.”


With the maritime industry increasingly reliant on digital systems - revolutionizing how it operates - increased digital interconnectedness comes with increased risk of external cyber threats.


Rising Maritime Cyber Threats


In its 2023 Cyber Trends and Insights in the Marine Environment (CTIME) report the United States Coast Guard noted:


- Ransomware attacks increased 80% in 2023. These attacks encrypt systems with the goal of locking users out, then extorting the victim and demanding ransom for a decryption key. Perpetrators are becoming more sophisticated and requested ransoms have tripled.


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