Report: Cyberattack In Asia Pacific Ports Can Cost $110 Billion
According to a report on a hypothetical cyber attack on the major ports in the Asia Pacific, the loss could account for up to $110 billion if 15 ports are infected by a computer virus.
A hypothetical situation is depicted by the ‘Shen attack’. It shows the launch of an attack by a computer virus that is carried by ships that later destroys the database records of the cargo at the important ports and thus, leads to major disruption.
According to the report, such an attack will lead to major economic damage to a wide range of business sectors all around the globe because the marine supply chain is interconnected.
The scenario estimates that:
Transportation, aviation and aerospace sectors would be the most affected ($28.2bn of economic losses in total), followed by manufacturing ($23.6bn) and retail ($18.5bn).
Every country that has bilateral trade with the attacked ports will be affected. Asia would be the worst affected region, set to lose up to $27bn in indirect economic losses, followed by $623m in Europe and $266m in North America.
Apart from the high costs to business and international trade, the report also presents that the unpreparedness of the global economy for such an attack with 92% of the total economic costs uninsured, leaving an insurance gap of $101bn.
This is the second publication by the Singapore based public-private initiative that assesses cyber risks. Lloyds is one of the founding members.