For those working in or partnering with manufacturing, cybersecurity is no longer optional... it's a necessity.
The manufacturing industry is under increasingly sophisticated cyber security threats.
As smart factories and interconnected systems become standard, manufacturing businesses face escalating risks, from ransomware and phishing to supply chain breaches.
This blog unpacks the most pressing threats and provides actionable steps to proect your business against cyber threat actors and ensuring operational resilience.
The rising threat landscape
The manufacturing sector's vulnerability to cyber threats has grown exponentially in recent years.
Since 2019, manufacturing organizations have seen a 300% surge in attacks.
One of the most significant contributing factor is the sector's increased connectivity.
With Industry 4.0 technologies such as IIoT devices, cloud-based systems, and interconnected supply chains, the attack surface has expanded dramatically.
The evolution of cybercriminal tactics, fuelled by advanced technologies like AI and machine learning, further intensifies the threat landscape.
These tools enable threat actors to create highly targeted attacks, automating reconnaissance and breaching defenses faster than ever.
The dramatic increase in cyberattacks is a wake-up call, particularly for industries like manufacturing where interconnected systems are both a boon and a vulnerability.
Common cybersecurity threats in manufacturing
1. Phishing and social engineering
How they work
Phishing attacks target employees through deceptive emails or messages designed to appear legitimate.
Attackers often impersonate trusted entities, such as supply chain partners or internal departments, to trick employees into revealing sensitive information like login credentials or initiating financial transactions.
Social engineering tactics manipulate emotions such as urgency or authority to bypass skepticism.
And even seasoned professionals can fall prey to phishing when the scam creates a sense of urgency.
Real-life examples
An automotive supplier fell victim to a phishing scheme where attackers posed as a trusted vendor to gain access to sensitive procurement data.
Another case involved fake emails requesting urgent wire transfers, leading to significant financial losses.
Why manufacturing companies are vulnerable
The prevalence of siloed departments and high email traffic from external partners creates a fertile ground for phishing attacks.
Employees in manufacturing often lack the cybersecurity awareness necessary to detect sophisticated scams.
And a lack of email filtering systems exacerbates this risk.
This why implementing employee cyber security training and AI-enhanced threat detection tools can significantly reduce exposure.
2. Ransomware attacks
How they work
Ransomware encrypts critical data and systems, rendering them inaccessible until a ransom is paid.
These attacks often originate from malware introduced through phishing emails, compromised websites, or unpatched vulnerabilities in legacy systems.
Advanced ransomware variants may also exfiltrate sensitive data before encryption, increasing leverage over victims.
Real-life examples
The Norsk Hydro ransomware attack disrupted operations globally, affecting both IT and OT environments.
The attackers demanded a significant ransom in exchange for decrypting essential files, causing millions of dollars in damages.
Why manufacturing companies Are vulnerable
The high reliance on operational uptime makes manufacturing firms an attractive target for cyber threat actors.
Interconnected IT and OT systems often lack sufficient segmentation, allowing ransomware to propagate rapidly.
Legacy systems with outdated security measures further compound the risk.
The cascading impact of ransomware on interconnected IT-OT environments tells us just how important proactive segmentation and system updates are.
To combat ransomware, manufacturers should implement network segmentation, automated patch management, and robust backup systems.
3. Supply chain attacks
How they work
Supply chain attacks exploit vulnerabilities in third-party vendors to infiltrate a manufacturing company’s network.
Around 20% of attacks in the manufacturing sector originate from supplier vulnerabilities.
Attackers may compromise software updates or inject malicious code into vendor systems, which then spread to the manufacturer.
Supply chain attacks provide significant leverage for threat actors, as a single breached company or SaaS system can offer access to multiple suppliers and customers.
Real-life examples
The SolarWinds breach, though impacting various sectors, highlighted the risks for manufacturing companies reliant on vendor software.
A compromised software update was used to infiltrate customer networks, enabling attackers to gain unauthorized access to sensitive systems.
This lateral movement caused widespread disruptions.
Why manufacturing companies are vulnerable
Manufacturers depend on extensive supply chains involving numerous vendors and contractors.
Insufficient oversight and varying cybersecurity maturity among partners create a broad attack surface.
The lack of consistent standards exacerbates these vulnerabilities.
Regular supply chain audits and enforcing strict vendor compliance with cybersecurity protocols can mitigate risks.
4. Insider threats
How they work
Insider threats involve employees or contractors abusing access privileges to compromise data or systems.
These can be intentional acts, such as sabotage, or unintentional actions, like clicking on malicious links.
Real-life examples
A disgruntled employee at a manufacturing firm deleted key production schedules, delaying operations for weeks and causing substantial financial losses.
Behavioral monitoring tools flagged unusual activity weeks before the incident, but the alert was overlooked.
Why manufacturing companies are vulnerable
Weak access controls and limited monitoring of employee activities increase susceptibility.
The high turnover in manufacturing roles and limited cybersecurity training also contribute to this vulnerability.
Comprehensive background checks and behavioral monitoring tools can help mitigate insider risks.
5. Intellectual property theft
How they work
Attackers, often nation-state actors, infiltrate networks to steal proprietary designs, processes, or technologies.
This is achieved through phishing, exploiting unpatched vulnerabilities, or directly targeting connected devices.
Real-life examples
Semiconductor manufacturers have been repeatedly targeted by attackers seeking to replicate advanced chip designs.
These breaches often involve the exfiltration of sensitive design files and technical specifications.
And intellectual property theft often leaves lasting reputational damage that is difficult to quantify.
Why manufacturing companies are vulnerable
The high value of intellectual property makes manufacturers an attractive target.
A lack of encrypted data transfers and network segmentation increase exposure to theft.
A reliance on connected devices without adequate monitoring tools can also exacerbate the cyber risks.
6. Equipment sabotage
How they work
Sabotage attacks target industrial control systems (ICS) or operational technologies (OT), manipulating equipment to disrupt production or cause physical damage.
Attackers exploit outdated systems and unpatched vulnerabilities to gain control.
Real-life examples
ICS sabotage is an escalating threat as legacy systems continue to dominate industrial environments...
The Triton malware attack on a chemical plant aimed to disable safety systems, potentially causing catastrophic physical damage.
Why manufacturing companies are vulnerable
Legacy equipment often lacks modern security features, making it susceptible to manipulation.
Limited isolation of critical systems from external networks can also increases the likelihood of successful sabotage.
Isolating ICS environments and conducting regular security assessments are essential countermeasures.
7. Nation-state attacks
How they work
The line between corporate espionage and national strategy has become increasingly blurred in the modern cybersecurity landscape.
Nation-state attackers leverage sophisticated techniques to steal data, disrupt operations, or gain economic advantages.
These attacks are highly targeted and involve prolonged reconnaissance.
Real-life examples
A steel production facility was breached by a nation-state group, disrupting operations and stealing proprietary manufacturing techniques.
Why manufacturing companies are vulnerable
Critical manufacturing sectors are vital to national economies, making them strategic targets for geopolitical adversaries.
Inadequate defenses and threat intelligence capabilities further increase susceptibility.
So, advanced threat intelligence and multi-layered defenses are your first line of defense against nation-state attackers.
Best practices to mitigate threats
1. Conduct comprehensive audits
An ounce of prevention is worth a pound of cure.
Security audits help identify vulnerabilities and provide a roadmap for remediation.
Regular audits should include vulnerability scans, penetration testing, and compliance checks
Audits not only uncover hidden vulnerabilities but also provide a benchmark for future improvements.
2. Strengthen the supply chain
Vendors must meet rigorous cybersecurity standards. Implementing audits and requiring certifications can help ensure supply chain integrity.
Regularly assess your suppliers’ security posture to mitigate risks.
Supply chain security is as strong as its weakest link; a compromised vendor puts the entire ecosystem at risk.
3. Implement strong cybersecurity controls
Basic measures like multi-factor authentication (MFA), strong password policies, and endpoint protection can thwart many attacks.
Yet, many manufacturers still overlook these fundamentals.
Neglecting basic controls is akin to leaving the factory door wide open.
4. Create a roadmap and adopt frameworks
Frameworks like NIST’s 8183 Revision 1 and IEC 62443 provide structured approaches to managing cybersecurity risks.
Tailor these frameworks to your organization’s specific needs.
Adopting a framework provides a clear roadmap for addressing both current and future threats.
5. Engage the C-Suite
Buy-in from executives is critical.
Cybersecurity must be treated as a business risk, not just an IT issue.
Speak their language by framing cybersecurity in terms of financial and operational impact.
Leadership engagement transforms cybersecurity from a technical issue to a strategic imperative.
6. Leverage the cloud
The cloud offers scalability and isolation, but misconfigurations can turn it into a liability.
Non-core systems like email servers can be moved to the cloud, reducing the burden on internal IT and isolating critical systems from potential breaches.
Just make sure that cloud solutions are configured securely.
7. Maintain a strong security posture
Cybersecurity is not a one-time effort.
A dynamic security posture is vital to counter evolving threats.
Continuous monitoring, regular updates, and incident response drills are essential.
Governance policies should enforce ongoing compliance and risk management.
8. Invest in cybersecurity insurance
Insurance can provide financial relief in the event of a breach.
Ensure your policy covers ransomware negotiations, recovery costs, and business interruption.
However, cyber insurance should be seen as a safety net, not a substitute for strong defenses.
Reducing cyber risks in manufacturing with Hoxhunt
Human error remains one of the biggest risks in the cyber threat landscape.
Hoxhunt was designed to automatically deliver in-the-moment micro-trainings to drive engagement, safe behaviors and reduce human risk.
- Prepare employees for real threats: Adaptive phishing simulations mimic real-world cyber attacks, teaching employees to identify malicious activities like email attachments containing ransomware or links designed for brute force attacks.
- Gamify learning to boost enagement: Engaging, personalized training fosters a culture of vigilance, ensuring employees are prepared to recognize and report threats that could compromise endpoint devices or operational systems.
- Easily meet compliance requirements: Hoxhunt’s training aligns with industry standards and frameworks, such as the MAPI Smart Factory Study and NIST guidelines.
- Automate phishing training, your way: Whether you prefer fully AI-driven adaptive training or being more hands-on, Hoxhunt powers your security training with flexible automation.
- Measure your human risk: Easily measure program performance over time with powerful dashboards and gather insights on your biggest vulnerabilities to identify where efforts should be focussed.
Sources
Cyber Attacks on Manufacturing: Share Worldwide – Statista, 2023
Top 10 Biggest Cyber Threats – Cyber Magazine, 2023
Hackers Hit Norsk Hydro with Ransomware: The Company Responded with Transparency – Microsoft News, 2023
What You Need to Know About the SolarWinds Supply Chain Attack – CSO Online, 2023
Real-Life Examples of Insider Threat Caused Breaches – Syteca Blog, 2023
Why Semiconductor Companies Are Prone to Intellectual Property Theft – Seclore Blog, 2023
Triton Malware: Targeting Safety Controllers – NCSC, 2023
Cyberattack on German Steel Plant Causes Significant Damage – Security Week, 2023
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