Industrial Ransomware Attacks Surge in Q3 2025: Manufacturing Sector Bears the Brunt

 

TL;DR: Industrial ransomware attacks jumped to 742 incidents in Q3 2025, up from 657 the prior quarter. Manufacturing absorbed 72% of attacks, with construction being the hardest-hit subsector. Qilin ransomware dominated the threat scene while new groups emerged at an alarming rate. Houston-area businesses with manufacturing, oil and gas, or logistics operations face elevated risk as attackers increasingly target the IT systems that keep production running.

 

   The Growing Storm: Industrial Ransomware Reaches New Heights

A newly released analysis from Dragos, a leading industrial cybersecurity firm, reveals just how dramatically the ransomware threat has escalated for manufacturers and critical infrastructure operators. Their Q3 2025 Industrial Ransomware Analysis documents 742 ransomware incidents targeting industrial entities between July and September – a sharp increase from the 657 incidents recorded in Q2. This isn’t just a statistical uptick; it represents hundreds of businesses facing production shutdowns, supply chain disruptions, and ransom demands that can cripple operations.

The Dragos report highlights something that should concern every business owner with manufacturing or industrial operations: these attackers understand that industrial organizations simply cannot afford downtime. A manufacturing plant that goes offline doesn’t just lose money -it creates ripple effects through entire supply chains. And the criminals know exactly how to exploit that pressure.

What makes this wave particularly concerning is the sophistication of the attacks. Ransomware-as-a-Service (RaaS) operations have matured into well-oiled machines, complete with affiliate programs, customer support for victims, and specialized tools for different industries. The ecosystem has become so efficient that new threat groups can spin up operations with minimal technical expertise.

   The Severity of the Threat

The numbers from the Dragos analysis paint a stark picture of the industrial cybersecurity challenge:

• 742 total incidents in Q3 2025, representing a 13% increase from Q2
• Manufacturing sector absorbed 72% of all attacks (532 incidents)
• Construction was the most targeted manufacturing subsector with 142 incidents
• Government organizations saw attacks increase nearly ninefold, from 4 incidents in Q2 to 35 in Q3
• Electric and renewables sector incidents jumped from 3 to 16
• North America remained the primary target with 434 incidents, including 392 in the United States alone

Perhaps most alarming is the acceleration of new threat groups entering the space. The quarter saw the emergence of numerous new ransomware operations, including Sinobi, Gentlemen, Beast, and nearly two dozen others. The barrier to entry keeps dropping as leaked ransomware builders, AI-assisted tools, and affiliate programs make it easier for criminals to launch attacks without deep technical expertise.

(Source: Dragos)

   How These Attacks Work

Modern industrial ransomware attacks follow a predictable but effective playbook. Understanding these methods is the first step toward building effective defenses:

Initial Access Vectors:

• Exploitation of VPN vulnerabilities, particularly SonicWall SSLVPN devices using CVE-2024-40766
• Abuse of Fortinet firewall vulnerabilities (CVE-2024-55591 and CVE-2024-21762)
• Compromised credentials purchased from Initial Access Brokers
• Social engineering and help desk impersonation tactics
• Phishing campaigns disguised as virtual meeting invites for platforms like Zoom and Microsoft Teams

Attack Progression:

• Gaining initial foothold through exposed remote access services
• Escalating privileges to domain-level or service accounts
• Locating and exfiltrating sensitive files from network shares
• Disabling or deleting backup systems
• Deploying ransomware encryption, often targeting hypervisors for maximum impact

(Source: Dragos)

   The Threat Actors Behind the Attacks

The ransomware ecosystem in Q3 2025 showed both consolidation among major players and fragmentation at the edges:

Top Active Groups:

• Qilin led all groups with 138 incidents, maintaining dominance for the second consecutive quarter. The group confirmed its industrial impact when an attack on Asahi Group Holdings caused production delays at Japanese factories.
• Akira recorded 94 incidents, aggressively targeting SonicWall VPN users
• Play accounted for 64 incidents targeting engineering and construction firms
• INC Ransom claimed 51 incidents following affiliate migration from disrupted operations
• These four groups together represented nearly 40% of all industrial ransomware activity

The LockBit Comeback Attempt:

LockBit, once the dominant force in ransomware, attempted a return in September with “LockBit 5.0.” The revamped program removed sector restrictions, allowing affiliates to target previously off-limits organizations. However, the comeback fell flat – most former LockBit affiliates had already moved to more stable operations like RansomHub and Qilin. This demonstrates an important truth about the RaaS economy: brands can be replaced, but affiliate loyalty cannot be easily recaptured.

Scattered Spider Evolution:

The group known as Scattered Spider, operating in alliance with ShinyHunters and LAPSUS$, continued causing significant disruption through identity-focused attacks. Their September intrusion at Jaguar Land Rover reportedly triggered multi-week production shutdowns without ever touching industrial control systems – simply by disrupting the ERP and logistics platforms that keep manufacturing running.

   Who Faces the Greatest Risk

No industrial organization is immune, but certain profiles face elevated exposure:

By Sector:

• Manufacturing remains the primary target, with construction, equipment, food and beverage, and electronics subsectors seeing the heaviest activity
• Transportation and logistics accounted for 5% of incidents, with attacks on supporting systems causing cascading delays
• Oil and natural gas experienced 26 incidents across upstream, midstream, and downstream operations
• ICS equipment and engineering firms saw 52 incidents as attackers target companies that design and maintain industrial systems

By Geography:

• United States leads globally with 392 incidents
• Canada experienced 41 incidents
• Texas businesses face particular exposure given the concentration of manufacturing, oil and gas, and logistics operations in the Houston and Katy areas

By Vulnerability Profile:

• Organizations with legacy IT-OT interdependencies
• Companies relying heavily on remote access technologies without adequate security controls
• Mid-market businesses with limited security operations resources
• Firms using unpatched VPN and firewall appliances

   Protecting Your Business: Essential Defenses

Given the escalating threat environment, industrial organizations must prioritize several key defensive measures:

Secure Remote Access:

• Patch VPN appliances immediately, particularly SonicWall and Fortinet devices with known vulnerabilities
• Implement multi-factor authentication on all remote access points
• Monitor for unusual VPN connection patterns and failed authentication attempts

Harden Identity and Access:

• Deploy phishing-resistant MFA methods
• Train help desk staff to recognize social engineering attempts
• Implement strict verification procedures for password resets

Protect Backup Systems:

• Isolate backup infrastructure from primary networks
• Test restoration procedures regularly
• Maintain offline backup copies that cannot be reached by attackers

Monitor for RMM Tool Abuse:

• Inventory all authorized remote management tools
• Alert on new RMM installations or unauthorized tool usage
• Restrict RMM tool permissions to necessary accounts only

Segment IT and OT Networks:

• Implement strong boundaries between business IT and operational technology systems
• Monitor cross-boundary traffic for anomalies
• Limit the pathways attackers can use to reach production systems from compromised IT environments

 How CinchOps Can Help

The Q3 2025 ransomware surge underscores why Houston and Katy businesses need a trusted managed IT partner with deep cybersecurity expertise. At CinchOps, we understand that small and medium-sized businesses face the same threats as large enterprises but often lack dedicated security teams to address them.

Our comprehensive approach to cybersecurity helps protect your organization at every level:

• 24/7 Network Monitoring to detect suspicious activity before ransomware deploys
• Vulnerability Management that identifies and patches critical weaknesses in VPNs, firewalls, and remote access systems
• Email Security Solutions that block phishing attempts and malicious attachments
• Backup and Disaster Recovery services ensuring your data remains protected and recoverable
• Security Awareness Training that helps your team recognize social engineering attacks
• Incident Response Planning so you’re prepared if the worst happens
• Network Security Assessments to identify gaps before attackers find them

The ransomware threat facing industrial organizations isn’t going away—it’s accelerating. With attackers leveraging AI tools to improve their capabilities and new threat groups emerging monthly, the time to strengthen your defenses is now.

Don’t wait for an attack to expose vulnerabilities in your network. Contact CinchOps today to discuss how our managed IT services and cybersecurity solutions can help protect your Houston-area business from the growing ransomware threat.

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Discover more about our enterprise-grade and business protecting cybersecurity services: CinchOps Cybersecurity
Discover related topics: State-Sponsored Cyber Attacks Target U.S. Critical Infrastructure
For Additional Information on this topic: Dragos Industrial Ransomware Analysis: Q3 2025

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