Attack VDL Group makes impact of cybercrime painfully clear

Cyber attacks Source photo: Pixabay / TheDigitalArtist
Wouter Hoeffnagel
Wouter Hoeffnagel
26 October 2021
3 min

VDL Group was hit by a cyber attack on Thursday 7 October. Although the attack was now more than a fortnight ago, the impact is still being felt at the company. Customers are also experiencing problems.

What exactly happened?

Manufacturing group VDL Group reported a cyber attack in early October, which affected its "overall business operations". A total of 105 companies are part of VDL Group. All companies were affected by the attack, a VDL Group spokesperson confirmed to various media.

The impact varies from company to company. At several companies, production had to be shut down or could only continue on a limited basis. As a result, three quarters of the 4,000 employees had to stay home temporarily immediately after the cyber attack.

What kind of cyber attack is involved?

Details about the cyber attack are lacking. VDL Group maintains it was a digital attack, but does not share any further details.

There has been regular speculation in the media that the company was hit by ransomware. This is a form of malicious software that takes systems and data hostage by encrypting them. Attackers usually demand a ransom in exchange for the decryption key that allows victims to regain access to their property.

Regardless of the nature of the cyber attack, it is not known who is behind it. It is also unclear whether the attackers contacted VDL Group. The latter happens particularly often after a ransomware attack. Attackers then contact victims and demand a ransom.

How big is the impact?

The impact of the attack appears to be extensive. As indicated earlier, all 105 companies that are part of VDL Group were initially affected by the attack. How big the impact per company is VDL Group cannot say.

However, the fact that the impact is substantial is evident from reports on 13 October that several VDL Group companies have asked employees to take voluntary leave. FNV executive Peter Reniers reported that several VDL companies have made such a request. Reportedly, this concerns at least VDL Bus, VDL ETG, VDL Special Vehicles and VDL Industrial Modules in Helmond.

A spokesperson for VDL could not confirm these reports to the Eindhovens Dagblad (ED) and others. However, the spokesperson did report that this is not a policy that applies to the entire group.

The latest state of affairs

The problems at the company do not yet seem to be fully resolved. VDL Nedcar is now running again. It is not known how many of the total of 105 companies are still affected by the attack and to what extent the companies' production is affected; a spokesman for VDL Group did not want to comment on this to NOS. The spokesman did report that all companies were affected in a different way.

However, several VDL Group customers report that the attack has had an impact on them too. Philips chief Frans van Houten confirmed to the ED that Philips was also affected by the attack. VDL supplies, among other things, components for medical systems produced by Philips. Van Houten: "I know they work very hard at VDL. Even manually, they are able to keep many processes going anyway. The necessary documentation for deliveries will just have to come at a later time."

ASML is also experiencing problems. VDL supplies parts for ASML's chip machines. ASML reported in a note to its quarterly figures, among other things, that deliveries may be delayed due to material shortages at suppliers. IT problems at VDL also contribute to this, a VDL spokesperson confirmed to the ED late last week.

Another example is Multifix from Bergeijk, which supplies cabling for buses, among other things. Due to the problems at VDL, the company can no longer supply its parts. VDL does not know exactly how many parts are still in the warehouse and how many they need, reports managing director Arthur Burgmans. Trade union officials at VDL Bus in Valkenswaard and the Flemish town of Roeselare confirmed to the ED that in Roeselare there is no overview of the stock, while in Valkenswaard the supply of parts has stagnated.

Author: Wouter Hoeffnagel

Wouter Hoeffnagel

Wouter Hoeffnagel is a freelance journalist and copywriter, with interests in both manufacturing industry, IT and the intersection between these topics. He writes a wide range of texts on these topics, ranging from background articles, interviews and news items to blog posts, white papers, case studies and website texts.