This paper studies the possibility of using the scattering of cosmic muons to identify threatening high-Z materials. Various scenarios of threat material detection are simulated with the Geant4 toolkit. PoCA (Point of Closest Approach) algorithm reconstructing muon track gives 3D radiography images of the target material. Z-discrimination capability, effects of the placement of high-Z materials, shielding materials inside the cargo, and spatial resolution of position sensitive detector for muon radiography are carefully studied. Our results show that a detector position resolution of 50 μm is good enough for shielded materials detection.