Cost of Iran War Exceeds $12 Billion
WASHINGON — During a recent interview, President Trump’s chief economic adviser disclosed that the ongoing conflict in Iran has already cost at least $12 billion.
Kevin Hassett, the Chairman of the National Economic Council, mentioned that the overall expenses would likely continue to grow but minimized the immediate necessity for additional congressional funding.
“The last figure I received was $12 billion, which aligns with our projections,” Hassett said on CBS News’ “Face the Nation”. “We have the necessary logistics in place, so we aren’t necessarily looking for further support right now.”
The conflict, which commenced on February 28, is currently in its third week.
Details on the exact number of days covered by Hassett’s estimate were unclear, but he indicated it reflected the duration of expenditures so far.
Just last week, officials discussed the “massive” financial implications of the Iran conflict, estimating costs at around $11 billion.
There’s speculation that the overall expenses may escalate, with projections for an additional funding package reaching as high as $50 billion.
The Trump administration has not provided much clarity on the duration of the conflict. According to a statement to Axios, “It can end whenever you want it to end.”
President Trump has downplayed worries regarding the U.S. ammunition supplies for the conflict. Earlier this month, he remarked that the government maintains a “virtually unlimited supply of these weapons.”
The administration is urgently addressing Iran’s efforts to disrupt shipping in the Strait of Hormuz, a crucial route for approximately one-fifth of the world’s offshore oil supply.
This unrest has raised concerns about the security of oil vessels in the strait, contributing to rising oil prices. Recently, President Trump stated that U.S. allies would assist in escorting ships through these vital passageways.
“Right now, the primary concern is energy prices, which we are actively monitoring,” Hassett explained. “We’re examining developments daily to assess our progress.”
“Our expectation is that once Iran is no longer a destabilizing force in the Middle East, we will see a surge in oil and industrial production,” he added. “This should lead to a significant positive impact on the global economy once the situation is resolved.”
Hassett reiterated President Trump’s claim that the military efforts are “ahead of schedule.”
