Iranian attacks have caused damage to “hundreds” of structures at American military bases in eight Middle Eastern nations while the U.S. has spent over $22 billion on munitions during Operation Epic Fury.
According to a recent report from the Pentagon, the ongoing conflict has already cost about $33.4 billion as of June 29, which covers equipment losses and operational expenses but doesn’t factor in the costs associated with repairing military infrastructure. This suggests the overall expenses are likely even greater.
Stephen Semler, co-founder of the Security Policy Reform Institute, mentioned to the Daily Caller News Foundation that as of July 26, the costs could be around $112.3 billion, which is on par with U.S. military expenditures during World War II. (RELATED: Hegseth Clocks Iran War Cost At $37.5 Billion, But Analysts Think The Number Is Way Higher)
According to Semler, the Pentagon’s budget has soared due to combining regular Department of Defense (DoD) funding and reconciliation measures, pushing it past a trillion dollars, a figure not commonly seen historically. “It’s reminiscent of spending during the peak Iraq and Afghanistan wars and in World War II,” he said.
Steve Hanke, an applied economics professor at Johns Hopkins University, previously commented on how the government tends to underestimate war costs, referencing the Iraq War. Initial estimates by the Bush administration were around $200 billion, but the war ultimately cost around $5 trillion—far exceeding predictions. If adjusted similarly, the Iran war could end up costing at least $1 trillion if it concludes relatively soon.
The report also highlights damage beyond military sites, estimating approximately $184 million in damage to U.S. embassies and consulates in Iraq, Kuwait, Saudi Arabia, and the UAE. The Pentagon’s initial assessment did not include infrastructure repair costs, which Semler cautioned would significantly increase the total expenses.
Interestingly, the Pentagon had initially disputed reports of extensive destruction, with a military spokesperson challenging that claim in May after satellite images revealed damage to at least 228 structures across 15 U.S. military locations. However, the inspector general has now acknowledged that Iranian strikes indeed damaged or destroyed numerous buildings and facilities.
This conflict has also put considerable stress on U.S. weapon reserves. The military’s munitions spending during the war has led to “strategic inventory shortfalls,” revealing weaknesses in manufacturing capabilities within the defense sector.
At the outset, the U.S. had about 2,330 Patriot interceptors and 360 THAAD interceptors, but as of late July, those numbers had dwindled to fewer than 1,000 Patriots and about 250 THAADs. Semler noted that even with robust investment in production capacity, replenishing these stocks would take years.
“The current Patriot interceptor production rate is 650 per year,” he explained. “And while there are plans to ramp production to nearly 2,000 annually by 2030 or so, it will still take a long time to restock munitions at the rate they are being used.”
It’s worth noting that simply acquiring replacement interceptors will not cover the entire cost of rebuilding U.S. missile stockpiles. Companies like Lockheed Martin plan to invest around $8 to $9 billion through 2030 to enhance U.S. munitions facilities. Meanwhile, funding is also being directed toward the development of more PAC-3 propulsion production facilities in Arkansas.
However, much of the Patriot missile interceptors being produced in the U.S. are set to be exported to foreign militaries, which could further limit supplies available for American forces. The potential sale of over 1,200 interceptors to Saudi Arabia and Qatar may consume about 37% of the U.S. production capacity as efforts continue to rebuild stocks diminished by the Iran conflict.
Allison McManus from American Progress emphasized that Congress should hold budget management within the Pentagon to the same standard as other departments. She noted that this is not a war instigated by Iran, but rather one started by U.S. leadership.
According to Semler, the pace at which munitions are being utilized in the Iran conflict, alongside international sales and production capabilities, means it may be impossible to restore stockpiles without withdrawing from the conflict. “It’s possible to replace these munitions, but it would take several years, even if fighting stopped today,” he clarified.
There were also significant losses among American aircraft, with four F-15E jets being destroyed—three due to friendly fire and one in combat. An F-35A faced damage from enemy actions, while several KC-135 refueling aircraft were lost alongside numerous drones.
Production challenges persist, particularly with solid rocket motors and high-grade explosives, as the defense industry grapples with workforce shortages. Even with accelerated production efforts, expanding capacity necessitates significant time to execute.
The magnitude of Operation Epic Fury is considerable. Over 50,000 American personnel have been deployed, and reports indicate approximately 36,000 combat sorties have been flown, resulting in more than 1,800 fire missions and around 13,500 target strikes between late February and early April.
During major combat operations, Iran and its proxies targeted a variety of locations, including U.S. military bases, commercial vessels, and regional nations with thousands of missiles and drones. According to the inspector general, over 6,000 drones and 1,500 ballistic missiles aimed at U.S. targets were intercepted by the Middle East Defense Network.
These attacks disrupted established Navy logistics in the Persian Gulf, necessitating resource relocations to alternative locations after Iran’s strikes on Bahrain, which had been the Navy’s main logistics hub in the region.
Transferring some logistics support to Naval Support Facility Diego Garcia led to its own complications and strained supply lines. Furthermore, several U.S. warships were diverted from the Pacific to the Middle East for the operation.
As of June 30, seven American service members were reported killed in action, along with another seven in non-hostile incidents, bringing the number of wounded service members to 417. The count has since escalated to 756, according to tracking data from the Defense Department.
Hanke has expressed concerns about Congressional oversight regarding the war in Iran, describing it as largely ignored by lawmakers. He hinted that the likelihood of a detailed examination into the war’s funding is slim.
The financial burden has prompted the White House to pursue $67.1 billion in supplemental military funding, mainly to support Operation Epic Fury. This request was officially made to Congress and included substantial sums for munitions and operational costs.
Semler believes that the Trump administration seems unlikely to alter its entrenched approach toward military engagement, indicating that war-making has become a core aspect of its identity. Transitioning away from this mindset might prove challenging.
