Pentagon Unveils New $29 Billion War Cost Estimate for Iran Conflict, Plays Down Ammunition Concerns
Joseph Stepansky / Al Jazeera English
The Pentagon has revealed a new $29 billion cost estimate for the US-Israeli war against Iran, up from a previous $25 billion figure. Defense Secretary Pete Hegseth downplayed ammunition concerns, insisting the military has everything it needs. The updated costs and lack of long-term strategy come amid a fragile ceasefire and political headwinds for the Trump administration.
The Pentagon has released a new cost estimate for the US-Israeli war targeting Iran, totaling $29 billion. The figure was presented by Jules Hurst, the Defense Department’s budget official, during a Senate committee hearing on Tuesday alongside Defense Secretary Pete Hegseth.
The updated estimate is higher than the $25 billion Hurst reported to lawmakers in late April, marking the first time the Trump administration has issued an official war-cost figure. However, some experts have questioned the Pentagon’s calculations, suggesting the actual burden on American taxpayers could be significantly higher.
Since April 8, hostilities in the US-Israeli campaign have largely subsided, aside from sporadic flare-ups. Explaining the discrepancy, Hurst attributed it to “updated equipment repair and replacement costs… as well as general operating expenses.”
So far, the administration has not provided a clear picture of damage to US military bases across the Middle East since the US and Israel launched strikes on February 28, nor has it disclosed the true impact on military ammunition stockpiles.
Asked about concerns over the ability to replenish US weapons supplies without weakening global posture, Secretary Hegseth asserted that the Pentagon is “well aware of all those moves.”
“The ammunition issue has been stupidly overstated and not helpful,” Hegseth told the House Appropriations Subcommittee. “We know exactly what we have; we have everything we need.”
The Pentagon chief also offered few indications of a long-term plan for the conflict, a day after President Trump rejected a new cease-fire proposal from Iran. Trump told reporters that the current truce is “living on a breath” and “incredibly weak.”
Hegseth said there are plans for both resuming hostilities and dialing back tensions. “We have a plan to escalate if needed. We have a plan to de-escalate if needed. We have a plan to reposition assets,” he said.
It remains unclear whether the Trump administration has the political will to rekindle fighting amid a prolonged stalemate in the Strait of Hormuz. The conflict—along with its economic toll—has proved unpopular with the American public and threatens to hurt Republicans in the midterm elections this November.
On Tuesday, the Labor Department reported a 3.8% year-on-year increase in the consumer price index (CPI) for April 2025, the highest annual rise since 2023. On a monthly basis, prices rose 0.6% from March, with gasoline prices jumping 5.4%.
Washington’s clear dilemma is expected to be a major issue during Trump’s visit to China this week, though US officials said they hope to make progress on other matters beyond disagreements over the Iran war.
Testifying at the hearing, Chairman of the Joint Chiefs of Staff Dan Caine said countering China’s growing influence would remain a top priority during the trip. He said the Pentagon wants “a range and mix of capabilities that create big dilemmas for [Chinese President] Xi Jinping and others, to ensure we maintain and strengthen our deterrence.”