Iran War could cost $2 billion per month, Congressional Budget Office estimates
Iran War Could Cost $2 Billion a Month, CBO Says
Wertynews.com – The Iran War could cost 2 billion dollars per month in U.S. military spending if fighting continues at a relatively limited level, according to a nonpartisan Congressional Budget Office estimate. Monthly costs could rise to about $3 billion during more intense periods of conflict.
From Feb. 28 through Aug. 1, direct U.S. costs connected to the conflict totaled about $38 billion, the CBO estimated. That figure does not include repairs to American bases in the region that were damaged during the fighting, so the eventual cost could be higher.
Missile replacements drive much of the spending
Replacing munitions used in the conflict accounted for an estimated $21.7 billion through Aug. 1. That includes $7.3 billion for land-attack cruise missiles, $13.1 billion for missile-defense interceptors and $1.2 billion for other munitions.
The CBO warned that extensive use of missile-defense interceptors could reduce U.S. stockpiles for several years. The concern involves both replacement costs and the industrial capacity needed to manufacture, test and deliver sophisticated weapons.
China was identified as a country with significant ballistic- and cruise-missile capabilities, particularly in a potential conflict involving Taiwan. A prolonged need to replenish inventories could affect the United States' preparedness for other military contingencies.
A separate Pentagon inspector general assessment said munitions use in the Iran conflict created “strategic inventory shortfalls” and revealed bottlenecks in the defense industrial base. The Defense Department did not respond to the CBO's information requests while the estimate was being prepared.
Equipment losses could add billions
Military equipment losses were estimated at about $1.9 billion, including a THAAD air-defense radar destroyed by Iran. Such a radar can cost about $500 million and is a central component of a THAAD battery's ability to detect and help defeat missile threats.
The replacement cost could reach $3.3 billion if the Pentagon seeks supplemental funding to replace lost aircraft with newer models. Choices about replacing equipment directly, purchasing updated models or changing force posture could affect the final request made to Congress.
Costs have varied with the conflict's intensity. The CBO estimated that July alone cost about $3 billion amid repeated retaliatory strikes, suggesting that a sustained escalation could exceed the lower monthly estimate.
Officials dispute concerns over weapons inventories
White House and Pentagon officials have said U.S. forces have the weapons needed for current operations and future contingencies. President Trump wrote on Truth Social that the United States has extensive ammunition supplies.
“We have virtually unlimited amounts of mid- to high-grade ammunition, far more than we can ever use.”
Admiral Brad Cooper, who leads U.S. forces in the Middle East, also said during an appearance on “60 Minutes” that he was not concerned about readiness.
“I’m not concerned at all. We’re well-armed and ready for any contingency.”
FAQ: What the CBO Estimate Means for U.S. Taxpayers
How much could the Iran War cost each month?
The CBO estimated a relatively limited level of operations could cost roughly $2 billion to $3 billion per month. More intense fighting could result in higher monthly costs.
Does the estimate include damage to U.S. bases?
No. The $38 billion direct-cost estimate through Aug. 1 did not include the cost of repairing American bases damaged during the conflict.
What funding decisions does Congress face?
Congress may need to consider requests for munitions replenishment, equipment replacement and other Defense Department needs. In June, the Trump administration submitted an $87.6 billion supplemental funding request, including $67 billion for Defense Department needs tied to the conflict.