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Iran war cost US Pentagon $40 billion, think tank estimates

From Liberty Times · () Chinese

Translated from Chinese, summarized and contextualized by DistantNews.

At a glance

News Named sources Outcome reported
  • A US think tank estimates the war between Iran and the US has cost the Pentagon approximately $40 billion.
  • The costs include expended ammunition, damaged equipment, and destroyed military bases, but exclude routine operational expenses.
  • The conflict also impacted other US agencies and American consumers, with gasoline prices rising and households spending more.

The recent conflict between the United States and Iran has incurred a substantial financial toll on the U.S. Department of Defense, with preliminary analysis from the Center for Strategic and International Studies (CSIS) estimating the cost at around $40 billion.

This figure, detailed in a report highlighted by CNN, encompasses the expenditure on ammunition, the loss and damage of military equipment, and repairs to military bases. Notably, it does not include the daily operational costs already factored into the Pentagon's budget for fiscal year 2026.

Beyond the Department of Defense, other government bodies also felt the economic impact. The Department of Homeland Security and the Department of Veterans Affairs collectively faced losses amounting to $1 billion due to the conflict.

The financial repercussions extended to American consumers as well. Average gasoline prices in the U.S. surged from below $3 per gallon before the war to over $4 during the conflict. Data from Brown University's energy cost tracking indicates that the average American household spent more than $253 compared to a scenario without the war.

The $40 billion cost includes the cost of expended ammunition, loss and destruction of equipment, and damage to military bases.

โ€” Mark CancianSenior adviser at CSIS Mark Cancian explaining the estimated costs of the Iran war to the Pentagon.
DistantNews Editorial

Originally published by Liberty Times in Chinese. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.