Hidden Costs of US-Iran War Push Exceed Pentagon’s $25bn Estimate

By Staff, Agencies

Pentagon’s $25 billion estimate for the cost of a potential war with Iran likely underestimates the true financial impact, Bloomberg reported, citing analysts.

The figure was disclosed by senior US defense officials during a tense congressional hearing on Wednesday.

Bloomberg calculations, based on Pentagon data, estimate that munitions, destroyed equipment, and operational costs alone total around $14 billion, including $8 billion for munitions, $5 billion for replacing aircraft and equipment, and $1 billion for operational expenses of two carriers and 16 destroyers over 39 days.

The estimate excludes costs for repairing damaged facilities like the US Navy's Fifth Fleet in Bahrain and operational expenses of ships and aircraft involved in the buildup or ongoing blockade.

Kelly Grieco, senior fellow at the Stimson Center, stated, “The Pentagon’s $25 billion figure is a narrow estimate, excluding base damages, broader operational costs, and rising fuel bills.”

Earlier this month, Senator Blumenthal called $2 billion per day estimates "low," while the CSIS pegs munitions costs at $25 billion. Pentagon Comptroller Jules Hurst confirmed the $25 billion figure but offered no breakdown, leading to a heated exchange with Representative Maggie Goodlander over transparency.

“It is gross negligence to sit here and be unable to justify spending billions of dollars,” Goodlander said.

The United States has reportedly lost dozens of aircraft during combat operations, including MQ-9 Reaper drones, F-15E strike fighters, an E-3 airborne warning and control aircraft, KC-135 aerial refueling tankers, one A-10 attack aircraft, and two MC-130J multi-mission transport planes.

Replacing these systems is expected to cost billions of dollars, while damaged or destroyed radar systems, each worth hundreds of millions, will add further to the total.

Operating costs have also mounted significantly. Aircraft carriers cost around $4.9 million per day to run, while destroyers cost approximately $600,000 daily. A carrier air wing adds another $3.8 million per day.

According to analysis by Bloomberg Economics Defense Lead Becca Wasser, the 39 days of combat alone would run about $1 billion for just two carriers and their air wings, and 16 destroyers.

Iran has launched over 1,850 ballistic missiles across the region, prompting the use of about 4,000 interceptor missiles, primarily by Gulf states. The PAC-3 missile system is central to defense, with standard doctrine requiring at least two interceptors per target, significantly increasing costs.