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War cost US over $37 billion, Hegseth says, as strikes on Iran continue for 11 straight days

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TOI WORLD DESK

July 23, 2026
War cost US over $37 billion, Hegseth says, as strikes on Iran continue for 11 straight days

Defense Secretary Pete Hegseth has reported that the ongoing conflict with Iran has reached a cost of $37.5 billion. Hegseth is currently urging the Senate to approve significant funding increases to sustain operations and prevent critical shortfalls.

The Escalating Financial Toll of the Iran Conflict

United States Secretary of Defense Pete Hegseth recently disclosed that the ongoing military engagement with Iran has incurred a cost of $37.5 billion to date. This figure represents a significant escalation from the $29 billion estimate provided in mid-May, highlighting the rapidly intensifying nature of the conflict. As the US enters its 10th consecutive day of strikes, the financial burden continues to climb, placing pressure on both military resources and the federal budget.

Congressional Scrutiny and Budgetary Demands

During a recent hearing before the Senate Appropriations Committee, Secretary Hegseth and Chairman of the Joint Chiefs of Staff Dan Caine faced intense questioning regarding a proposed $1.5 trillion defense budget. This ambitious spending plan includes an allocation of nearly $70 billion specifically earmarked for the war with Iran. Hegseth underscored that these funds are essential, warning that the Department of Defense faces potential operational shortfalls if the requested capital is not secured immediately.

Operational Requirements and Strategic Readiness

Secretary Hegseth emphasized that the requested funding is vital to maintain the "lethality" of US military forces. He argued that these investments are necessary to prevent adversaries from outpacing American capabilities. The urgency of the request is driven by the need to pay service members, replenish equipment and munitions, and ensure that vital operations in the Middle East can be sustained without disruption. This testimony comes as the Pentagon confirmed the loss of three more American service members, further complicating the political landscape of the conflict.

Domestic Challenges and Political Friction

The testimony was marked by visible tension, as protesters interrupted Hegseth’s opening remarks, reflecting the broader domestic polarization surrounding the war. Senators have expressed skepticism and pushed back against the administration’s funding requests, questioning the long-term sustainability of such massive expenditures. Hegseth’s assertion that we live in a "dangerous world" requiring "bold and swift action" serves as the administration’s primary justification for the rapid expansion of military spending.

Future Implications and Fiscal Sustainability

The request for nearly $70 billion for the Iran theater alone, nested within a $1.5 trillion total defense budget, signals a significant pivot in US foreign policy and fiscal prioritization. As the conflict persists, the debate in Congress is likely to sharpen between those who prioritize military superiority and those concerned with the ballooning national debt. The ability of the Pentagon to maintain its current pace of operations will depend heavily on the outcome of these legislative negotiations, which will ultimately dictate the scale and duration of the US commitment in the region.

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