The Iran War has cost the U.S. military $47 billion in 2026. Trump tells Americans that the surging fuel costs are inevitable and “inexpensive” compared to the Iran War. He says the war is very important for
- Preventing the Iranians from attaining nuclear weapons
- It is a small price for national security that comes as a short-term disruption
- The U.S. is making a fortune off the increased energy production
Meanwhile, Americans are paying almost 10 times more for fuel costs than the rest of the world. They have spent more on fuel than any country globally, about $160 billion, significantly more than half of the second country, which is China.
However, this scenario extends beyond the gas barrels. Clearly, Americans are struggling with the prices they pay for everything—from food to rent and education. It is not the phones, electronics, healthcare, insurance, or even the $20+ burrito; the things that matter are the most expensive.
Even if Trump said that “there is no inflation; we are richer now,” inflation data and economists have something else to say, especially about inflation. Purchasing power has decreased as people are struggling to keep up with inflation on their incomes. Mortgage, interest, and housing costs are skyrocketing, more than ever before. Behind this inflation are the rising defense and military costs, influencing households, U.S. debt, and public spending quite directly.
The Iran War cannot be the direct factor behind these surges; the real reason is how the U.S. economy and oil supply are structured. Americans are really behind in adopting electric cars compared to other countries and burn more fuel on average than they do. The gas prices went up $4.34 per gallon, and diesel went up to $6.28 per gallon as per the American Automobile Association (AAA). These prices will stay unstabilized as long as the Strait of Hormuz remains restricted.
