How Much Is the Hormuz Blockade Costing the US?
Summary
Bloomberg's Becca Wasser and Jerry Doyle analyze the mounting costs of the US naval blockade of Iran, estimating daily expenses at $42 million and total naval operating costs at $7.1 billion. The report highlights that the US has expended roughly half its Patriot and 40% of its THAAD missile stockpiles, with replenishment taking up to three years. This depletion, combined with ships diverted from the Indo-Pacific, weakens US deterrence against China and strains sailor morale. Despite Iran's soaring inflation, the blockade's effectiveness in forcing political capitulation remains questionable.
Topics discussed
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Intro: Cost of US Naval Blockade
Show Intro and Guest Introductions
Methodology and Total Operating Costs
Funding the Blockade and Budget Shortfalls
Opportunity Costs and Ship Wear
Strategic Gaps in Indo-Pacific
Depletion of Patriot and THAAD Stockpiles
Munitions Production Lead Times
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US Vulnerability and Deterrence Risks
Impact on Asia-Pacific Defense Posture
Sailor Morale and Retention Issues
Pentagon Response and Iran's Economic Toll
Effectiveness of the Blockade on Iran
Outro and Subscription CTA
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