Trump’s Iran peace gamble unravels as time runs out on Pete Hegseth’s scramble to replace weapons and cash

Donald Trump's strategy for pressuring Iran is running into serious difficulties, as US weapons stockpiles and funding for the operation dwindle while Tehran refuses to reopen the Strait of Hormuz without concessions from Washington. Iran is demanding war reparations, an end to sanctions and a lift on the US naval blockade before it will cooperate, effectively rejecting Trump's terms and signalling it has no intention of backing down soon. This matters because it undermines a potential deal brokered with Oman and leaves the Pentagon struggling to replenish critical munitions while facing resistance from Congress over war funding.

Officials report that Patriot interceptor stocks have fallen by at least 65% and THAAD inventories by more than a third since the conflict began, prompting Deputy War Secretary Steve Feinberg to give arms manufacturers 21 days to speed up production. Meanwhile, War Secretary Pete Hegseth has failed to persuade sceptical senators to back a record $1.5 trillion defence budget, with the Senate leaving for recess without approving it or separate war funding. Trump has said he is shifting towards economic pressure rather than further strikes, citing Iran's soaring inflation, which reached 88.6% in June, though this has yet to yield any concessions, and the war has now claimed 17 American lives over six months.