US Secretary of Defense Pete Hegseth on 13 May fiercely defended the Trump administration's ongoing military campaign against Iran before the Senate Appropriations Subcommittee on Defence, clashing repeatedly with Democratic lawmakers over the war's soaring costs and insisting the United States still "holds all the cards" despite continued disruption in the Strait of Hormuz. Appearing alongside Joint Chiefs Chairman General Dan Caine, Hegseth also sought to reassure Indo-Pacific allies ahead of President Donald Trump's upcoming visit to China.

The Iran War: Costs and Controversy

The contentious hearing centred on Trump's proposed $1.5 trillion defence budget and the mounting costs of the Iran conflict. The Pentagon estimated the campaign has already cost approximately $29 billion, though officials acknowledged that damage to US military facilities had not yet been fully calculated.

Senator Chris Coons said Americans were paying the price for a war that lacked "clear objectives and a plan for how it ends," while Senator Patty Murray criticised the administration for seeking massive defence spending even as Americans struggled with rising fuel and food prices linked to the closure of the Strait of Hormuz.

Hegseth pushed back forcefully. "For 47 years, we've been attacked by Iran, and they've been lying to pursue a nuclear weapon and President Trump had the courage to do something about it," he said. He also claimed that "the entirety of Iran's conventional navy is at the bottom of the Persian Gulf," arguing the administration now had "more leverage than we've ever had."

The Strait of Hormuz Standoff

Lawmakers from both parties questioned whether the administration had a viable plan to reopen the Strait of Hormuz, where commercial shipping disruptions have driven up global oil prices. Asked directly how Washington intended to reopen the strait, Hegseth said there were "most certainly" military options available but argued the preferred outcome remained a negotiated settlement under which Iran would stop acting as "pirates of international waters."

General Caine acknowledged that Iran continued to hold "the world's economy hostage" through its military pressure in the strait but declined to discuss classified operational details. This comes amid growing concern among economists and energy analysts that a prolonged closure could further strain global supply chains already under pressure.

NATO, Ukraine and Alliance Tensions

Senate Appropriations Committee Chairman Mitch McConnell questioned why key military priorities — including missile defence, munitions, and drone warfare — had not been fully incorporated into the Pentagon's base budget request. He also warned against weakening ties with allies at a time when "our adversaries are working together to undermine America and the West."

McConnell praised European allies for increasing defence spending and supporting Ukraine, while Coons warned the administration was sending "the wrong signal" by delaying military assistance already approved by Congress. Hegseth defended the administration's approach, arguing Washington needed "real, capable allies and partners" willing to share the burden in future conflicts.

China and Indo-Pacific Commitments

China emerged as a major focal point of the hearing. McConnell asked Hegseth whether security commitments to Taiwan and freedom of navigation in the South China Sea would remain protected during Trump's upcoming talks in Beijing. Hegseth responded that the administration's objective was always to ensure that "American interests are advanced" and said that Indo-Pacific partnerships — including with Japan, Taiwan, and the Philippines — had been strengthened through operational cooperation and burden-sharing.

With Trump's China visit looming and the Strait of Hormuz still disrupted, the administration faces mounting pressure to demonstrate both a credible endgame for the Iran conflict and an unwavering posture in the Indo-Pacific.