Why It Matters
The Iran conflict has exposed vulnerabilities in Gulf security and energy infrastructure while leaving the United States' military presence and partnerships in the region unresolved. A new Congressional Research Service (CRS) report says Iran fired more than 6,700 drones and missiles at the six Gulf Cooperation Council (GCC) states between Feb. 28 and May 17. Energy analysts at Welligence estimated Iranian attacks destroyed more than $25 billion in Gulf oil and gas infrastructure through early April.
CRS identifies U.S. basing and force posture, arms sales and Gulf responses to U.S. requests to normalize relations with Israel as issues Congress may consider. The Defense Department's chief financial officer declined to estimate repair costs for damaged U.S. facilities, citing uncertainty over future basing plans and potential host-nation contributions.
The Big Picture
GCC responses have diverged. The UAE, which faced nearly half of Iranian attacks, shifted toward hostility with Iran, deepened ties with the United States and Israel, and withdrew from OPEC in May. Saudi Arabia called for de-escalation and promoted Pakistan-based peace talks while asserting a right to self-defense. Qatar and Oman promoted diplomatic engagement.
According to the International Energy Agency, about 20 million barrels of oil per day, roughly 25% of global seaborne oil trade, transited the Strait of Hormuz before the conflict, with 80% destined for Asia. About 93% of Qatar's and 96% of the UAE's LNG exports also transited the Strait. Iran's March attack on Qatar's Ras Laffan LNG facility eliminated an estimated 17% of Qatar's LNG export capacity, with losses expected to persist for years, according to QatarEnergy.
The Trump administration invoked emergency provisions of the Arms Export Control Act in March and May to expedite more than $30 billion in munitions and air and missile defense sales to Israel, Jordan, Kuwait, Qatar and the UAE, bypassing otherwise required congressional review processes. On May 27, President Donald Trump warned that Oman would "behave just like everybody else or we'll have to blow them up" while discussing keeping the Strait open. Treasury Secretary Scott Bessent said in a social media post the following day that Treasury would "aggressively target" actors facilitating tolls in the Strait.
The Bottom Line
CRS identifies U.S. basing, arms sales and Gulf relations with Israel as key issues for Congress as the conflict reshapes regional security. The report says Bahrain may require external financial assistance if conditions do not improve relatively quickly, while the UAE remains vulnerable to sustained disruptions in trade, transit and foreign labor.
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