October 10, 2026
Iran has retained the ability to manufacture ballistic missiles and drones despite eight months of US-Israeli bombing, contradicting repeated claims by President Donald Trump and senior Pentagon officials that Tehran’s military capabilities have been destroyed, according to a Bloomberg report citing Western officials.
“Tehran still has the capacity to manufacture weapons to rebuild its arsenal, according to the Western officials, who asked not to be identified discussing private assessments,” the report stated.
The officials reportedly said Iran has managed to preserve key weapons manufacturing facilities, allowing it to replenish its missile and drone arsenals even as the war continues.
One Western official said Tehran remains well-stocked with ballistic missiles and certain anti-ship weapons and could rapidly expand those inventories through domestic production.
The official also claimed that “Russia was providing missiles as well, echoing a separate assessment in June.” However, “Russia’s Ministry of Defense did not respond to a request for comment.”
The findings directly challenge Washington’s public characterization of its military campaign against Iran.
Trump previously declared that Iran’s military was “totally destroyed,” while Defense Secretary Pete Hegseth said in a September 30 speech that US forces had destroyed Iran’s “military industrial capacity” and “their entire defense base.”
According to Bloomberg, however, Western assessments indicate that Tehran retains enough military production capacity and operational weaponry to sustain attacks and respond to renewed US strikes.
White House Rejects Intelligence Assessment
The White House disputed the findings, insisting that US military operations had successfully eliminated major elements of Iran’s military infrastructure.
“First, President Trump obliterated Iran’s nuclear facilities during Operation Midnight Hammer,” White House spokesperson Anna Kelly told Bloomberg, referring to the US strikes on Iranian nuclear facilities in 2025.
Kelly also claimed that “Operation Epic Fury successfully destroyed the conventional shield that Iran sought to create over a nuclear program, including their ballistic missiles, production facilities, and navy.”
The administration’s response came as Trump announced that Washington would refrain from launching additional strikes against Iran before the November midterm elections.
The president has nevertheless suggested that military operations could intensify after the vote.
According to Bloomberg, delaying renewed attacks could provide Tehran with an opportunity to rebuild its military capabilities while avoiding a further escalation in oil prices ahead of the US elections.
The war has already placed considerable pressure on international energy markets, particularly because of disruptions to shipping through the Strait of Hormuz.
Iran Uses Pause to Rebuild
“The lull in major US attacks has given Iran time to recoup and rebuild as it prepares for a next round of fighting,” according to Becca Wasser, defense lead at Bloomberg Economics.
Wasser said Tehran was using the relative lull to rebuild its forces in anticipation of renewed fighting.
The pattern could prolong the conflict, with neither Washington nor Tehran able to secure a decisive advantage.
Iran’s strategy has increasingly focused on maintaining the ability to retaliate and impose economic costs on the United States and its regional allies.
Bloomberg reported that Tehran could rely more heavily on asymmetric warfare as its economy continues to suffer under the US naval blockade of Iranian oil exports.
Such operations would allow Iran to threaten shipping and regional infrastructure without relying exclusively on large-scale conventional military engagements.
Anti-Ship Arsenal Remains a Major Threat
Western analysts also warned that Iran’s anti-ship missile capabilities may be more extensive than previously demonstrated.
William Alberque, a Europe-based senior fellow at the Pacific Forum, told Bloomberg that Iran has accumulated significant stocks of cruise missiles over several years.
“There is probably less high-end stuff available, but they’ve been stockpiling cruise missiles for themselves and the Houthis for years, and hiding them,” Alberque said.
“I’d guess with a fair bit of confidence that we haven’t seen the tip of the iceberg in terms of anti-ship attacks,” he added.
Iran’s southern mountainous terrain also provides natural protection for weapons storage and production facilities.
Sidharth Kaushal, a senior research fellow at the Royal United Services Institute, said Iran’s ability to manufacture older anti-ship cruise missiles domestically has helped preserve its capabilities.
“The actual anti-ship missile stockpiles likely remain large, both because they are comparatively easy to make, and Iran has in-housed much of the production of older Chinese ASCMs, and Iran’s southern mountains provide natural shelters against air attack,” Kaushal told Bloomberg.
He added that obtaining accurate targeting information was likely a greater challenge for attacks against commercial vessels than the availability of missiles themselves.
Strait of Hormuz Remains under Pressure
The continuing Iranian threat has been particularly evident in the Strait of Hormuz, a critical maritime passage for global energy supplies.
According to the UK Navy, at least ten vessels were struck in the region during the past week. The attacks have intensified concerns about the security of commercial shipping, despite some increase in vessel traffic through the strait.
Bloomberg reported that tanker charter rates have risen to approximately $1.2 million per day, compared with less than $50,000 before the war.
Oil prices have also remained above $100 per barrel amid continuing uncertainty over regional supplies.
The ability of Iran to threaten commercial shipping remains a central source of leverage against Washington, particularly as the Trump administration seeks to avoid another major military escalation before the midterm elections.
Ansarallah Escalation Adds to Regional Risks
The situation has been further complicated by renewed fighting between Saudi Arabia and Yemen’s Ansarallah movement, which is allied with Iran.
The conflict has raised concerns about Saudi Arabia’s ability to rely on the Red Sea as an alternative route for oil exports while traffic through the Strait of Hormuz remains disrupted.
According to Bloomberg, Ansarallah “ballistic missiles struck two airports in Saudi Arabia, killing at least three people and wounding dozens.”
The attacks have increased fears that both of the region’s major maritime chokepoints — the Strait of Hormuz and Bab al-Mandab — could face simultaneous disruption.
For Saudi Arabia and other Gulf exporters, such a development would significantly complicate efforts to maintain energy exports.
Western
officials say Iran retains significant missile production capabilities despite
months of US-Israeli attacks, contradicting Trump’s claims of military
destruction.
Key
Takeaways
- Western officials told Bloomberg that Iran has preserved missile and drone manufacturing capabilities and remains able to replenish its arsenal despite months of bombing.
- Iran reportedly retains significant ballistic and anti-ship missile stockpiles, with one Western official saying Russia is also supplying missiles.
- Trump has pledged to delay further strikes until after the November midterm elections, potentially allowing Tehran additional time to rebuild its military capabilities.
Iran has retained the ability to manufacture ballistic missiles and drones despite eight months of US-Israeli bombing, contradicting repeated claims by President Donald Trump and senior Pentagon officials that Tehran’s military capabilities have been destroyed, according to a Bloomberg report citing Western officials.
“Tehran still has the capacity to manufacture weapons to rebuild its arsenal, according to the Western officials, who asked not to be identified discussing private assessments,” the report stated.
The officials reportedly said Iran has managed to preserve key weapons manufacturing facilities, allowing it to replenish its missile and drone arsenals even as the war continues.
One Western official said Tehran remains well-stocked with ballistic missiles and certain anti-ship weapons and could rapidly expand those inventories through domestic production.
The official also claimed that “Russia was providing missiles as well, echoing a separate assessment in June.” However, “Russia’s Ministry of Defense did not respond to a request for comment.”
The findings directly challenge Washington’s public characterization of its military campaign against Iran.
Trump previously declared that Iran’s military was “totally destroyed,” while Defense Secretary Pete Hegseth said in a September 30 speech that US forces had destroyed Iran’s “military industrial capacity” and “their entire defense base.”
According to Bloomberg, however, Western assessments indicate that Tehran retains enough military production capacity and operational weaponry to sustain attacks and respond to renewed US strikes.
White House Rejects Intelligence Assessment
The White House disputed the findings, insisting that US military operations had successfully eliminated major elements of Iran’s military infrastructure.
“First, President Trump obliterated Iran’s nuclear facilities during Operation Midnight Hammer,” White House spokesperson Anna Kelly told Bloomberg, referring to the US strikes on Iranian nuclear facilities in 2025.
Kelly also claimed that “Operation Epic Fury successfully destroyed the conventional shield that Iran sought to create over a nuclear program, including their ballistic missiles, production facilities, and navy.”
The administration’s response came as Trump announced that Washington would refrain from launching additional strikes against Iran before the November midterm elections.
The president has nevertheless suggested that military operations could intensify after the vote.
According to Bloomberg, delaying renewed attacks could provide Tehran with an opportunity to rebuild its military capabilities while avoiding a further escalation in oil prices ahead of the US elections.
The war has already placed considerable pressure on international energy markets, particularly because of disruptions to shipping through the Strait of Hormuz.
Iran Uses Pause to Rebuild
“The lull in major US attacks has given Iran time to recoup and rebuild as it prepares for a next round of fighting,” according to Becca Wasser, defense lead at Bloomberg Economics.
Wasser said Tehran was using the relative lull to rebuild its forces in anticipation of renewed fighting.
The pattern could prolong the conflict, with neither Washington nor Tehran able to secure a decisive advantage.
Iran’s strategy has increasingly focused on maintaining the ability to retaliate and impose economic costs on the United States and its regional allies.
Bloomberg reported that Tehran could rely more heavily on asymmetric warfare as its economy continues to suffer under the US naval blockade of Iranian oil exports.
Such operations would allow Iran to threaten shipping and regional infrastructure without relying exclusively on large-scale conventional military engagements.
Anti-Ship Arsenal Remains a Major Threat
Western analysts also warned that Iran’s anti-ship missile capabilities may be more extensive than previously demonstrated.
William Alberque, a Europe-based senior fellow at the Pacific Forum, told Bloomberg that Iran has accumulated significant stocks of cruise missiles over several years.
“There is probably less high-end stuff available, but they’ve been stockpiling cruise missiles for themselves and the Houthis for years, and hiding them,” Alberque said.
“I’d guess with a fair bit of confidence that we haven’t seen the tip of the iceberg in terms of anti-ship attacks,” he added.
Iran’s southern mountainous terrain also provides natural protection for weapons storage and production facilities.
Sidharth Kaushal, a senior research fellow at the Royal United Services Institute, said Iran’s ability to manufacture older anti-ship cruise missiles domestically has helped preserve its capabilities.
“The actual anti-ship missile stockpiles likely remain large, both because they are comparatively easy to make, and Iran has in-housed much of the production of older Chinese ASCMs, and Iran’s southern mountains provide natural shelters against air attack,” Kaushal told Bloomberg.
He added that obtaining accurate targeting information was likely a greater challenge for attacks against commercial vessels than the availability of missiles themselves.
Strait of Hormuz Remains under Pressure
The continuing Iranian threat has been particularly evident in the Strait of Hormuz, a critical maritime passage for global energy supplies.
According to the UK Navy, at least ten vessels were struck in the region during the past week. The attacks have intensified concerns about the security of commercial shipping, despite some increase in vessel traffic through the strait.
Bloomberg reported that tanker charter rates have risen to approximately $1.2 million per day, compared with less than $50,000 before the war.
Oil prices have also remained above $100 per barrel amid continuing uncertainty over regional supplies.
The ability of Iran to threaten commercial shipping remains a central source of leverage against Washington, particularly as the Trump administration seeks to avoid another major military escalation before the midterm elections.
Ansarallah Escalation Adds to Regional Risks
The situation has been further complicated by renewed fighting between Saudi Arabia and Yemen’s Ansarallah movement, which is allied with Iran.
The conflict has raised concerns about Saudi Arabia’s ability to rely on the Red Sea as an alternative route for oil exports while traffic through the Strait of Hormuz remains disrupted.
According to Bloomberg, Ansarallah “ballistic missiles struck two airports in Saudi Arabia, killing at least three people and wounding dozens.”
The attacks have increased fears that both of the region’s major maritime chokepoints — the Strait of Hormuz and Bab al-Mandab — could face simultaneous disruption.
For Saudi Arabia and other Gulf exporters, such a development would significantly complicate efforts to maintain energy exports.
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