- The Center for Economic and Policy Research, co-founded by Dean Baker, is tracking how the unresolved situation in Iran is driving up prices and impacting global energy supplies.
- Economic analysis by think tanks tracks shipping disruptions and military operations against Iran, impacting global energy prices.
War in Iran, Drone Activity, and Global Energy Market Impacts
What happened
The war in Iran has been linked to rising gas prices and inflation, according to reports published on September 28, 2026. During the conflict, President Donald Trump stated that the United States had largely depleted Iranian defenses, noting that they continued to target Iranian drone and missile capabilities. These low-tech drones have been used in the region, including in the Middle East, and have been linked to disruptions in the oil industry.
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Why it matters
The ongoing conflict and associated drone activity are cited as factors driving up gas prices and fueling inflation. The increased military demand resulting from the need to counter Iranian drone threats provides significant revenue for established defense contractors like General Dynamics and Lockheed Martin. Furthermore, global defense spending is benefiting the aerospace and defense sector in Arizona.
Economic analysis by think tanks tracks shipping disruptions and military operations against Iran, impacting global energy prices.
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Who's involved
- Donald TrumpPresident of the United States and key figure in the conflict
- Middle EastGeopolitical region affected by the conflict and drone activity
- General DynamicsDefense manufacturing conglomerate benefiting from increased military demand
- Lockheed MartinAerospace and defense manufacturer benefiting from the overall defense sector growth
- ArizonaState whose defense sector benefits from global defense spending
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- Middle EastSpeculative
The oil industry in the Middle East could face operational instability due to Iranian drone attacks.
- General DynamicsSpeculative
General Dynamics could see increased contract revenue due to heightened military demand.
- Lockheed MartinSpeculative
Lockheed Martin could benefit from the increased market demand within the defense sector.
Keep exploring
The entities involved
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Donald Trump
American businessman and politician (born 1946), President of the United States (2017–2021; since 2025)
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Iraq
sovereign state in Western Asia
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Afghanistan
country in Central and South Asia
Related events
- Drone strikes hit gas vessels at Damietta port, Egypt, while Iran launched military strikes targeting US assets in Jordan and militias in Iraq.
- Trump and his son are linked to national security vulnerabilities as the war against Iran drives up gas prices and risks escalation.
- Gas price analysis is influenced by Iran's actions, Strait of Hormuz violence, and the Russia-Ukraine conflict, with Trump commenting on trends.
- Trump issued threats against Iranian civilian targets and imposed tariffs on Canadian products, amid ongoing war impacts on oil prices.
- Trump's war against Iran drives global oil prices up, while David Urban monitors the president's approach to economic issues.