Iran Update Special Report, July 29, 2026

Key Points:

• On July 28, Iran’s IRGC launched a surprise ballistic missile attack on the US Muwaffaq Salti Airbase in Jordan, ending a four-day pause in US-Iran hostilities and signaling Iran’s intent to assert control over the Strait of Hormuz despite risks of full-scale conflict.
• The attack followed Iran’s rejection of an Omani proposal for regional management of the Strait of Hormuz and was likely aimed at undermining US willingness to continue the conflict, with IRGC media emphasizing Iran’s maintained initiative and refusal to accept US terms.
• US and Saudi forces retaliated on July 28 with strikes against Iranian-backed Iraqi militia sites across Iraq, killing at least 20 militia members and several IRGC Quds Force officers, highlighting Iran’s use of Iraqi proxies to target Gulf states and US interests.
• The Houthis threatened to expand attacks on Saudi oil infrastructure and ports to pressure Saudi Arabia to lift its blockade on Houthi-controlled ports, with reports suggesting possible plans to impose fees on commercial vessels transiting the Red Sea and Bab al Mandeb Strait.
• Iran is enhancing its air defense and drone capabilities with Chinese assistance, reportedly acquiring hundreds of Chinese-made MANPADS and developing an upgraded Hadid 110 drone with improved stealth and speed to better counter US air defenses in the region.