USAID Gifted a Cement Factory to Hamas—How $310 Million in U.S. Taxpayer Money Helped Create Gaza Terror Tunnels
How U.S. Taxpayer Dollars Ended Up Strengthening Hamas' Military Infrastructure
Most people are unaware that USAID, the U.S. government agency tasked with foreign aid and development, gifted in 2016, $310 million of taxpayer money to start a Palestinian cement factory project. The project was a private venture, by a company called Sanad Construction Resources Company (SANAD), the establishment of multiple cement mills and factories which ultimately helped create Hamas' terror infrastructure in Gaza.
Sanad Construction: A Publicly Traded Company with a History of USAID and UNRWA Funding
Sanad Construction Resources Company (SANAD) is a Palestinian publicly traded company, in PEX (Palestine Stock Exchange), it has profited handsomely from the purchase of cement as foreign aid, particularly from USAID, UNRWA and the UN. Much of its revenue came from cement and construction contracts funded by these organizations. Cement—critical for building tunnels and military infrastructure—was always a priority for Hamas and USAID ensuring it had a cement factory nearby, ensured it had an endless supply. The likelihood that Sanad’s cement ended up in the hands of Hamas is almost certain.
In 2016, during a press conference, where the project was announced, Loai Quwas, the executive head of Sanad said,
“…establishing the factory is a dream of Sanad company and the Palestinian investment fund, adding that it has been started since 2013”
Sanad Construction Resources Company (SANAD) was established in January 2016, the same year it received $310 million in funding from USAID for a Palestinian cement factory project. About a year later, in February 2017, the company began publicly trading on the Palestine Exchange (PEX). The timing of these events should raise questions about the relationship between the funding and the company's rapid growth. The company is considered the largest distributor of cement in Palestine, as it meets approximately 65% of the needs of the Palestinian market.
Immediate Investigation and Accountability
USAID’s involvement in this project sparks a chilling question: How could U.S. tax dollars be blindly funneled into a private venture, with zero oversight or accountability, empowering a terrorist organization? Worse yet, after funding Sanad to build the cement factory, USAID would later purchase cement back from that very same company. This circular flow of money seems less like an aid initiative and more like a dangerous money-laundering scheme, giving Hamas a steady stream of resources while making some very wealthy in the process.
With USAID now shut down, it’s time for a thorough investigation into this $310 million disaster and subsequent purchases. The U.S. government must hold accountable those responsible for enabling a project that strengthened Hamas while squandering taxpayer money. USAID’s complete lack of oversight is a betrayal to every American. USAID’s actions are not a bureaucratic error—it directly contributed to the violence in the region. It's time for transparency, accountability, and reform to ensure that U.S. foreign aid never again becomes a tool for terrorism.
I can’t fathom how much more we’ve funded like this!
The problem with USAID is that the accounting books prove waste, fraud, the funding of terrorist, abuse within the agency, funding frivolous projects, funding national atheism abroad, promoting DEI musicals and the funding of transgender modalities, operas and comic books. Less than 1% goes to feeding the hungry. Humanitarian efforts are the least among its goals. If I found my accountant donating our ministry’s foreign missions funds to such efforts - I would fire her overnight, close the program and restart the Biblical method of caring for the needy. - Stephen