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Iraqi advance stalls

Though Khorramshahr was captured, the battle had delayed the Iraqis enough to allow the large-scale deployment of the Iranian military. In November, Saddam ordered his forces to advance towards Dezful and Ahvaz, and lay sieges to both cities. However, the Iraqi offensive had been badly damaged by Iranian militias and air power. Iran's air force had destroyed Iraq's army supply depots and fuel supplies, and was strangling Iraq through an aerial siege.

Iran's supplies had not been exhausted, despite sanctions, and the military often cannibalised spare parts from other equipment and began searching for parts on the black market. On 28 November, Iran launched Operation Morvarid (Pearl), a combined air and sea attack which destroyed 80% of Iraq's navy and all of its radar sites in the southern portion of the country. When Iraq laid siege to Abadan and dug its troops in around the city, it was unable to blockade the port, which allowed Iran to resupply Abadan by sea.

Iraq's strategic reserves had been depleted, and by now it lacked the power to go on any major offensives until nearly the end of the war. On 7 December, Hussein announced that Iraq was going on the defensive. By the end of 1980, Iraq had destroyed about 500 Western-built Iranian tanks and captured 100 others.