They don't have good targeted ASAT capability, but they still can cause some problems.
Iran has(had) rockets that can lift 100-500 kg into LEO but they don't need even that much. All they need is a tiny 10-50 kg bucket of metal dust in the opposite direction. The collision speed would be around 15 km/s. Even a sub-millimeter projectile will be devastating. It an take days before they hit something but it's just question of time. Suborbital sounding rocket launch with reasonable timing is probably enough to cause some damage.