Washington, DC

1. Trump nixes Iran talks
2. Econ penalties still coming
3. Canada tariffs loom
4. Housing market sags
5. ABC vs. FCC

Polls close at 7 pm EST in Florida, 9 pm EST in Wyoming, and 1 am EST in Alaska.

Trump nixes Iran talks as stalemate persists

President Donald Trump today cut off talks with Iran for the foreseeable future. On Truth Social, Trump wrote that there “are no talks or conversations going on, or scheduled” with Iran; a White House official clarified that the president was announcing an end to talks with Iran — a notable development just a day after Jared Kushner publicly referenced ongoing “positive and active conversations” with various parts of the Iranian government in a Fox News interview. Trump is frustrated that a deal with Iran hasn’t been reached to replace the ceasefire agreement that formally expired Monday, and is instead resorting to pressure to try to extract the US from the conflict. One US official told Semafor that Trump “wants the blockade” of the Strait of Hormuz “to play out and thinks they can inflict a lot of pain on Iranians and get them to capitulate.”

— Shelby Talcott

White House weighs how to achieve Iran’s ‘economic isolation’

The Trump administration is still eyeing additional economic measures against Iran after Treasury Secretary Scott Bessent indicated announcements would come this week, an administration official told Semafor. “There are many levers the president can crank harder in the weeks and months ahead,” the official said. “While he has been consistent in saying he prefers a diplomatic solution, he continues to retain all options if Iran continues to engage in terrorism and refuses to make a deal.” The current sanctions and naval blockade, the official argued, have already “crippled Iran’s economy.” The challenge for the administration will be intensifying that pain without harming the American economy. Options like seizing Iranian assets and sanctioning Iran’s trading partners, exchange houses, and Chinese banks all have potential downsides.

— Eleanor Mueller

New Canada tariffs would further upend relationship

US-Canada tensions are running high ahead of tonight’s deadline for tariffs to take effect on billions of dollars in Canadian imports. The 50% duties on hockey equipment, beer, and other Canadian goods are expected to take effect at midnight absent a breakthrough in talks, which had intensified over the weekend. The levies would be the latest turn in the up-and-down relationship between Trump and Canadian Prime Minister Mark Carney, with whom he spoke by phone yesterday. “We are involved in very delicate and intense negotiations; this is not the time to negotiate in public,” Carney told reporters Monday. He faces a balancing act as he looks to both stand up to Trump and avoid economic calamity. “It is a narrow path for sure,” a former Canadian official told The New York Times. Existing auto tariffs on Canada have emerged as a sticking point in talks, Bloomberg reported.

US housing market flounders

America’s housing market is showing signs of struggling as inflation and economic uncertainty weigh on would-be buyers. US housing starts, including construction of single-family homes and apartments, fell 12.4% in July from the previous month, according to government data released today — much higher than investors polled by The Wall Street Journal expected. While Home Depot beat earnings expectations today, the company’s chief financial officer said the company is operating in “frozen housing market conditions” and that its customers are hesitant to spend on big projects, according to CNBC. Confidence among US homebuilders is still anemic, though they grew slightly more optimistic in August, a survey released yesterday showed. The data shows how hard it will be for lawmakers to sell their bipartisan housing law on the campaign trail, and adds to growing evidence of inflation’s continued drag on the US economy.

ABC fights back at FCC

Trump’s long-running clash with the media is escalating thanks to a stepped-up feud between his administration and ABC. A Biden-appointed judge in DC will now have to decide whether to grant a request by Disney, ABC’s parent company, for an order halting the Federal Communications Commission’s review of the network’s broadcast licenses. Disney has filed a lawsuit accusing the FCC of violating the First Amendment, alleging that the FCC is engaged in a “retaliatory” campaign against the network because the administration doesn’t like its broadcasts. (Trump has criticized late night host Jimmy Kimmel and The View.) FCC Chair Brendan Carr launched the license review in April, citing Disney’s corporate diversity policies; if successful, that could force ABC stations off the air. Carr has also scrutinized the network for potential violations of the equal-time rule for political candidates.

On Wednesday, September 16, Dr. Jon Kole, Medical Director and Senior Director of Psychiatry, Headspace, will join us for the Youth Wellbeing Forum: Building Resilient Generations. As young people are challenged by rising rates of loneliness, anxiety, and depression, we are bringing together experts across technology, healthcare, and policy to examine solutions that can build lasting resilience. Semafor editors will sit down with Rep. Suzanne Bonamici, D-Ore.; Rep. Kevin Kiley, I-Calif.; Jaymes Black, CEO, The Trevor Project; Nicole Hockley, Co-Founder & CEO, Sandy Hook Promise; and more to explore how to build lasting resilience for the next generation.

Washington, DC | September 16 | Request Invite

White House

• The sugar company of Trump-connected businessman José Fanjul has continued inhumane labor practices, despite the administration’s removal of a human rights-based import ban last year. — NYT
• The White House is considering appointing Rep. Buddy Carter, R-Ga., to lead the FDA. — NOTUS

Immigration

• Liberia agreed to accept 1,200 US deportees.
• The Justice Department asked a judge to reinstate criminal charges against Kilmar Ábrego García.

Economy

• US industrial production rose for a second straight month.
• In a surprise announcement, the SEC proposed a new regulatory framework for cryptocurrency, which comes as Congress struggles to pass a permanent one, Semafor’s Eleanor Mueller reports.

Education

• A whistleblower alleged that the Trump administration rushed investigations that had “predetermined outcomes” in probes into antisemitism at major universities. — AP

World

• Russia is shipping ammunition, drone parts, and explosives to Iran to replenish stockpiles damaged during the war. — NBC
• One of Russia’s largest state-run financial institutions fired its chief economist after he said Moscow is losing a “war of attrition” against Ukraine. — The Bell
• The Pentagon commissioned an analysis of the US military presence in the Middle East to consider a drawback of forces in the region after the Iran war. — WaPo

Outside the Beltway

• Pennsylvania Gov. Josh Shapiro, a Democrat, plans to sign an executive order limiting data center development and expanding local review processes on data center projects. — WaPo

Technology

• OpenAI announced the launch of “ChatGPT for Teens,” a version of the chatbot that aims to allay parents’ safety concerns.
• A new program from Google will allow the emails of verified political campaigns to more easily bypass the spam filter.

— UK Prime Minister Andy Burnham, saying he’s not embarrassed for communicating with someone impersonating White House chief of staff Susie Wiles.

Laura McGann, editor

With help from Elana Schor, senior Washington editor, and Morgan Chalfant, Washington briefing editor

Graph Massara and Lauren Morganbesser, copy editors

Contact our reporters:

Burgess Everett, Eleanor Mueller, Shelby Talcott, Nicholas Wu, David Weigel