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The Situation Room

House Gives Trump New Tariff Powers in Russian Sanctions Bill; Dem Senators Try to Repeal and Refund Trump's Canada Tariffs; Trump Threatens "Heavy Tariffs" On E.U. Over Canada Ties; Dems Call for A.I. Regulation After Briefing with Experts. Aired 11:30a-12p ET

Aired September 17, 2026 - 11:30   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

[11:30:00]

WOLF BLITZER, CNN ANCHOR: Happening now, lawmakers in the U.S. House of Representatives have now approved a sweeping bill on Russian sanctions in hopes of forcing an end to the war in Ukraine. It also gives the president new authority to slap tariffs on countries buying the most oil and natural gas from Russia. And that has raised concerns among at least some Democrats and even a few Republicans.

CNN congressional correspondent Lauren Fox is up on Capitol Hill. Lauren, CNN has learned that what, nearly a dozen Republican lawmakers lobby party leaders to remove the new tariff power from the legislation. What was their primary concern?

LAUREN FOX, CNN CONGRESSIONAL CORRESPONDENT: Yes. I mean, one of the concerns happening right now when it comes to tariffs is just how President Donald Trump may use that new authority. Already, you are seeing the issue of tariffs play out across the country just ahead of the midterm elections. And those are having a real impact in some Republican strongholds, even in states like Nebraska, Kansas, as well as in the battleground state of Iowa.

So, that is where some of those concerns are coming from. And it's actually a large reason why there wasn't a bigger Democratic vote for this piece of legislation. It wasn't that Democrats were opposed to the sanctioned piece of this legislation, but they were opposed to giving the president more tariff authority. That's why you see there just more than 50 Democrats voted for this legislation. And Democratic leader Hakeem Jeffries voted against it, so a break from some in his party.

But overall, there were also concerns from Democrats that perhaps the sanctions provisions were not strong enough, that perhaps they gave the president too much authority to decide whether or not to actually move forward and implement some of them.

[11:35:00]

But this is now expected to go to the president's desk. It has passed the United States Senate. And obviously, Wolf, we should mention that this bill was a legacy of the late Senator Lindsey Graham. He worked for years to try to get it through Congress. And now, it is headed to the president's desk. Wolf. BLITZER: Certainly is. All right. Lauren Fox up on Capitol Hill. Thank you very much. The bill, as we just noted, was named for Senator Lindsey Graham, who was a tireless advocate for Ukraine, and he died just after returning back here to Washington from a trip to Kyiv.

Joining us now is Oksana Markarova, Ukraine's former ambassador to the United States. Ambassador, thanks very much for coming in here to the Situation Room. Thanks for all the important work that you do. The late senator praised -- he was praised repeatedly in the House of Representatives by his colleagues for securing this bipartisan support for Ukraine. Is the passage of the bill a fitting tribute to the man you knew well, Lindsey Graham?

OKSANA MARKAROVA, FORMER UKRAINIAN AMBASSADOR TO THE U.S.: Well, thank you, Wolf, for having me. Always happy to be here. Of course, it is. And Senator has been a champion not just for Ukraine, but for democracy and freedom themselves, because this is what we are fighting for there. It's not just about our land, it's not just about our people, it's also about defending the way we want to live and to say no to countries like Russia and Iran and all others who believe they can actually attack peaceful neighbors.

BLITZER: These sanctions against Russia, the legislation has passed the Senate, the House, it's now up to the President of the United States, President Trump, to sign it into law. Do you think he will?

MARKAROVA: I really hope so, because we do need more sanctions on Russia. In this situation, when Ukraine pursues peace, always, we defend ourselves, but we also want peace, Europe, U.S., everyone works to get to peace faster, because that is not only the right thing to do, it will also return the world into a more stable situation, into prosperity. Russia, and Russia only, is the country that started this war, and they do not pursue peace now.

Sanctions is a very important element of actually getting them to the table of negotiations and seriously for them to consider stopping their aggression.

BLITZER: As you know, the United States in recent weeks has been trying to restart peace talks involving Russia and Ukraine. They faltered since the early part of the year. But even with the possible financial pressure of these sanctions and new tariffs potentially on Russia, will Russia agree to peace without Ukraine having to surrender territory?

MARKAROVA: Well, it was never about particular territories or NATO or whatever other reasons Russia was putting on the table. I mean, they just attacked a country that did not belong to them and will never belong to them. But I believe that if we all are very resolute about sanctions, Russia will understand that there is no good solution for them and no good outcome for them out of this war.

So, of course, there will be a very important element to help President Zelenskyy and Ukraine, as well as all of our partners, especially the U.S., who want to see peace, to convince Putin to stop, negotiate a solution, and move ahead. BLITZER: You are now, you're the former ambassador of Ukraine to the United States, but now you're back in Kyiv. You're President Volodymyr Zelenskyy's advisor on Ukraine's reconstruction efforts. How great will the need be for international aid from all of your allies? And can you count on President Trump, who has been much more reluctant on this specific issue, than his predecessor?

MARKAROVA: Let me say this. The damage is huge, of course. And Russia destroyed a lot in Ukraine and continues to destroy it every day, attacking peaceful civilians, attacking business, including American business in Ukraine. But it's not just about aid to Ukraine. The reconstruction of Ukraine, the rebuilding of Ukraine is going to be the massive project that is going to be a win-win for not just Ukraine, but Europe and the U.S. This is where we can do something together and grow together.

And also, Wolf, earlier in the program you discussed, you know, A.I., you discussed what happens in the Middle East. Ukraine is a solution to so many global challenges, with all the innovations that we have on the front lines and not only, with all the resilience that our business shows that I don't think you can find anywhere on the globe. Not that we wanted that, not that we would rather be a peaceful, boring country, not that. But Ukraine has the solutions and is ready to share it with the world, to make all of our friends and partners who believe in the same values stronger, safer and more prosperous. And that's exactly what we can do only together.

BLITZER: As you know, President Trump has formally asked President Zelenskyy of Ukraine to stop Ukrainian military strikes on Russian diesel fuel, saying it's contributing to a global shortage. Ukraine is targeting Russia's energy to deprive the Kremlin's war machine of its fuel. Should President Zelenskyy, from your perspective, honor Trump's request?

[11:40:00]

MARKAROVA: Ukraine always wants for ceasefires to stop this. We always agreed and were very constructive throughout years, actually. Remember, the full ceasefire, the energy ceasefire, any type of ceasefire. It's Russia that always, even when they pretended to do something, never agreed at the end.

So, look, Ukraine is not going to be a problem here. The question is, will Russia stop their attack? I mean, this war can be ended very easy. Russia has to stop the aggression, get out from our country. That's the end of it.

BLITZER: But there's new pressure from the U.S. on Russia. Will it help convince the Russians to stop the war?

MARKAROVA: Well, let's hope there will be more sanctions and there will be more supporting weapons to Ukraine that definitely will lead to a change in Russia's calculation.

BLITZER: I know you'll be going back to Kyiv in Ukraine soon, so just be careful and we'll stay in touch. MARKAROVA: Thank you, Wolf.

BLITZER: Oksana Markarova, the former Ukrainian ambassador to the United States, thanks very much for being here. Pamela.

PAMELA BROWN, CNN ANCHOR: All right. And coming up here in the Situation Room, where is my refund? We'll speak with a Democratic senator who wants to repeal and refund the president's 50 percent tariffs on Canada.

(COMMERCIAL BREAK)

[11:45:00]

BROWN: Happening now, as the U.S.-Canada trade war impacts businesses on both sides of the border, two Democratic senators have introduced a bill that would repeal and refund President Trump's 50 percent tariffs on Canada. Here's what New York Senator Kirsten Gillibrand said here in the Situation Room about the tariffs' impacts.

(BEGIN VIDEO CLIP)

SEN. KIRSTEN GILLIBRAND (D-NY): This new 50 percent tariff is going to raise prices for New Yorkers on food, on clothing, on everyday household goods, and on building materials, which again will increase the rate of housing and how much it costs to get a better apartment to rent or to buy a home. And so, we are trying to repeal those tariffs immediately because what President Trump has done is illegal and creating massive chaos in the economy for everyday New Yorkers.

(END VIDEO CLIP)

BROWN: All right. Joining us now is Democratic Senator from Vermont Peter Welch and co-sponsor of the Bad Deal Act. You just heard from Senator Gillibrand there laying out some of the impacts she believes these tariffs are having on New York. Vermont shares a border with Canada. How are the impacts being felt in your state?

SEN. PETER WELCH (D-VT), JUDICIARY COMMITTEE AND FINANCE COMMITTEE: You know, really, really brutal. Let me just be very specific. Jay Peak is five miles from the Canadian border. 40 percent of Canadian visitors are not coming. We've got a cheese company up there. It gets award-winning cheese. They have a million-dollar piece of equipment at the border, but they're going to have to pay $500,000 more with these tariffs. We've got a company that makes snow-moving equipment. They sell it for $500,000. They've lost sales to Canada because they have to add on $250,000. So, this is just really, really brutal. And it's going to be $193 million hit to the Vermont economy.

BROWN: And looking, you know, at a larger scale here, Prime Minister Carney of Canada came out today and said that he is trying to strengthen ties with the E.U. I wonder what your reaction is to that and how you think a stronger Canada-E.U. relationship would impact the U.S?

WELCH: It hurts us. You know, here's the thing. Number one, Donald Trump rightly bragged about the USMCA trade deal. He said it was the best ever. He's ripped it up. And now, he's arbitrarily imposing these tariffs, which he does not have the authority to do. My Republican senator colleagues are absolutely opposed to these tariffs, but they just won't say it out loud. I mean, the Republicans have traditionally been low-tax and no tariff.

So, what the president is doing is totally arbitrary. It's an expression of his, you know, impulsiveness. And it's doing real harm to us and to long-term damage with Canada. And now, they start a partnership with the E.U. and leave us behind. Very, very, very destructive.

BROWN: And you mentioned your Republican colleagues. Republican Maine senator, Susan Collins, has been very outspoken against these tariffs. But do you have the Republican support to pass this bill in the Senate?

WELCH: You know, I don't think we do. And that's really a shame on the Republicans because they're against the tariffs. And the decision that the Republicans have to make, and it's a tough one, is do they have such fear of Trump that they're not going to protect their own constituents from the damage of these tariffs? And they pay a price. I mean, look what happened to Senator Cassidy, what happened to Senator Cornyn.

But bottom line, at a certain point, we have to stand up and protect the interests of the people we represent and not kowtow to a president who's out of control.

BROWN: I want to turn to A.I., obviously, that is very much a talker right now across party lines. You and some of your Democratic colleagues stressed the need for regulation after speaking with experts yesterday. Let's take a listen.

(BEGIN VIDEO CLIP)

SEN. BERNIE SANDERS (I-VT): I think it is basically insane, and I think most Americans would agree with me, that we allow the development of a dangerous technology that could escape human control.

WELCH: President Trump thinks it's just a race. I don't think that's right. It may be partly a race, but there's also a public responsibility to make sure that this technology does good.

SEN. ELIZABETH WARREN (D-MA): We can't be a Congress that just sits back on its butt and says, wow, this looks like a real problem. We are in the last minutes of being able to get some meaningful control.

(END VIDEO CLIP)

[11:50:00]

BROWN: I'm wondering, Senator, do you think Congress members like yourself know enough about A.I. to make sure that these A.I. doomsday warnings don't become a reality? WELCH: No, we don't. And that's why I think what we have to do, there was a good proposal by Amodei where there are people who do know that have a seat at the table as these systems are being developed and they're there on behalf of the public. I also think the idea another person made of having like a regulatory agency, let's say the FDA, for artificial intelligence is the way to go.

You have to have experts, well-staffed, and the role of Congress is to absolutely assert that there has to be the public good that is part of the equation, not just the private profit of a few A.I. developers who disregard whatever is going to happen. So, no, I don't think individual members don't have it, but that's where you have to have a regulatory agency, well-staffed and experts.

BROWN: And what do you do about the threat of China and these open weight models from China? You can regulate here, but China's not necessarily going to give up on its race on the A.I. front.

WELCH: No, that's exactly right. And this is where it's troubling with President Trump just characterizing it as, quote, a race. There's got to be a real effort to have some cooperation with China, with the E.U., when it comes to protecting the human control of this incredibly new technology. So, we'll have to keep our eye on it.

There was an effort also in the defense bill to allow the A.I. companies to work together to try to make certain that safeguards are in place. So, there's a combination of competition at the companies that are developing this, but also cooperation where there has to be a role, I think, for the president to lead on that and for Congress to facilitate that.

BROWN: I want to ask you about something else. There was a hearing earlier this week with FBI Director Kash Patel, and you got into a heated exchange with him over whether he'll send FBI agents to polling locations in November. I want us to all take a listen to this.

(BEGIN VIDEO CLIP)

WELCH: Do you pledge that you will not in any way interfere in the will of the American people when they go to the polls in November?

KASH PATEL, FBI DIRECTOR: I pledge unequivocally that I will not participate in your charade of lies.

(END VIDEO CLIP)

BROWN: What did you make of that answer?

WELCH: What I make of the answer is they're planning on doing whatever they can, including sending FBI agents to the polls to interfere in the outcome of the elections. I started that out by pointing out that President Trump in Ireland said that he won the 2020 election. He also said the only way Democrats can win is by cheating. So, he's setting it up so that he can assert that an outcome in any of these 2026 elections that he doesn't like is rigged. And what he's got is Kash Patel in place to do his dirty work. He's got Todd Blanche in his place to do the dirty work.

So, this is a very, very urgent concern for the American people. Republican, Democrat, and independent. Those people are -- the citizens who have to decide, not the president and his henchmen.

BROWN: I mean, we have seen the president do it before where he said an election was rigged when it clearly wasn't, or he didn't have the evidence to support that. So, how are you preparing for this possibility that he is setting the stage for the same kind of scenario again where a Republican could lose a race and he'll say it's rigged? What are you doing to prepare? Are you talking to your Republican colleagues? What's happening behind the scenes?

WELCH: What we're doing behind the scenes is creating a nationwide network of legal help. Law firms are helping us because we are going to ultimately have to rely on the court. If there's a seizure of ballots, if there's a closure of a balloting place, if there's any things that are absolutely illegal interfering with the vote, we're going to have to get a court order in order to open it up and to remedy it and do it right away. So, we're getting the volunteer lawyers all around the country to be in position to act and act promptly.

But this is a dire situation. I mean, the president did this in January 6th, but he didn't have everybody in place in these extraordinary positions of power. Director of the FBI, the United States attorney general. This time he does, and we know that when President Trump says something as outlandish as that, that the only way Democrats can win is by a rigged election or cheating, we know he means it. So, he's going to act. We're going to be ready.

BROWN: All right. Senator Peter Welch, thank you so much.

WELCH: Thank you.

BLITZER: And thanks for me as well. And to all of our viewers, thanks very much for joining us this morning. You can always keep up with us on social media, @wolfblitzer and @pamelabrowncnn.

[11:55:00]

We'll see you back here tomorrow morning and every weekday morning at 10:00 Eastern for two hours. Inside Politics with our friend and colleague Dana Bash starts after a quick break. Have a great rest of your day.

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