Trump executive order reopens debate over hemp, CBD, and federal THC limits
President Donald Trump’s executive order directing federal agencies to advance marijuana rescheduling to Schedule III is also reshaping the national conversation around hemp-derived products, particularly full-spectrum CBD, as lawmakers grapple with recently enacted federal THC restrictions tied to the budget process.
Earlier this year, Congress passed a federal spending bill that significantly narrowed the legal definition of hemp-derived consumable products by restricting total THC content, including tetrahydrocannabinolic acid, rather than focusing solely on delta-9 THC. Industry stakeholders warned at the time that the change could effectively eliminate much of the full-spectrum hemp and CBD market by redefining products that had previously been lawful under the 2018 Farm Bill framework.
Trump’s executive order does not repeal those budget provisions, but it directly calls on federal agencies and Congress to reassess hemp definitions to ensure patient access to non-intoxicating, full-spectrum CBD products. The order signals a potential policy course correction by acknowledging that broad THC caps may unintentionally restrict products used by patients seeking therapeutic benefits without intoxicating effects.
The directive instructs federal officials to balance public health concerns with medical access, particularly for populations such as seniors and individuals managing chronic conditions. Administration officials have emphasized that full-spectrum CBD, which contains trace cannabinoids alongside cannabidiol, has been widely used in medical and wellness settings despite ongoing regulatory uncertainty at the federal level.
The tension between the executive order and the budget bill highlights a growing divide in federal cannabis policy. On one hand, Congress moved to tighten hemp regulations amid concerns about intoxicating hemp-derived products entering unregulated markets. On the other, the administration is now pushing to preserve access to CBD products that do not produce intoxication but could fall afoul of total THC limits due to naturally occurring cannabinoid profiles.
This policy conflict is particularly relevant for states with established hemp industries, where full-spectrum CBD products are manufactured, distributed, and sold under state oversight. Operators have argued that total THC caps fail to distinguish between products designed to intoxicate consumers and those intended for medical or wellness use, potentially sweeping both into the same regulatory category.
The executive order also intersects with federal health care policy. In addition to directing agencies to revisit hemp definitions, the administration outlined plans for pilot programs that would allow Medicare beneficiaries to access CBD products under medical supervision. Those initiatives could further pressure lawmakers to clarify how hemp-derived products are regulated at the federal level, especially if reimbursement or coverage is involved.
While marijuana rescheduling to Schedule III remains the headline policy shift, the hemp and CBD provisions of the executive order may have significant implications. By urging Congress to reconsider recent statutory language affecting hemp, the administration has reopened a debate that many believed to be closed.
As agencies move forward with marijuana rescheduling and lawmakers reassess hemp policy, the executive order underscores a broader shift toward reevaluating decades-old rhetoric and policy.
