Senate Spending Bill Delays Federal Recriminalization of Hemp THC Products, Offering Reprieve to $28 Billion Industry
核心洞察
Senate leaders included provisions in a new spending bill to delay the planned federal ban on most hemp THC products from November 12 to December 11, 2025.
The delay provides the hemp industry additional time to advocate for comprehensive federal regulation rather than outright prohibition of intoxicating hemp-derived products.
The House previously passed a continuing resolution without hemp ban delay language, meaning the Senate version still requires House approval before reaching the president.
Senate leaders have inserted provisions into a new government funding bill that would delay the planned federal recriminalization of most hemp-derived THC products, a move industry advocates are calling the sector's most significant legislative victory since the 2018 Farm Bill.
The text of the continuing resolution, released Sunday by leaders of the Senate Appropriations Committee, would extend federal agency funding through December 11 and simultaneously push back the scheduled November 12 prohibition on hemp products containing more than 0.4 milligrams of total THC per container. The delay would run through December 11, though synthetic cannabinoids "that are not capable of being naturally produced by a Cannabis sativa L. plant" would still face recriminalization on the original November 12 date.
"Passage of the continuing resolution (CR) in its current form would be a landmark victory for the hemp industry—our biggest win since the 2018 Farm Bill legalized hemp," said Jonathan Miller, general counsel for the U.S. Hemp Roundtable (搜索), in a press release. "We are deeply grateful to congressional leaders of both parties, as well as to the president for his strong support for our farmers and businesses."
The House of Representatives passed its own version of the continuing resolution last month without any provisions addressing the hemp ban, meaning the Senate bill must still secure approval from the lower chamber before being sent to President Donald Trump.
A $28 Billion Industry at Risk
The hemp-derived products market is now valued at more than $28 billion annually, according to data from the U.S. Hemp Roundtable (搜索). If enacted as planned, the ban would reclassify many currently legal products as Schedule I substances under federal drug laws, a change industry stakeholders warn would devastate operators and push consumers toward unregulated markets.
"Demand doesn't disappear because the government says no. And where there's demand and money, there will be a market to meet it," said Joe Gerrity, CEO of Crescent Canna (搜索). "If the ban takes effect in November, all it does is hurt small business owners and make it harder and more expensive for consumers. Former law-abiding customers will shift to other formats, and a lot of them will end up buying from a drug dealer who doesn't pay taxes, doesn't test products, and doesn't abide by any regulations."
The ban originated from provisions included in a spending package passed last fall to end a government shutdown, which redefined hemp to make only products with 0.4 milligrams of total THC per container legal after November 12. Hemp derivatives with less than 0.3 percent delta-9 THC on a dry-weight basis had been federally legalized under the 2018 Farm Bill.
Bipartisan Push for Permanent Regulation
Beyond the short-term delay, lawmakers from both parties are advancing legislation to establish a permanent federal regulatory framework. Rep. Andy Barr (R-KY) and Rep. Angie Craig (D-MN) introduced the Lawful Hemp Protection Act, which would create federal rules for cultivation, processing, lab testing, and labeling while barring synthetic cannabinoids from finished hemp-derived products.
The legislation would redefine hemp as cannabis and cannabis products containing up to 1% THC by dry weight, up from the current 0.3% threshold. It also sets a minimum purchase age of 21 for hemp-derived consumer goods and prohibits marketing directed at children.
"Kentucky farmers helped build America's hemp industry and they deserve certainty," Barr said in a statement. "This legislation builds on that success by creating a national framework that rewards responsible producers, eliminates bad actors, and ensures consumers have confidence in the products they purchase."
Craig, the ranking Democrat on the House Agriculture Committee, added: "Minnesota became the model for responsible hemp regulation when it established a regulatory framework that complied with federal law and enabled local farmers and businesses to thrive. My commonsense legislation will give regulatory clarity to Minnesota farmers, brewers and small business owners."
Rep. James Comer (R-KY), who chairs the House Oversight and Government Reform Committee, is separately circulating legislation that would delay the ban and institute packaging requirements, testing rules, and age limits.
White House Support and Presidential Engagement
President Trump has repeatedly urged Congress to address the impending ban. In a Truth Social post in April, he called on lawmakers to "update the Law to ensure that Americans can continue to access the full-spectrum CBD products they have come to rely on," adding that "ONE in FIVE adults used it in the past year, and many say it improved their chronic pain (搜索) enormously."
The White House Office of Management and Budget (OMB) Director Russell Vought wrote to House Speaker Mike Johnson (R-LA) last month, stating the administration wants lawmakers to "ensure the fair treatment of hemp products," specifically citing Barr's earlier amendment. OMB separately indicated the administration "welcomes the opportunity to work with the Congress to, at a minimum, update the statutory definition of final hemp-derived cannabinoid products."
The administration also launched an initiative in April through the Centers for Medicare & Medicaid Services (搜索) (CMS) to cover up to $500 worth of hemp-derived products annually for eligible Medicare patients, focusing largely on CBD but allowing products with up to 3 milligrams of total THC per serving.
Industry and Broader Stakeholder Response
The Wine & Spirits Wholesalers of America (搜索) (WSWA) issued praise for Barr's bipartisan hemp regulation bill, though noted the measure's tax provisions require "continued discussion." The National Restaurant Association (搜索) recently urged congressional leaders to delay the recriminalization and replace it with a regulatory framework that "ensures consumer safety while meeting growing market demand" for hemp THC beverages as an alcohol alternative.
Justin Tidwell, CEO and co-founder of hemp beverage manufacturer Nowadays (搜索), said the bipartisan legislation "marks a meaningful shift in the conversation around hemp-derived beverages," adding that "establishing consistent national standards for testing, labeling, manufacturing, age verification, and product oversight creates a safer, more transparent marketplace."
Hemp policy observers expect a Senate companion bill to Barr's proposal to be filed soon, likely from Sens. Tim Sheehy (R-MT) and Amy Klobuchar (D-MN). Miller of the U.S. Hemp Roundtable (搜索) cautioned that "our work is not done—we will be deeply engaged in ensuring that the current language is retained through the Senate and House CR votes, and then we will be working toward a more comprehensive fix when we reach the next government funding deadline in December."
