Trump’s Hemp Executive Order Gives Industry Lifeline as Congress Tightens Cannabis Rules

President Donald Trump has issued an executive order directing federal officials to expedite the rescheduling of marijuana and pursue Medicare coverage for CBD — measures industry leaders describe as a strategic boost ahead of congressional restrictions that could ban most popular hemp-derived products.

The hemp sector has faced mounting pressure since November, when Congress included a provision in a government funding bill intended to close what critics label a significant hemp loophole. Industry advocates warn the language could effectively prohibit nearly all hemp-based consumer goods, including full-spectrum CBD, which contains trace amounts of naturally occurring THC but is non-intoxicating.

Trump’s directive, released last week, explicitly references the spending bill provision, urging administration officials to collaborate with lawmakers to revise regulations and maintain access to certain hemp-derived CBD products “while preserving Congress’ intent to restrict sales of items posing serious health risks.”

Jonathan Miller, general counsel for the U.S. Hemp Roundtable, labeled the order a “direct rebuke” to the funding bill’s language. “In terms of where the political discussion is going to be, it is definitely a lifeline and gives us a whole lot more leverage to ensure that what Congress does in the next 11 months will be favorable for the industry,” Miller stated.

Thomas Winstanley, executive vice president and general manager at Edibles.com, noted companies are pushing for at least a six-month delay before January 30’s funding deadline. He added: “It was notable to hear a Republican president acknowledge potential health benefits.”

Hemp gained federal legalization through the 2018 farm bill, yet insufficient oversight has enabled products critics argue exploit the definition to create intoxicating THC variants. The funding bill provides a one-year grace period before restrictions take effect.