The Trump administration has moved to partially reschedule cannabis, sparking confusion across the industry. Acting Attorney General Todd Blanche signed an order last week that removes certain cannabis products from Schedule I, which includes substances with no accepted medical use, and places them under Schedule III, which covers legal but regulated substances like Tylenol with codeine and ketamine.
However, experts say the order is only a partial rescheduling and leaves many questions unanswered. Cat Packer, director of drug markets and legal regulation at the Drug Policy Alliance, noted that the order applies primarily to products sold under state medical cannabis licenses and FDA-approved cannabis products. However, the FDA-approved portion only applies to prospective products that do not yet exist, not to existing FDA-approved cannabis pharmaceuticals.
Packer expressed concern that the order may predetermine scheduling outcomes for future FDA-approved drugs without proper risk evaluation. The order cites the 1961 Single Convention on Narcotic Drugs, a UN treaty requiring cannabis to be produced only for scientific and medical purposes. Packer noted that the US may already be out of alignment with the treaty, similar to Canada, which has legalized cannabis despite participating in the convention.
Ryan Hunter, chief revenue officer at Spherex Labs, called the announcement "very silly" and said it has only added confusion. Alex Gonzalez of Calyx Containers speculated that the timing is strategic, aimed at appealing to younger male voters ahead of midterms. He also noted that Pam Bondi's removal may have paved the way for the policy change.
The order is most significant for medical cannabis patients, whose products are now federally recognized as legitimate medicine. However, implementation remains unclear. Packer warned that patients could still face discrimination in housing and employment. Additionally, the focus on medical cannabis disproportionately benefits white entrepreneurs, as Black and Latino operators are more likely to hold adult-use licenses due to barriers in early medical markets.
The DEA will hold a new administrative hearing on rescheduling on June 29. Packer emphasized that full rescheduling is not guaranteed and would still fall short of public support for full legalization.
