President Donald Trump signed a pivotal executive order. This happened on December 18, 2025. The order eases federal marijuana regulations. It reclassifies cannabis from Schedule I. It moves to Schedule III under the Controlled Substances Act. This marks a major policy shift. It is one of the most significant in decades.
A Historic Reclassification
The move acknowledges marijuana’s medical uses. It recognizes a lower potential for abuse. Schedule I includes substances like heroin. Schedule III includes drugs like ketamine. This reclassification validates long-held beliefs. It reflects the experiences of many Americans. It also supports physicians recognizing cannabis utility. The President stated the order “will make it far easier to conduct marijuana-related medical research.” This allows for studying benefits and potential dangers. The move aims to help patients in great pain. It acknowledges legitimate medical applications.
Industry Sees New Opportunities
This reclassification sparks significant industry hopes. It could unlock billions of dollars. The cannabis industry faces a new future. Companies anticipate a less punitive tax rate. The executive order directs federal agencies. The Attorney General must expedite the process. This change may ease burdens on legal businesses. It could reduce strict federal tax penalties. Access to banking services might improve. Some experts believe this could save the industry billions. It may significantly boost profit margins. It is a step toward greater legitimacy. However, the full impact is still unfolding.
What the Order Does Not Do
Crucially, this order does not legalize marijuana nationwide. Recreational use remains illegal federally. It does not change existing laws on possession. Law enforcement practices for arrests are unchanged. State-legal markets still conflict with federal law. Marijuana remains a controlled substance federally. Products not approved by the FDA are restricted. Interstate commerce is still not permitted for these products. Federal criminal penalties and banking restrictions may persist. Further congressional action is needed for full reform.
Background and Process
The rescheduling effort began earlier. President Joe Biden’s administration initiated a review. The Department of Health and Human Services recommended the change. This recommendation occurred in August 2023. President Trump’s executive order directs faster action. This accelerates the Drug Enforcement Administration’s process. The reclassification acknowledges growing public support. Polling shows increasing approval for legalization. Many states have already legalized cannabis. Forty states permit medical marijuana programs. Twenty-four states allow recreational use. This federal shift aligns policy more closely. It moves closer to what many states have enacted.
Reactions and Future Steps
Reactions to the order are mixed. Many in the cannabis industry welcome the news. They see it as a positive development. However, some Republicans oppose the move. They cite concerns about public health and safety. They worry about sending the wrong message. Some state Attorneys General also voiced opposition. They argue against rescheduling based on perceived harm. The order directs federal agencies to complete rulemaking. This process will likely take time. The transition from Schedule I to Schedule III is substantial. It represents progress in drug policy reform. It continues a significant trending topic in US news. This news impacts the ongoing cannabis discussion.

