Cannabis Industry Quarterly Update: Q3 2025

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Congress targets cannabis and hemp reforms amid DOJ, DEA, Tax clashes -

A U.S. House subcommittee advanced a bill barring the DOJ from rescheduling cannabis, directly opposing the Biden administration’s move to reclassify marijuana under the Controlled Substances Act. Simultaneously, both House and Senate appropriations committees approved measures to redefine hemp and ban most hemp-derived THC products, including delta-8 and THCA, sparking industry concerns. Meanwhile, the DEA has stalled its cannabis rescheduling appeal for over six months, citing administrative delays and leadership turnover. Lawmakers also passed an amendment allowing VA doctors to recommend medical cannabis, while a federal court ruled cannabis firms ineligible for pandemic-era tax credits. Lastly, Sen. Warren and Rep. Stansbury urged President Trump to end federal cannabis arrests and embrace reform.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

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