A Republican-led proposal in the U.S. House is moving forward with language that would federally ban a wide range of hemp-derived cannabinoid products, setting the stage for a significant nationwide shift in hemp regulation, especially when it comes to hemp-derived THC.
The legislation, advanced today by the House Appropriations Subcommittee on Agriculture, includes a provision that would redefine hemp under federal law. The new language would ban products with any “quantifiable” level of THC or cannabinoids marketed to have intoxicating effects. This would apply to Delta-8 THC, THC-O, HHC, and even smokable hemp flower—products currently legal in many states and widely available online and in retail stores.
The provision targets what is often referred to as the “hemp loophole,” a consequence of the 2018 Farm Bill. That law federally legalized hemp by defining it as cannabis with no more than 0.3% delta-9 THC by dry weight. However, it left room for manufacturers to extract and concentrate other cannabinoids from legal hemp—such as delta-8 THC and THC-O—that can still produce a high similar to delta-9. These products quickly exploded in popularity and are now sold at headshops and gas stations across the country, resulting in a multi-billion dollar industry. The industry’s rapid growth and relatively minimal oversight has prompted concerns among many regulators and lawmakers.
Representative Andy Harris (R-MD), who chairs the subcommittee, said the provision would “close the hemp loophole that has resulted in the proliferation of unregulated intoxicating hemp products.” Harris claims the bill aligns with “the Trump administration and mandate of the American people.”
If passed into law, the change would put intoxicating hemp-derived products on the same legal footing as marijuana, which remains federally prohibited as a Schedule I substance. States could still decide to allow the sale of hemp THC products, but doing so would put them in direct conflict with federal law—similar to how state-legal marijuana markets operate today.
More than 20 states have already taken independent steps to ban or restrict products like delta-8 THC, often citing health and safety concerns. But they’ve done so under state law, without federal intervention. This new proposal would override those state decisions and criminalize such products nationwide.
The spending bill now heads to the full House Appropriations Committee. If it ultimately becomes law, the hemp industry could face its most dramatic setback since legalization—and tens of thousands of businesses and jobs would be put at risk.
