California Governor Gavin Newsom has signed Assembly Bill 8, a measure that brings intoxicating hemp products under the state’s cannabis regulatory framework.
The law, authored by Assemblymember Cecilia Aguiar-Curry (D), closes “loopholes” that have allowed hemp manufacturers to sell intoxicating products, including those containing THC, outside of licensed dispensaries.
State regulators say the move is necessary to protect consumers and to ensure a level playing field for the legal cannabis industry. The Department of Alcoholic Beverage Control reported a 99.8% compliance rate this year after visiting nearly 15,000 businesses and removing over 7,000 illegal hemp products from store shelves.
The legislation establishes clear rules for how hemp can enter the licensed cannabis market, while banning synthetic cannabinoids and inhalable hemp products. It also restricts non-intoxicating hemp’s use in consumer goods outside the cannabis market and strengthens enforcement tools to curb unlawful sales.
Supporters of the bill argue that it prevents intoxicating hemp from being marketed to children while protecting the state’s regulated marijuana industry from unfair competition. “AB 8 is a result of years of collaboration with this Administration,” said Aguiar-Curry. “With this bill, we’ll have responsible regulation, increase enforcement, and support struggling legal cannabis businesses against criminal competition.”
Nicole Elliott, director of the Department of Cannabis Control, called the law “a critical step forward for California’s cannabis industry and for consumer safety,” saying it ensures all intoxicating products are subject to the same standards Californians expect.
The new framework builds on emergency regulations enacted last year, integrating hemp-derived intoxicants into the same system that governs marijuana. Officials say this ensures labeling, testing, and safeguards remain consistent across all intoxicating cannabinoid products.
