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03 August 2026

Daily Newsletter

03 August 2026

New US Senate funding bill includes month delay to hemp rules

If passed, it would push back the pending restrictions planned on hemp products until 11 December, from the current 12 November deadline.

Satarupa Bhowmik August 03 2026

US Senators have included a bid to delay the introduction of rules on sales of hemp THC drinks in a new spending bill.

A measure unveiled on Sunday by leaders of the Senate Appropriations Committee would keep federal agencies funded through to 11 December, beyond the 30 September close of the current fiscal year.

If passed, it would push back the pending restrictions planned on hemp products until 11 December, from the current 12 November deadline.

The proposal, however, preserves an exception that would trigger the recriminalisation of synthetic cannabinoids.

The US Hemp Roundtable has called the move “welcome news”. 

“This action provides Congress with additional time to develop a thoughtful, long-term approach to hemp policy rather than allowing a sweeping ban to take effect without fully considering its impact on American agriculture, small businesses and consumers,” the hemp and CBD trade group said.

The restrictions stem from a funding bill passed last year by the US Congress that tightened the legal definition of hemp.

Under the plans, sales would be barred for “hemp-derived cannabinoid products” containing more than 0.3% THC, as well as any “final” hemp-based cannabinoid products with more than 0.4mg of THC per container.

The measure would also ban “any other cannabinoids that have similar effects (or are marketed to have similar effects)”.

The US Hemp Roundtable warned the clause in the spending bill could remove more than 95% of hemp-extracted products from the market.

In January, Indiana Congressman Jim Baird tabled a bill seeking to postpone implementation of the spending bill provision until 2028.

He said at the time: “Congress created a regulatory environment in the 2018 Farm Bill that allowed for certain investments, and farmers were operating within this environment. The hemp provision included in the Continuing Resolution and Appropriations bills passed in November 2025 disrupted planting decisions that had already been made.”

Federal law under the 2018 Farm Bill legalised hemp for industrial use, so long as it contained less than 0.3% THC on a dry-weight basis.

Since that law took effect, there has been no cap on the total amount of THC that hemp-derived products could carry, despite THC being the psychoactive compound in those goods.

In June, the Office of Management and Budget (OMB), acting on behalf of President Trump in an $87.6bn funding request, called for a revision to “the federal regulation of hemp to ensure the fair treatment of hemp products”.

Its proposed amendment, called the Lawful Hemp Protection Act, would establish a regulatory structure for hemp products while allowing them to remain on sale.

The OMB letter also said that, alternatively, “at minimum” the federal ban should be delayed.

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