Justice Department order changes regulatory status for state-licensed cannabis while maintaining federal prohibition on broader use.
By yourNEWS Media Newsroom
The Trump administration has formally reclassified state-licensed medical marijuana under federal law, shifting it from the most restrictive category of controlled substances to a less tightly regulated classification, according to an order signed by Todd Blanche.
The directive moves medical marijuana from Schedule I—reserved for substances defined as having no accepted medical use and a high potential for abuse—to Schedule III, which includes drugs considered to have moderate to low risk of dependence. The change does not legalize marijuana at the federal level for either medical or recreational purposes but alters how approved medical use is regulated.
Officials said the decision fulfills a directive from Donald Trump, who instructed his administration in December to expedite the reclassification process. Blanche stated the move is intended to expand treatment options and improve scientific understanding of cannabis. “This rescheduling action allows for research on the safety and efficacy of this substance, ultimately providing patients with better care and doctors with more reliable information,” he said.
The policy change applies specifically to marijuana distributed through state-licensed medical programs. Cannabis outside those systems will remain classified under Schedule I. The new classification aligns medical marijuana more closely with substances that have recognized therapeutic uses and are subject to regulated medical oversight.
The order establishes an expedited registration pathway with the U.S. Drug Enforcement Administration for state-approved producers and distributors. It also removes certain research barriers by clarifying that scientists may obtain cannabis products from licensed sources without facing federal penalties.
In addition, the reclassification allows qualifying businesses to deduct standard operating expenses on federal taxes for the first time, a change expected to have financial implications for companies participating in state medical cannabis programs.
Federal officials noted that marijuana-derived medications approved by the U.S. Food and Drug Administration are already classified under Schedule III, and the new designation reflects similar regulatory treatment.
The shift marks a significant departure from longstanding federal policy, which has maintained strict prohibition since the Marijuana Tax Act of 1937, even as states expanded access. Currently, dozens of states have authorized medical marijuana systems, with many also permitting broader use under state law.
Blanche wrote that most states now operate comprehensive regulatory frameworks governing the cultivation, processing, and distribution of medical cannabis, emphasizing their role in addressing public health and safety concerns while limiting diversion into illegal markets.
The administration indicated that additional review processes will begin in June to consider broader classification questions related to marijuana. The current order was issued using federal authority that allows the attorney general to determine drug scheduling in accordance with international treaty obligations.
The move follows earlier efforts under the previous administration of Joe Biden, during which federal agencies initiated a review of marijuana’s classification and received tens of thousands of public comments.
Questions remain about how the policy will affect states where medical and recreational cannabis sales overlap, particularly in jurisdictions where licensed retailers serve both markets.
The reclassification comes amid ongoing debates over drug policy in the United States. While some policymakers have supported easing restrictions on marijuana, others have raised concerns about potency, public health, and the need for additional research. At the same time, the administration has emphasized enforcement actions targeting other substances, including fentanyl, as part of broader drug control efforts.
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