Marijuana’s New Chapter — What’s TRUMP Planning?

The reclassification of marijuana to Schedule III by President Trump’s administration could redefine its legal and economic landscape, but not without its controversies and questions.

Story Snapshot

President Trump signed an executive order to expedite marijuana’s move to Schedule III.
No verified reports confirm fentanyl as a Weapon of Mass Destruction.
Marijuana’s rescheduling could significantly impact the cannabis industry’s taxation and banking.
The move is seen as a step towards cannabis reform amid the opioid crisis.

Marijuana’s Reclassification Journey

President Trump’s executive order on December 18, 2025, marks a pivotal moment in cannabis regulation. The move to reclassify marijuana from Schedule I to Schedule III under the Controlled Substances Act (CSA) follows a series of evaluations and recommendations. The process began with President Biden’s directive in October 2022, which tasked the Department of Health and Human Services (HHS) and the Drug Enforcement Administration (DEA) to review marijuana’s status, leading to HHS’s 2023 recommendation based on its medical potential.

The DEA’s proposed rule in May 2024 faced delays due to hearings and appeals. However, Trump’s recent executive order aims to cut through bureaucratic red tape, commanding the Attorney General to expedite the rescheduling process. This decision, while largely supported by the cannabis industry, raises questions about federal control and the broader implications for drug policy.

The Fentanyl WMD Myth

Despite various discussions in the public sphere, there are no credible sources confirming that fentanyl has been declared a Weapon of Mass Destruction (WMD). The confusion seems to stem from conflated discussions about opioid policy and marijuana reform. Fentanyl remains a Schedule II drug, and its classification as a WMD would require specific legislative or executive action, none of which has materialized according to current federal protocols.

The misconception about fentanyl’s status highlights the challenges in communicating drug policy changes and the importance of distinguishing between different substances and their legal implications. The focus remains on addressing the opioid crisis through existing regulatory frameworks rather than redefining substances as WMDs.

Impact on the Cannabis Industry

The reclassification of marijuana to Schedule III has profound implications for the cannabis industry. Primarily, it could alleviate the burdens of the Internal Revenue Code §280E, which prevents businesses from deducting expenses associated with Schedule I substances. This change could significantly boost profitability, with estimates suggesting a potential increase of 30-70% for cannabis businesses.

Moreover, rescheduling may unlock banking services that have been largely inaccessible due to federal restrictions. By reclassifying marijuana, the industry could see an influx of financial services, fostering growth and stability in state-legal markets. However, the industry’s optimism is tempered by ongoing federal illegality and the potential for regulatory confusion as the new classification is implemented.

Future Considerations and Reactions

While the executive order is a step towards cannabis reform, it does not equate to full legalization. Marijuana remains a controlled substance, and its new status as Schedule III will still subject it to certain federal regulations. This move is expected to ease research restrictions and reduce penalties associated with its use but maintains a level of federal oversight that some advocates find limiting.

Stakeholders within the cannabis industry and policy experts express mixed reactions. Some view the executive order as a transformative step that aligns with economic and social trends towards legalization. Others caution that the interplay between state and federal laws will continue to pose challenges, and the benefits of rescheduling may not be as immediate or widespread as hoped.