The hemp industry has never experienced a greater existential crisis than it faces right now.

A proposal moving through Congress would substantially change the federal definition of hemp and place strict potency limits on finished goods. The result would be a near total federal ban on most commercial hemp products. This article explains what the proposal would do, when it would take effect, where things currently stand, and what industry members and stakeholders should do now.

By way of a quick background, the US federal government has been shut down for over 40 days due to an impasse and failure to pass a bill, called a Continuing Resolution (“CR”), to fund the government. The House of Representatives passed a CR that it sent to the Senate. The Senate passed its own CR late on Monday, November 10, 2025. That CR has been sent to the House for consideration, and it is likely that the House will vote on it within the next day or two. The CR passed by the Senate includes sweeping changes to the Farm Bill as it relates to hemp.

What the Senate Bill Would Change if Enacted

If enacted, the Senate bill would amend Section 297A of the Agricultural Marketing Act of 1946 (ie, the Farm Bill) in dramatic ways. As most everyone reading this blog knows, the current definition of “hemp” distinguishes between lawful hemp and illegal marijuana by reference to delta-9 THC, which cannot exceed 0.3% as measured on a dry weight basis. The Senate bill keeps the reference to Cannabis sativa L and still includes all parts of the plant and its seeds as well as derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers as lawful “hemp”. The key change is that hemp would be measured by Total THC rather than by delta-9 THC alone.

Under the proposal Total THC would expressly include tetrahydrocannabinolic-acid (THCa) and any other cannabinoids that have similar effects as THC, such as delta 8-THC. That change moves the yardstick from a single analyte (ie, delta-9 THC) to a broader potency concept that includes a number of compounds. By counting acidic precursors and any cannabinoid with similar effects the bill, if enacted, would make illegal large swaths of plant material and consumer products that have been lawful since 2018, including THCa flower and products containing delta-8 THC.

The Senate bill would also impose a strict potency cap on finished goods, something that the current Farm Bill does not limit. A final hemp derived cannabinoid product would not be able to contain more than 0.4 milligrams of Total THC per container. The definition of “container” would mean the innermost wrapping, packaging, or vessel in direct contact with the final product that is intended for retail sale. Bulk packaging would not count as a container. This would even criminalize “broad spectrum” CBD products. 

Another major change is a categorical ban “synthetic or manufactured” cannabinoids, including safe and commonly used cannabinoids such as delta-8 THC that are manufactured from CBD using simple and safe isomerization processes. 

Notably, the proposal would undermine the “work in progress” concept that is necessary for manufacturing hemp products. The Senate CR language excludes from the hemp definition any final product or intermediate hemp material that contains a cannabinoid created outside the plant or that exceeds the Total THC limit. Any such item would be treated as Schedule 1 marijuana. That would apply both to work in process material moving through the supply chain and to finished consumer goods. While not as headline-grabbing as the 0.4 milligram Total THC cap, this proposal kills the supply chain since work in progress hemp material is a critical and necessary part of the process of processing and manufacturing a hemp finished product.

When the Changes Would Take Effect

If the House adopts the Senate bill, the new hemp definition and the potency and manufacturing rules would not apply immediately. Rather, they would take effect one year (365 days) after enactment. The stated purpose of this delay is to provide a one-year transition period. During that time the Food and Drug Administration (FDA) would be directed to publish guidance within 90 days identifying all relevant cannabinoids and clarifying the meaning of container for enforcement and labeling. That guidance would influence testing protocols, label disclosures, and packaging practices during and after the transition period.

Where the Bill Currently Stands Procedurally

The hemp language is contained in a legislative package that combines a short term CR with a full year agriculture appropriations bill for fiscal year 2026. If the restrictive language survives and the House accepts the package then the bill would be signed into law upon passage and the new hemp rules would start their 365 day countdown. The White House has indicated that it supports the anti-hemp language and the President has publicly stated that he would sign the bill into law if passed by both the Senate and the House.

If the Senate removes the language or if only a “clean” CR (ie, one that does not contain the anti-hemp language) moves forward then the debate will continue almost immediately when the resolution expires in January, 2026. The reauthorization of the 2018 Farm Bill will present another critical chance to address or block any attempt to rewrite the federal definition of hemp.

Why This Matters

The proposed definition would replace a clear and workable federal standard that the industry has relied on and in which state lawmakers, regulators, and law enforcement have invested resources into with an expansive potency formula and a per container ceiling that most existing hemp products cannot meet. The language would also criminalize a wide range of intermediate materials and manufacturing methods that are common and usually necessary in modern hemp processing. Taken together these changes would disrupt lawful commerce, undermine investment, and move demand toward illicit channels that do not test, label, or age gate.

States are best positioned to regulate retail access, packaging, labeling, testing, and enforcement priorities. The Senate proposal would displace that state level work by converting large parts of the current market into federal contraband. That is the wrong answer for consumers, for farmers, and for public safety.

What You Should Do Right Now

Industry members, retailers, and consumers should take action today. Contact your Member of the House of Representatives right away and urge them to vote against any bill that redefines hemp or that prohibits existing hemp products. Explain how the proposed Total THC framework and the 0.4 Total THC milligram per container limit would eliminate your products, close your stores, or idle your farms. Share data on payroll, tax payments, and community impact. Make sure your Representative understands that this is not a theoretical policy debate. It is a real world decision that will determine whether a lawful industry can continue to operate and whether you and your employees will have a job this time next year.

Additionally, now is the time to contribute financially to the cause. If you have questions about which organizations are working to preserve hemp, we can make some recommendations. Failure to contribute financially right now will increase the chance that we will not have a hemp industry next year.  

For readers who want to discuss the implications for their businesses, we are closely monitoring the legislation and stand ready to advise. Click here if you would like to schedule a call to discuss compliance planning, state engagement, and communications with your congressional delegation. Note that things are in flux and moving quickly.

The hemp industry has weathered uncertainty before. Clarity and stability are still achievable. However, in order to prevent these catastrophic changes from being enacted into law, readers must send a focused message to Congress right now. Let your House representatives know to keep the definition of hemp as it is. Do not impose a per container potency cap. Do not criminalize ordinary manufacturing inputs and processes. Preserve a lawful market that protects consumers and supports farms and small businesses across the country.

November 11, 2025

Rod Kight is an international cannabis lawyer. He represents businesses throughout the cannabis industry. Additionally, Rod speaks at cannabis conferences, drafts and presents legislation to foreign governments, is regularly quoted on cannabis matters in the media, and is the editor of the Kight on Cannabis legal blog, which discusses legal issues affecting the cannabis industry. You can schedule a call with him by clicking here.