Federal legislation enacted in 2025 has established new restrictions on intoxicating hemp-derived products, narrowing the federal definition of hemp to include total THC content and excluding certain cannabinoid products. These changes follow several years of state-level efforts to regulate a market for psychoactive gummies, drinks, and vaping products that emerged after the 2018 farm bill legalized agricultural hemp. The new federal regulations are scheduled to take effect on Nov. 12, 2026.
The 2018 farm bill legalized hemp to support American agriculture, but businesses utilized the statutory definition to manufacture products containing intoxicating cannabinoids. These products, often sold in convenience stores and smoke shops, sometimes use packaging that resembles candy or beverages. Because they are classified as hemp, many of these products have been sold without the age or safety requirements found in medical or recreational marijuana programs.
States have taken different approaches to managing this market. In Arkansas, Gov. Sarah Huckabee Sanders (R) signed legislation to restrict intoxicating hemp-derived products. Although businesses filed a lawsuit to stop the law, the U.S. Court of Appeals for the Eighth Circuit upheld the state's authority to impose restrictions in the 2025 case Bio Gen LLC v. Sanders. In Texas, Gov. Greg Abbott (R) vetoed Senate Bill 3, which would have prohibited intoxicating consumable hemp while keeping non-intoxicating products like CBD legal.
Individual consumers will notice changes in the availability and composition of hemp-derived products starting in late 2026. The new federal rules will require manufacturers to account for total THC content, which may result in the removal of certain psychoactive gummies and vaping products from convenience store shelves. These changes seek to address the "loophole" that allowed intoxicating substances to be sold under the legal label of agricultural hemp, potentially shifting how these items are tested and sold online.
The federal correction establishes a precedent that the 2018 legalization of industrial hemp does not automatically grant a right to sell psychoactive consumer products. While the 2025 federal law provides a national baseline, states like Arkansas have already demonstrated that they can implement even stricter local protections. The next major milestone for the industry is Nov. 12, 2026, when the federal changes take effect, though federal agencies will require additional time to establish enforcement and testing protocols.