President Donald Trump signed the Continuing Appropriations and Extensions Act, 2027 on Sept. 2, extending the deadline as lawmakers face growing pressure to develop a regulatory framework for hemp-derived cannabinoids.
“The additional month gives companies a little more time to assess their products, supply chains and compliance strategies,” said Rend Al-Mondhiry, partner and co-chair of the regulatory group at Amin Wasserman Gurnani LLP. “While the delay is a positive development, it’s not a reason to put preparations on hold.”
Companies face compliance decisions
Al-Mondhiry noted that companies should keep preparing for implementation, including determining which cannabinoids are in their products, reviewing THC concentrations, and assessing formulations and marketing claims.
The 0.4 mg limit could prove particularly challenging for full-spectrum products, which contain naturally occurring THC alongside CBD and other hemp compounds.
Scott Mazza, founder of Vitality CBD and Certified Headies, said that the threshold would make it nearly impossible to continue producing his company’s current full-spectrum CBD products.
If the restrictions take effect unchanged, the company would likely have to reduce or remove THC from its formulations, but Mazza has not started making those changes.
“Our focus right now is on lobbying and speaking out to prevent it,” he said. “We’ve seen too many backflips over the years to start immediately changing our compliant business for something that still seems 50/50.”
The decision reflects the dilemma facing companies during the extension. Reformulating products and changing sourcing takes time and money but moving ahead before Congress settles the issue could leave companies preparing for rules that later change.
Ambiguity goes beyond THC limits
The low THC threshold is not the only provision raising concerns.
Al-Mondhiry pointed to language excluding certain cannabinoids “synthesized or manufactured outside” the cannabis plant, as well as cannabinoids that have or are marketed as having effects similar to THC.
The latter could create questions for cannabinoids not typically considered intoxicating.
“THC, for example, can produce a range of effects, including somnolence,” Al-Mondhiry said. “So does that mean a cannabinoid such as CBN, which is often marketed for sleep, could be implicated simply because it is marketed as having an effect that overlaps with one of THC’s effects?”
CBD, CBG and CBC would likely remain permitted under the current language, she said, but the wording could leave federal agencies considerable discretion in deciding which cannabinoids have similar effects to THC.
That also puts marketing claims in the spotlight. A company’s positioning of a cannabinoid could potentially factor into whether a product falls within the restrictions.
Industry calls for CBD distinction
For the hemp industry, the extension has shifted attention to whether Congress can develop a framework that targets intoxicating products without sweeping non-intoxicating CBD products into the same restrictions.
“More often than not, lawmakers lump CBD into the same category as delta-8 THC,” Mazza said. “These are two very different product segments with distinct consumers.”
He called for mandatory third-party testing, published certificates of analysis, accurate labeling, contaminant limits and age restrictions for intoxicating hemp products rather than broad product prohibitions.
Al-Mondhiry also said Congress should raise the THC limit, particularly for intermediate hemp products, and clarify which cannabinoids fall within the law.
“The current 0.4 milligram per container threshold is so low that it will effectively eliminate many products that are not intended to be intoxicating,” she said.
She added that lawmakers should clarify a legal pathway for CBD and other non-intoxicating hemp-derived cannabinoid products to be marketed as dietary supplements, subject to appropriate regulatory requirements.
Last December, the White House signaled support for preserving access to appropriate full-spectrum CBD products. Its policy on medical marijuana and cannabidiol research called for a framework that considers THC per serving, per-container limits and CBD-to-THC ratios while addressing products that pose health risks.
30 days to find a compromise
The U.S. Hemp Roundtable described the extension a “lifeline” but said the focus now needs to shift to regulation.
“The U.S. hemp industry is grateful to the President and large bipartisan majorities in Congress for the lifeline of a 30-day extension,” said Jonathan Miller, general counsel at the U.S. Hemp Roundtable.
“Now the important work comes: passing in December robust regulation that cracks down on illicit sales to minors, honors our commitments to farmers and ensures that safe hemp and CBD products are manufactured for adults, particularly seniors and veterans who rely on them for their health and wellness,” he said.
Al-Mondhiry noted that simply extending the deadline again would leave companies facing the same uncertainty. Instead, she called for a science-based framework that establishes reasonable THC limits and distinguishes intoxicating products from non-intoxicating hemp-derived products.
“I do think it’s a genuine attempt to come up with a solution, and we know the White House is pushing Congress for one,” she said. “The goal should be to use this time to get the language right while avoiding unintended consequences for non-intoxicating hemp products.”
