White House Clarifies No Final Decision on Marijuana Rescheduling Amid Trump Administration Speculation
By Theodore Bunker | Friday, 12 December 2025 01:00 PM EST
The White House said Friday “no final decisions have been made on the rescheduling of marijuana,” tempering reports that President Donald Trump is preparing an executive order to ease federal restrictions on cannabis that have long frustrated industry advocates and lawmakers.
“No final decisions have been made on the rescheduling of marijuana,” a White House official stated in a statement late Friday, after several news outlets reported the administration was close to directing federal agencies to reclassify the drug to a less restrictive category.
Reports this week suggested Trump is considering an executive order that would instruct the Justice Department and the Drug Enforcement Administration to reclassify marijuana from Schedule I, which is the strictest classification under the federal Controlled Substances Act, to Schedule III—a move that would acknowledge medical use and reduce regulatory burdens without fully legalizing the drug.
Under current law, marijuana sits in the same category as heroin and LSD, defined as having “no currently accepted medical use and a high potential for abuse.” A shift to Schedule III would group it with drugs that have lower abuse potential and recognized medical applications, such as certain prescription medications.
Such a change could have wide-ranging effects on research, banking access and taxation. Cannabis companies now face significant restrictions under federal tax code Section 280E, which limits business deductions because marijuana remains a Schedule I substance. Rescheduling could alter that landscape and remove one of the industry’s most persistent financial obstacles. Analysts say the move would not amount to full legalization but could ease some federal barriers to doing business.
The flurry of speculation followed reports that Trump has held internal discussions with lawmakers and industry representatives about the potential policy shift, fueling expectations that an announcement could come soon. Trump has previously signaled openness to relaxing federal marijuana policy. In August, he told reporters that he was “looking at reclassification,” acknowledging the issue’s complexity and noting divergent views on its benefits and risks.
That comment came after months of debate within his administration and ongoing deliberations over the DEA’s stalled review of a rescheduling petition initiated under the Biden administration. However, the White House’s Friday statement underscores that a formal decision has not been made. Support for federal marijuana reform has grown across both parties, reflecting decades-long public shifts toward legalization and expanded medical access.
Yet rescheduling remains contentious, with some conservatives and law enforcement officials cautioning that any loosening of federal restrictions could send mixed signals about drug use and complicate enforcement. For now, investors, industry stakeholders and policymakers will watch closely for any movement from the White House or federal agencies, even as the formal process appears to remain in flux.
