Freedom & Commerce at Risk: What the New Federal THC Ban Means for the Hemp I
Feb 13th 2025
Freedom & Commerce at Risk: What the New Federal THC Ban Means for the Hemp Industry (and What You Can Do)
Introduction
The recent spending bill passed by Congress to reopen the federal government contains a little-noticed but pivotal provision that threatens to upend the hemp-derived THC and cannabinoid products market. As a business, brand, or stakeholder in the hemp-cannabinoid sector — your voice matters now.
We explain what the new rule is, when it hits, and how it could affect the ecosystem of farmers, manufacturers, retailers, and consumers — including those who rely on these products. Then: how you can act now to help reverse or reshape this policy.
What the provision says
- Within the bill (a version of the continuing appropriations/resolution), Congress inserted language that redefines legal hemp products and drastically tightens THC limits.
- Key elements:
- The 0.3% delta-9 THC limit for hemp plants remains unchanged — but a new 0.4 mg total THC per finished product container limit is added.
- “Synthesized” or “non-naturally occurring” cannabinoids (even if hemp-derived) would be prohibited.
- State-regulated hemp frameworks may be superseded by the new federal standard.
- Effective Date: The provision takes effect January 1, 2026, giving the industry extremely limited time to adapt.
Why this matters for your business & the industry
- The U.S. hemp industry supports hundreds of thousands of jobs and contributes billions to the national economy.
- The new 0.4 mg limit would make nearly all hemp-derived cannabinoids illegal — Delta-8, Delta-10, HHC, THCP, infused herbal blends, pre-rolls, edibles, vapes, everything.
- This would devastate small businesses, farmers, processors, and retailers across the country.
- Consumers would be driven back to unregulated black-market products, harming safety and economic stability.
What businesses should do now
- Evaluate your current product lines to determine which will be affected.
- Prepare your supply chain for potential changes or disruptions.
- Inform your customers and partners about the ban and how it may impact availability.
- Contact your elected officials to request repeal or modification of the provision.
- Work with state agencies and industry coalitions to coordinate advocacy efforts.
How to Take Action: Contact Your Congress Members
Your elected officials need to hear from you now, before it’s too late.
Use these tools to find your representatives:
? Find your U.S. Representative:
https://www.house.gov/representatives/find-your-representative
? Find your U.S. Senator(s):
https://www.congress.gov/members/find-your-member
Once located, send them the formal letter linked below.
Download the Pre-Written Letter to Congress
? https://moongrass.net/wp-content/uploads/2025/11/Letter-to-congress.pdf
You may email it, print it, or attach it when using their contact forms. Personalizing it with your business and local impact is even more effective.
Sign the National Petition Against the THC Ban
A nationwide petition has been launched to show unified opposition to the ban.
Add your voice here:
Every signature increases pressure on Congress to reverse or amend the provision before the 2026 deadline.
Why your voice matters
Congress can still:
- Amend the language
- Delay the ban
- Modify the THC threshold
- Or repeal the provision entirely
These outcomes only happen when industry members, workers, and consumers speak up.
Final Take
This federal provision represents one of the most significant threats the hemp-derived THC industry has ever faced. It would eliminate the vast majority of products, push consumers into illegal markets, and destroy businesses nationwide.
At Moon Grass LLC, we believe in responsible regulation, consumer safety, and economic freedom — not prohibition.
The ban takes effect November 13, 2026.
Our window to act is now.
Share this post, sign the petition, contact Congress, and encourage others to do the same.