Features

US moves ahead with cannabis rescheduling

Published on May 8, 2026 by Pat Bulmer

Photo: Adobe Stock/the oz.

Reaction was muted and a little slow in coming to news the Trump administration had moved ahead with cannabis rescheduling.

Cannabis is moving from the worst-drug-in-the-world-like-heroin category (Schedule 1) to the less severe Schedule 3 classification.

It won’t legalize recreational cannabis in the United States, but will make access to medical cannabis and research easier.

A Justice Department order immediately moved FDA- and state-approved medical products containing marijuana to Schedule 3 while a hearing on June 29 will consider a broader rescheduling.

“Together, these actions provide immediate and long-term clarity to researchers, patients, and providers alike while still maintaining strict federal controls against illicit drug trafficking,” a department press release stated.

Of course, cannabis companies were pleased with the news, but they did much of their celebrating in December when the Trump administration issued a directive to make these changes happen.

Canadian companies cheer on cannabis rescheduling

Delta, BC’s Village Farms cheered the latest news by playing up its American side. In a news release from the American HQ in Florida, Village Farms noted its CEO Michael A DeGiglio is a retired US Navy captain.

The rescheduling is “the most significant shift in US federal cannabis policy in generations,” Village Farms said. “For millions of Americans managing chronic pain and other serious illnesses, as well as seniors and military veterans who have long sought access to safe, affordable cannabinoid-based therapies, today’s actions represent a critical turning point.

“Rescheduling … removes decades-old barriers to clinical research, and begins building a federal framework that reflects both the science and the reality of how Americans are already using cannabis to improve their lives.

“Drawing on its position as one of the world’s largest and most experienced cultivators and distributors of cannabinoid products, Village Farms is uniquely positioned to leverage its US assets to meet patient demand for quality and affordable cannabis products.”

MediPharm has shipped south

Barrie, Ont.’s MediPharm Labs says it is familiar with the American and other highly regulated medical cannabis markets.

“MediPharm Labs is not approaching the US market for the first time, said Interim CEO Greg Hunter. “Since 2023, we have shipped pharmaceutical-grade cannabis product into the United States multiple times under Schedule I conditions. We also supply medical cannabis into some of the most demanding regulatory environments in the world.”

The rescheduling is expected to expand cannabis trials, something’s MediPharm has experience with as well.

“MediPharm Labs has already supplied product for over 10 active clinical trials, including a US National Institutes of Health funded study, and has completed multiple API (active pharmaceutical ingredient) and clinical trial material shipments to the United States,” the company said. “With Schedule III now in effect, the regulatory pathway MediPharm Labs has already successfully navigated may become less restrictive for future US shipments.”

Tilray has a USA arm

In December, Canadian-American giant Tilray launched Tilray Medical USA.

“At Tilray, we have built a global platform for precisely this moment,” the company responded to the latest news. “We are among the world’s largest cannabis growers with more than seven million square feet of cultivation capacity and a recognized global leader across pharmaceutical-grade, cannabis production, clinical research, product innovation, and patient care.

“Through Tilray Medical, we have served hundreds of thousands of patients across more than 20 countries in some of the world’s most stringently regulated markets.”

The company is looking at participating in a Center for Medicare and Medicaid Innovation pilot program.

High Tide, Herbal Dispatch, Trulieve in the mix

The rescheduling puts High Tide a step closer to entering the US market. The owner of Canna Cabana stores said on X: “High Tide welcomes this long-awaited step, expected to unlock meaningful tax relief, expand research, and improve access to capital across the industry. It also moves us closer to being able to enter the US cannabis market, which we intend to do as soon as permitted.”

E-tailer Herbal Dispatch “is evaluating multiple pathways to enter the US market” the company said. Options could include partnerships and joint ventures.

Trulieve, one of many American cannabis companies registered in Canada, said: “Rescheduling medical marijuana to Schedule III opens the door for more robust research, provides a pathway for registration, and removes the punitive tax burden imposed by Section 280E of the tax code.”

Section 280E “prohibits businesses from deducting otherwise established business expenses from gross income associated with the ‘trafficking’ of Schedule I or II substances,” explains the Marijuana Policy Project.