September 1, 2025

2025 Hemp Regulation Roundup: Intoxicating Hemp Crackdowns, State Caps, and What’s Next

2025 Hemp Regulation Roundup: Intoxicating Hemp Crackdowns, State Caps, and What’s Next

Overview

Hemp regulations are evolving rapidly in 2025 as federal and state policymakers move to address the gray market for intoxicating hemp (e.g., delta-8 THC, delta-10, THCP, and high-THCA flower marketed as “hemp”). This roundup highlights the most consequential developments affecting cannabis compliance, retail operations, manufacturing, and investment risk across the U.S., and clarifies what’s on deck for the next federal cycle.

This article is informational only and not legal advice. Always confirm requirements with the relevant regulator before acting.

Federal landscape: definition changes and enforcement pressure

Congress: FY2026 appropriations could narrow hemp’s definition

A new Congressional Research Service brief describes House and Senate proposals in the FY2026 agriculture appropriations process that would amend the 2018 Farm Bill’s hemp definition and clarify which products qualify under the Domestic Hemp Production Program. If enacted, these provisions could curtail products that derive intoxicating THC from hemp or exploit the THCA “loophole.” See CRS, “Hemp Restrictions in FY2026 Agriculture Appropriations.”

  • Reference: https://www.congress.gov/crs-product/IN12565
  • Practical impact if passed: federal pressure to remove intoxicating hemp from general commerce; greater alignment with state cannabis rules; product reformulation and relabeling timelines.

FDA: continued action against unlawful health claims and unapproved CBD uses

The U.S. Food and Drug Administration continues issuing warning letters to firms marketing CBD and other cannabinoids with unapproved disease-treatment claims or selling products that violate the Food, Drug, and Cosmetic Act. These actions don’t resolve hemp’s status as a dietary ingredient, but they reinforce a steady enforcement signal around claims, safety substantiation, and packaging/labeling accuracy.

  • Reference: FDA “Warning Letters for Cannabis-Derived Products” https://www.fda.gov/news-events/public-health-focus/warning-letters-cannabis-derived-products
  • Compliance takeaway: scrub websites, labels, and social content for disease or therapeutic claims; maintain COAs; and document GMP controls.

USDA/hemp production programs

States continue to align with USDA oversight for cultivation. For example, Ohio has announced that hemp growers will move under USDA licensing on January 1, 2026, with state cultivation licenses voided at that time.

  • Reference: Ohio State University Farm Office update: https://farmoffice.osu.edu/blog-tags/hemp
  • Action item: Ohio growers should plan for USDA registration for the 2026 planting season and monitor sampling/testing protocols.

State-by-state changes shaping 2025

State regulators are tightening age gates, serving-size caps, ingredient restrictions, and testing standards for hemp-derived consumables. Several have taken direct aim at synthetically produced intoxicants.

California: emergency rules for serving size, age gate, and packaging

In September 2024, the California Department of Public Health’s emergency regulations for industrial hemp products took effect, focusing on serving size, age restrictions (21+), and packaging/labeling designed to reduce youth appeal and clarify dosing. CDPH emphasized consumer safety and products’ THC content management in foods, beverages, and dietary supplements.

  • CDPH Emergency Regulations (DPH-24-005E): https://www.cdph.ca.gov/Programs/OLS/Pages/DPH-24-005E-Emergency-Regulations-for-Industrial-Hemp.aspx
  • Compliance notes:
  • 21+ retail standard for hemp consumables.
  • Clear serving sizes and total cannabinoid disclosures.
  • Prohibitions on products attractive to children and noncompliant claims.

New Mexico: emergency ban on synthetic cannabinoid manufacturing for hemp products

On August 1, 2025, the New Mexico Environment Department (NMED) issued an emergency amendment to 20.10.2 NMAC that bans the manufacture of synthesized cannabinoids in hemp finished products (e.g., man‑made delta‑8 THC) within the state. The rule targets safety concerns tied to unregulated conversion processes and contaminants.

  • NMED Emergency Rule landing page: https://www.env.nm.gov/cannabis-hemp/hemp-emergency-rule/
  • NMED press summary (Aug. 2025): https://www.env.nm.gov/wp-content/uploads/2025/08/2025-08-08-COMMS-NMED-issues-rule-banning-synthetic-hemp-manufacturing.pdf
  • Compliance notes:
  • Manufacturers in NM must cease synthetic cannabinoid production for hemp finished goods during the emergency rule period.
  • Expect inspections and product holds for suspected noncompliance.

Louisiana: THC-per-serving caps for consumable hemp

Louisiana’s Department of Health (LDH) clarifies that—except for floral hemp material—“no consumable hemp product may contain more than 8 milligrams of THC per serving.” LDH also maintains detailed COA and labeling requirements for hemp consumables (including THC-per-serving disclosures where applicable).

  • LDH COA Requirements: https://ldh.la.gov/page/coa-requirements
  • Compliance notes:
  • Verify serving-size calculations and total THC per serving before distribution.
  • Keep current COAs that match lot codes and make them accessible to regulators.

Minnesota: lower‑potency hemp edibles under OCM oversight; testing and retail rules tightening

Minnesota’s Office of Cannabis Management (OCM) oversees both adult-use cannabis and lower‑potency hemp edibles. OCM has published compliance testing expectations and continues to build the licensing framework that will ultimately integrate hemp-derived edible manufacturing and retail into a more uniform system alongside adult-use.

  • OCM “Cannabis Technical Authority” (testing and compliance resources): https://mn.gov/ocm/businesses/technical-authority.jsp
  • General OCM licensing process: https://mn.gov/ocm/businesses/licensing/process.jsp
  • Compliance notes:
  • Expect alignment on age 21+ sales, labeling clarity, and serving-size limits for hemp edibles.
  • Maintain state-compliant potency caps, child-resistant packaging, and ingredient restrictions.

Texas: proposed bans stalled—expect more enforcement of existing law

Texas lawmakers debated sweeping restrictions on hemp-derived THC in 2025, including efforts to prohibit or significantly curtail sales of intoxicating hemp. As of late August 2025, proposals stalled in the House; reporters note that hemp-derived THC remains legal under existing law, though state agencies signal stepped-up enforcement of current restrictions (e.g., manufacturing standards, age sales, and labeling).

  • Texas Tribune coverage (Aug. 29, 2025): https://www.texastribune.org/2025/08/29/texas-thc-hemp-marijuana-ban/
  • Compliance notes:
  • Retailers should prepare for increased inspections and verify robust COAs, age-gating, and accurate labels.
  • Watch for renewed legislative pushes in future sessions or special calls.

Cross-cutting rules: what businesses must get right now

Regardless of jurisdiction, the following themes dominate 2025 hemp compliance:

1) Age gates and retail controls

  • Many states have instituted 21+ limits for hemp products that contain any measurable THC or are likely to intoxicate (e.g., California’s emergency rules). Enforce ID checks at point-of-sale and in delivery workflows.
  • Online channels should incorporate identity and age verification tools, and restrict shipping to jurisdictions where products are lawful.

2) Serving-size and total-THC caps

  • States are defining permissible milligrams per serving and sometimes per package. Louisiana’s LDH, for example, caps consumable hemp at 8 mg THC per serving (excluding floral hemp).
  • Manufacturers must validate formulation math, batch potency, and in‑market labels; maintain tight change control when reformulating.

3) Testing, COAs, and label/advertising claims

  • Maintain state-required certificates of analysis that match the finished batch, with full panel testing as applicable.
  • Avoid disease and therapeutic claims to mitigate FDA risk. FDA continues to cite firms for unapproved drug claims and adulteration/misbranding related to CBD.
  • Ensure plain packaging requirements are met where applicable, including warnings, universal symbols (if required), and prohibitions on child‑appealing imagery.

4) Ingredient restrictions and synthesis bans

  • Jurisdictions like New Mexico are now prohibiting synthesized cannabinoids in hemp finished products manufactured in‑state. Other states restrict “synthetic” or chemically converted cannabinoids (including certain delta‑8 processes). Audit your supply chain for raw material provenance and processing disclosures.

5) Total THC and THCA “loophole” scrutiny

  • States and Congress are scrutinizing the marketing of THCA-rich flower as “hemp” where decarboxylation would push total THC above legal limits. The pending federal appropriations language (CRS brief) underscores the direction of travel. This could directly affect inventory eligibility, interstate shipment, and e‑commerce listings.

Key timelines and what to watch

  • September 2024 (California): CDPH emergency industrial hemp rules approved, addressing serving size, age 21+, and packaging/labeling. Ongoing enforcement through 2025.

  • Source: https://www.cdph.ca.gov/Programs/OLS/Pages/DPH-24-005E-Emergency-Regulations-for-Industrial-Hemp.aspx

  • August 2025 (New Mexico): NMED emergency rule in effect, banning manufacture of synthesized cannabinoids in hemp finished products. Watch for permanence or replacement rulemaking.

  • Source: https://www.env.nm.gov/cannabis-hemp/hemp-emergency-rule/

  • 2025 (Texas): THC ban proposals stalled as of late August 2025, but agencies signal more rigorous enforcement of existing standards. Businesses should monitor special sessions and agency guidance.

  • Source: https://www.texastribune.org/2025/08/29/texas-thc-hemp-marijuana-ban/

  • January 1, 2026 (Ohio): Hemp cultivation licensing transitions to USDA; existing state cultivation licenses void.

  • Source: https://farmoffice.osu.edu/blog-tags/hemp

  • FY2026 federal appropriations: Provisions under debate would narrow hemp’s definition to curb intoxicating products and clarify federal program scope. Track Congressional movement and final text before making structural changes.

  • Source: https://www.congress.gov/crs-product/IN12565

Practical compliance checklist for hemp businesses

Use this checklist to stress‑test operations against current 2025 expectations. Tailor to your state’s rules.

  • Licensing/Registration

  • Confirm state requirements for manufacturing, distribution, and retail of hemp consumables (and, in Minnesota, lower‑potency hemp edibles under OCM oversight).

  • For Ohio growers, calendar the USDA transition for 2026.

  • Formulation & Potency

  • Validate per‑serving and per‑package THC caps with current state rules (e.g., LA’s 8 mg THC/serving for consumables).

  • Confirm product categories allowed (food, beverage, dietary supplements) and any prohibited cannabinoid forms (e.g., synthetic conversions in NM).

  • Testing & COAs

  • Maintain batch COAs with full panel results where required; ensure COAs are easily retrievable and match lot numbers.

  • Vet labs for appropriate accreditation and method validation for total THC calculations.

  • Labeling & Packaging

  • Include accurate cannabinoid content per serving and per package, required warnings, and manufacturer info.

  • Avoid youth‑appealing designs; comply with child‑resistant packaging rules and universal symbols where required.

  • Retail Controls

  • Enforce 21+ age verification across brick‑and‑mortar and e‑commerce.

  • Implement inventory holds for questionable products pending COA or regulatory clarity.

  • Claims & Marketing

  • Remove disease/therapeutic claims; train staff on compliant language.

  • Monitor FDA warning letters to understand current hot‑button issues.

  • Supply Chain

  • Require disclosures from suppliers on cannabinoid origin and processing (particularly for delta‑8/delta‑10 products).

  • Contractually obligate compliance with current state bans or limits (e.g., NM synthetic manufacturing restrictions).

Risk outlook and strategic planning

  • Federal definition risk: If FY2026 appropriations narrow hemp’s definition to exclude intoxicating hemp products or THCA‑heavy items, expect significant SKU rationalization and reformulation. Build scenarios for ingredient substitutions and target state‑by‑state rollouts.

  • State synthesis bans and potency caps: Manufacturers should plan for a growing map of jurisdictions that disallow synthetically converted cannabinoids and impose strict per‑serving THC limits. Invest in analytical method development and internal QC to reduce failed lots and recalls.

  • Retail channel adaptation: The dispensary rollout of adult-use cannabis in new markets is putting hemp retailers in closer regulatory orbit with cannabis shops. Expect age‑gating parity, compliant merchandising, and possible retail licensing for hemp edibles in more states.

  • Claims liability: FDA and state AGs continue to scrutinize child‑appealing products and aggressive health claims. Update label review SOPs and maintain a claims substantiation file.

Action steps for businesses and investors

  • Map current SKUs against California, New Mexico, Louisiana, Minnesota, and Texas requirements; identify SKUs at high risk of noncompliance (synthetic delta‑8, products exceeding serving limits, youth‑appealing packaging).
  • Establish a regulatory watch function to monitor federal appropriations language and state rulemaking dockets.
  • Refresh cannabis compliance training for merchandising teams, customer support, and wholesale partners.
  • Conduct mock inspections: COA traceability, age‑gate tests, and recall drills.

Resources

  • California CDPH Emergency Regulations (Industrial Hemp): https://www.cdph.ca.gov/Programs/OLS/Pages/DPH-24-005E-Emergency-Regulations-for-Industrial-Hemp.aspx
  • New Mexico Environment Department emergency rule (hemp synthesized cannabinoids): https://www.env.nm.gov/cannabis-hemp/hemp-emergency-rule/
  • Louisiana LDH COA & labeling requirements for consumable hemp: https://ldh.la.gov/page/coa-requirements
  • Minnesota OCM testing/compliance resources: https://mn.gov/ocm/businesses/technical-authority.jsp
  • FDA Warning Letters for Cannabis-Derived Products: https://www.fda.gov/news-events/public-health-focus/warning-letters-cannabis-derived-products
  • CRS: Hemp Restrictions in FY2026 Agriculture Appropriations: https://www.congress.gov/crs-product/IN12565
  • Ohio USDA licensing transition (hemp): https://farmoffice.osu.edu/blog-tags/hemp
  • Texas legislative outlook (reporting): https://www.texastribune.org/2025/08/29/texas-thc-hemp-marijuana-ban/

Final word

State and federal shifts are converging on a clearer policy goal: keep intoxicating hemp away from minors, require robust testing and transparent labeling, and close loopholes that undermine adult‑use cannabis frameworks. Operators who invest early in potency controls, synthetic‑free supply chains, rigorous COA management, and age‑gated retail protocols will be best positioned no matter how Congress resolves hemp’s definition.

Need help pressure‑testing your product portfolio or standing up SOPs that meet multi‑state rules? Visit https://cannabisregulations.ai for expert tools, regulatory trackers, and compliance workflows tailored to hemp and cannabis businesses.