DEA maintains cannabis reclassification pending despite Trump's executive order
Agency presents new report with no defined timeline, while experts warn that moving to Schedule III would have profound impacts on research and taxation, but not federal legalization
Published on 01/07/2026

Although the presidential directive instructed the conclusion of the review "as quickly as possible", the agency has not yet established a timeline. Image: Canva Pro
The Drug Enforcement Administration (DEA) reported on Monday that the appeal process regarding cannabis reclassification "remains pending". The statement contradicts the expectation of promptness generated by President Donald Trump's recent executive order.
Although the presidential directive instructed the conclusion of the review "as quickly as possible", the agency has not yet established a timeline, as reported by Marijuana Moment.
In a report jointly issued with reform advocates, the DEA reiterated that the interlocutory appeal remains undefined. The document mentions allegations of bias and improper communications during the review process.
"To date, the applicants' interlocutory appeal to the Administrator regarding their Motion for Reconsideration remains pending", stated the agency.
The official text also adds that "no schedule for the filing of briefs has been set". This is the fourth status report with virtually identical language presented by the involved parties.
The stagnation in cannabis reclassification comes almost a year after the appeal was accepted by a former administrative law judge.
This stance signals a new delay and contrasts with previous statements from agency leadership. DEA Administrator Terrance Cole had stated in a Senate hearing that reviewing the proposal would be "one of my top priorities".
Cannabis reclassification and political pressure
DEA's delay comes weeks after Trump signed the executive order urging Attorney General Pam Bondi to finalize the transfer of the plant to Schedule III of the Controlled Substances Act (CSA). While the administration seeks to expedite cannabis reclassification, political opposition is mobilizing.
One of the main prohibitionist groups hired Bill Barr, former Attorney General, to lead a lawsuit aiming to reverse the measure. Additionally, the Congressional Research Service (CRS) recently noted that the Department of Justice could, in theory, refuse the implementation.
The agency also warned of the possibility of restarting the entire review process.
Experts' analysis on the change
The potential move to Schedule III would not mean federal legalization, but would drastically alter the regulatory landscape. According to an article by Prof. Priscila Gava Mazzola and Dr. Marcelo Polacow Bisson, from UNICAMP, the measure "represents the most significant change in US drug policy in over fifty years".
However, the academics emphasize the need for caution regarding public expectations about cannabis reclassification. "It is crucial to understand that reclassification does not legalize cannabis at the federal level. Cannabis will remain a controlled substance", explain the professors.
They detail that the fundamental distinction lies in recognizing the plant as a pharmaceutical product. In this scenario, it could be approved by the FDA and prescribed, differing from current state-based models relying solely on medical recommendations.
Economic impacts of cannabis reclassification
From an economic standpoint, the change would bring immediate tax relief to the sector in the United States. Mazzola and Bisson point out that the elimination of the restriction in the Internal Revenue Code (Section 280E) "could significantly increase profitability" for companies by allowing expense deductions.
However, the experts warn of market concentration risks after cannabis reclassification. Large pharmaceutical industries could marginalize small producers due to the high approval costs required by the FDA.
"The reclassification of cannabis from Schedule I to Schedule III is a monumental step that formally recognizes the plant's medicinal potential and opens pathways for scientific research", conclude the experts. They note, however, that the change "is not a panacea" and requires robust regulation to mitigate public health challenges.
With information from Marijuana Moment