Trump effect on cannabis: how regulatory changes in the US could transform Uruguay into an export hub for Brazil
Regulatory changes under the Trump administration transform Uruguay into a cannabis hub for Brazil. Exports triple in 2026 via RDC 660. Read more.
While the US hemp industry prepares for the biggest regulatory shock in its history under President Donald Trump’s administration — with the federal redefinition taking effect on November 13, 2026 —, a quiet yet concrete movement is already reshaping the medical cannabis map in South America. In Uruguay, the sector is not only seeing an increase in inquiries: companies report tripling sales, new contracts being signed, and expansion of production capacity to meet Brazilian demand via RDC 660.
The American trigger in the Trump era
Section 781 of the Agriculture Appropriations Act FY2026, signed into law by President Donald Trump in November 2025, radically alters the federal definition of hemp in the United States. Instead of the 0.3% Delta-9-THC limit on a dry weight basis established by the 2018 Farm Bill, the new rule imposes a cap of 0.4 mg of total THC per sealed package — including THCA, Delta-8-THC, and other isomers. [sedgwick](https://www.sedgwick.com/pt/blog/u-s-hemp-industry-faces-product-ban/)
The impact is brutal: an estimated 95% of current hemp products will become illegal under US federal law, affecting a $28.4 billion market. The measure takes effect after a 12-month transition period on November 13, 2026. [foodbizbrasil](https://foodbizbrasihttps://sechat.com.br/noticia/brasil-e-uruguai-debatem-regulamentacao-da-cannabis-medicinal-em-jornada-de-intercambio-institucionall.com/internacional/regulacao-thc-eua-impactos-bebidas-foodservice/)
In practice, the new rule eliminates the full-spectrum extracts category — which contain small natural amounts of THC — and keeps only isolates (pure CBD) and broad-spectrum (THC-free) products on the market. Products such as Delta-8-THC gummies and vapes, hemp-based edibles, THCA-rich flowers, and semi-synthetic cannabinoids like HHC are among the most affected.
"The Farm Bill, signed into law by Donald Trump during his first term to legalize hemp, is subject to an amendment proposal by the US Congress to close loopholes that allowed psychoactive derivatives of the plant. Trump recently posted a video on his social media network discussing the benefits of medical cannabis"
The Uruguayan movement
"The effects of the new regulatory scenario in the United States are already clearly noticeable in Uruguay. We are not just talking about an increase in inquiries. In the first half of 2026, we have already tripled the sales made during the entire year of 2025 to the Brazilian market. Now we are negotiating new contracts for the second half and expansions of the agreements finalized in the first six months of the year. Participation in the Cannabis Fair also had a highly positive impact, opening doors and generating contacts that are now turning into concrete opportunities," says Claudio Valenti, commercial director at Levendis/Extractos del Sur, one of the companies in the sector in Uruguay.
Valenti's account reflects a broader movement. Uruguay, which established itself as the first country in the world to legally regulate the entire cannabis chain — for recreational, medical, and industrial use — in 2013, now positions itself as a regional alternative to supply the Brazilian market.
According to data from Uruguay XXI, in the past year Brazil imported 2.1 metric tons of cannabis products from Uruguay for over $359,000 — concentrating virtually all Uruguayan exports in the sector. Exports occur through two mechanisms regulated by ANVISA: the sale of medical cannabis products in pharmacies (RDC 1015/2026) and the compassionate use framework for direct sales to patients (RDC 660/2022).
The Uruguayan differential: control from cultivation to export
Unlike other markets, Uruguay does not start controlling at the point of export. The system monitors the entire production chain — from company licensing to the analytical certificate of each batch.
IRCCA (Instituto de Regulación y Control del Cannabis) is the public agency responsible for regulating and overseeing cannabis-related activities, in coordination with the Ministry of Public Health and the Ministry of Livestock, Agriculture, and Fisheries.
To export, companies must:
- Hold a valid IRCCA license for cultivation, processing, and commercialization
- Have authorized production facilities and laboratories
- Submit technical documentation and certificates of analysis linked to respective batches
- Obtain official authorization for each export operation
"It is not merely a general authorization granted to the company. Each export operation must identify the product, batch, quantity, destination, commercial documentation, and corresponding certificate of analysis," explains Valenti.
COA: the certificate that cannot fail
The COA (*Certificate of Analysis*) must be issued by an authorized laboratory and correspond exactly to the batch to be exported. There must be absolute consistency between:
- The physical batch
- The COA
- The declared formulation
- The cannabinoid content
- The commercial invoice
- The label information
The export authorization — issued by the Ministry of Public Health or the General Directorate of Agricultural Services, depending on product classification — officially validates a specific operation based on this traceable technical documentation.
The authorization does not replace the COA, nor does it mean that the State conducts a new chemical analysis prior to each shipment. What it does is officially validate a specific operation based on traceable technical and analytical documentation. Any inconsistencies can be identified before the product is shipped, rather than only when the goods are already in transit or arrive at the destination country.
Logistical advantage: proximity that matters
A supply chain between Uruguay and Brazil is shorter, involves fewer international connections, and allows for faster responses to documentary requirements, corrections, or replacements. In addition, the product leaves Uruguay after undergoing additional regulatory validation in the country of origin — which does not replace controls by ANVISA or Receita Federal in Brazil, but provides an extra layer of security for prescribers and patients.
Structural adaptation
The growth of exports requires adaptation across the entire production structure. It is not simply a matter of increasing sales, but of expanding production capacity, laboratory scheduling, raw material inventories, and administrative and logistical processes, while maintaining traceability and quality control.
At the same time, Uruguay has been optimizing the public and private procedures required for this logistics to be competitive in cost, timeframe, and predictability. Advances have been made in the integration between regulatory bodies, the Ventanilla Única de Comercio Exterior, customs systems, and exporting companies.
Preparing for new Brazilian requirements
The Uruguayan sector is already anticipating potential new Brazilian demands regarding traceability, quality control, and documentation for products imported under RDC 660. "Uruguay already structurally possesses many of these requirements because it works with licensed operators, identified batches, analytical certificates, and state authorizations for each export," says Valenti.
Natural continuity
The article you read previously about the difficulties and uncertainties in the North American supply chain now finds its logical continuation: while the US closes itself off to most hemp products, Uruguay positions itself as a regional alternative in productive, regulatory, documentary, and logistical terms.
As November 13, 2026 approaches, the movement is no longer speculative — it is contractual. And Brazil, as the main destination for Uruguayan cannabis exports, is a central piece on this new chessboard.
What is at stake
The new US definition does not only affect the domestic US market. It creates a global domino effect: companies that depended on American inputs or products seek alternatives; investors reassess portfolios; and countries with regulated supply chains — such as Uruguay, Colombia, and Argentina — gain traction on importers' radar.
For Brazil, which imports virtually all the medical cannabis it consumes, the issue is strategic: diversifying sources, ensuring regulatory safety, and reducing logistical costs can mean the difference between having or not having access to treatments.