President Donald Trump has signed an executive order reclassifying marijuana as a less harmful drug, easing some federal restrictions without fully legalizing it. The move shifts marijuana from Schedule I to Schedule III, placing it alongside drugs such as ketamine and anabolic steroids and making it easier to research for medical use.
Speaking in the Oval Office alongside doctors, Trump said he was urged to act by patients suffering from severe pain, incurable illnesses, and seizure disorders, highlighting marijuana’s potential as an alternative to addictive opioid painkillers. The change could also provide tax relief for marijuana businesses in states where the drug is already legal.
The announcement sparked a rally in cannabis stocks, with Tilray up 6%, Aurora Cannabis rising 9%, and Canopy Growth jumping 11%. Trump, who ran for president for the 3rd time in 2024, said the decision reflects a “common sense” approach and reiterated support for easing rules on marijuana businesses, even as legalization efforts like Florida’s 2024 ballot measure fell short with 56% support, below the required 60%.