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California Extends Its Ban on Hemp-Derived THC Products

California has once again extended its ban on hemp-derived THC products, prolonging a decision that has drawn polarized opinions from different sectors of the cannabis and hemp industries. Governor Gavin Newsom, whose administration first issued the emergency regulations in September 2024, has quietly moved to keep these restrictions in place, citing concerns about public safety, lack of regulations, and the impact on the state’s cannabis market. The ban limits the growth of hemp-derived products, including low-dose THC edibles and beverages, which have gained immense popularity in recent years across the United States.

First reported by SFGate, this extension adds another 90 days to the emergency regulations initially imposed by the California Department of Public Health (CDPH). If passed, the ban will remain in place until at least June 2025, with the possibility of one final extension before authorities implement permanent regulations.

Why Is California Banning Hemp-Derived THC?

The origins of this hemp-derived THC ban trace back to September 2024. Concerns about the rapid rise of intoxicating cannabinoids, including Delta-8 THC, Delta-9 THC, and other derivatives from industrial hemp, prompted urgent action. Governor Newsom defended these emergency measures with a clear focus on protecting vulnerable populations—especially minors—from unregulated intoxicants accessible in grocery stores, gas stations, and other non-cannabis retail environments.

Key provisions of the emergency regulations include:

  • Zero Tolerance for THC: Hemp-derived food, beverages, and supplements cannot contain any detectable levels of THC.

  • Age Restrictions: These products can only be sold to individuals aged 21 and above.

  • Packaging Limits: Hemp products are capped at five servings per package.

  • Safety Concerns: The regulations aim to address recurring health complaints tied to intoxicating hemp products in the marketplace.

One of the central arguments for the ban is the lack of uniform safety standards in the hemp industry when compared to the highly regulated cannabis sector. California cannabis operators, who face excessive taxation and rigorous compliance checks, argue that hemp companies bypass similar barriers while producing intoxicating products at much lower costs. Without proper testing for contaminants like pesticides, molds, and heavy metals, some view hemp-derived THC as a public safety risk.

The Debate Between Regulation and Prohibition

While some in the cannabis industry have shown support for the emergency regulations, hemp businesses in California have expressed deep frustration. They argue that the state’s decision to impose a total ban on hemp-derived THC is excessive, especially when California’s Assembly Bill 45, passed in 2021, explicitly laid out a pathway for regulated hemp product manufacturing and sales.

Critics like Jonathan Miller, general counsel for the U.S. Hemp Roundtable, suggest that the current ban fails to distinguish between intoxicating and non-intoxicating hemp products, unnecessarily stifling innovation.

Many manufacturers have voluntarily regulated non-intoxicating CBD formulations and low-dose products, but these still fall under California’s broad enforcement measures. Opponents emphasize that targeted enforcement of bad actors combined with clear regulatory oversight could achieve the state’s goals without impeding the entire hemp market.

Back in September, Miller discussed the first emergency regulations with The Hill.

“There are pathways that accomplish what [Gov. Newsom] is most angry about without destroying the industry. They need to start enforcing AB 45 and ensuring that all products out in the marketplace are produced with good manufacturing practices and tested.”

Behind much of the legislative reasoning is California’s ailing cannabis market, whose players have lobbied for the state to adopt stricter controls on hemp-derived THC. Licensed cannabis operators face significant economic challenges due to high taxes, compliance costs, and continued competition from the illicit market. The hemp-derived THC sector, which exploded following the passage of the 2018 Farm Bill, has further exacerbated these struggles by offering cheaper and more readily accessible alternatives outside of licensed dispensaries.

What’s Next for California’s Hemp THC Ban?

The current extension of the emergency regulations marks the second phase of an ongoing saga. Under California’s emergency rulemaking process, these temporary measures can only be extended one more time before permanent rules must be finalized. This means that, regardless of continuing debates, the CDPH, local enforcement officials, and the state cannabis regulatory body will need to propose a long-term solution.

As of now, the ban highlights a broader nationwide conversation about the place of hemp within modern cannabis markets. Several states, including New Jersey, Illinois, and Kentucky, are exploring or enacting regulations to curb intoxicating hemp products. However, none have implemented restrictions as sweeping as California’s zero-tolerance policy.

Until permanent measures, if or when adopted, California’s hemp industry must adapt to a harsh new reality. Retailers and manufacturers can only sell non-intoxicating hemp products, like CBD tinctures and topicals, under the currently tightened regulations.

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