White House Considers Cannabis Reclassification, Stops Short Of Legalization: Stocks To Watch

President Donald Trump is expected to sign an executive order that would reschedule cannabis to a lower federal drug classification. Trump publicly indicated earlier this week that the issue was under active consideration, telling reporters that reclassification was being weighed "very strongly." Moving marijuana from Schedule I to Schedule III under the Controlled Substances Act. The Drug Enforcement Administration defines Schedule I drugs as having no accepted medical use and a high potential for abuse, while Schedule III substances are considered to have a moderate to low risk of physical and psychological dependence. Also Read: Trump Weighs Marijuana Changes: ‘A Lot Of People Want To See It’ Stock To Watch Canopy Growth Corporation (NASDAQ:CGC) Tilray Brands Inc. (NASDAQ:TLRY) Akanda Corp (NASDAQ:AKAN) Aurora Cannabis Inc (NASDAQ:ACB) Cronos Group Inc (NASDAQ:CRON) Flora Growth Corp (NASDAQ:FLGC) GrowGeneration Corp (NASDAQ:GRWG) IM Cannabis Corp (NASDAQ:IMCC) Organigram Global Inc (NASDAQ:OGI) SNDL Inc (NASDAQ:SNDL) urban-gro, Inc. (NASDAQ:UGRO) cbdMD, Inc. (NYSE:YCBD) Cannabis: From Campaign Talking Point To Now Speaking from the Oval Office, Trump told CNN that the reclassification could unlock scientific progress that is currently limited under federal law. He noted that many researchers face barriers studying marijuana because of its Schedule I status, adding that a change could open the door to broader medical research. The potential executive action follows Trump’s comments during the 2024 presidential campaign. “We must also implement smart regulations, while providing access for adults, to safe, tested product,” Trump posted on TruthSocial in September 2024. “As President, we will continue to focus on research to unlock the medical uses of marijuana to a Schedule 3 drug, and work with Congress to pass common sense laws, including safe banking for state authorized companies, and supporting states rights to pass marijuana laws, like in Florida, that work so well for their citizens.” The anticipated order would not legalize marijuana at the federal level. Instead, rescheduling could primarily affect taxation, research approvals, adult access to regulated products, and state flexibility in pursuing their own legalization frameworks. Read Next: Vivek Ramaswamy-Backed Bitcoin Treasury Stock Rallies After CEO Buys Dip Following 25% Pullback Image: Shutterstock