12/22/2025
BREAKING - Michigan Cannabis Community Optimistic With Trump's Executive Order Regarding Cannabis.
Lansing, MI - Friends Community News Group, December 22, 2025, 2:00 a.m. ET - Since 1970, when Cannabis was made federally illegal, presidents have come and gone who identified as being liberal and pushing far-left ideology, yet not one would do anything to help shift the dialogue on Ma*****na. That is, until today, when Donald Trump, a conservative, has opened up the dialogue by reclassifying Cannabis. No, he didn't legalize it, but he opened up the doors. The Left, instead of giving Trump any credit for doing something Clinton, Obama, and Biden wouldn't touch, instead continue to throw insults.
The industry, though, is happy.
A recent shift in national cannabis policy is drawing optimistic responses from Michigan’s ma*****na industry, with business owners and experts saying the change could ease long-standing federal obstacles to banking, investment, research, and profitability.
Last week, President Donald Trump signed an executive order directing the federal government to reclassify ma*****na from a Schedule I controlled substance — a category that includes drugs with no recognized medical use and high potential for abuse — to Schedule III, a designation shared by certain prescription drugs with accepted medical use.
The change, while not legalizing ma*****na at the federal level, marks a significant shift in U.S. drug policy and is seen by many in the cannabis industry as a step toward reducing regulatory barriers that have long hampered legal w**d businesses, including those in Michigan’s robust market.
Michigan cannabis operators have struggled for years with limited access to banking services and traditional financial institutions because federal prohibition made financial institutions wary of serving ma*****na-related businesses.
Under the new federal classification, businesses may face less regulatory risk from federal anti-drug enforcement, which experts believe could make banks and credit unions more willing to open accounts, offer loans, and provide investment services to state-licensed cannabis companies.
“This change doesn’t legalize cannabis federally,” said a financial industry analyst, “but it reduces perceived legal risk and could encourage more financial institutions to work with licensed operators, improving their access to capital.”
Tax relief and business growth prospects
In addition to potential banking relief, reclassification is expected to mitigate the impact of Internal Revenue Code Section 280E. This federal tax provision currently prohibits ma*****na businesses from deducting ordinary operating expenses, such as payroll and rent. Industry observers say removing that restriction — likely once Schedule III status is fully implemented next year — could result in significant savings for growers, processors, and retailers, freeing up capital for reinvestment.
For many Michigan operators, the potential for tax relief and easier financing comes at a pivotal moment for growth. Michigan’s regulated cannabis market has expanded rapidly since the legalization of adult-use sales, contributing hundreds of millions of dollars in tax revenue and supporting thousands of jobs statewide.
The rescheduling is also expected to expand opportunities for scientific and medical research, a shift welcomed by researchers and public health advocates. Schedule I status has historically made it more difficult for academic institutions to conduct federally sanctioned studies into the therapeutic benefits and effects of cannabis, including potential treatments for pain, anxiety, and neurological conditions.
“This will make it far easier to conduct ma*****na-related medical research,” said a professor from a Michigan medical school, noting that the change could lead to new insights into both benefits and risks.
Michigan cannabis business owners have greeted the announcement mainly with enthusiasm, even as some caution that full federal legalization and broader banking reform — such as passage of the Secure and Fair Enforcement Banking Act — would be necessary to fully normalize the industry’s financial relationships.
State regulators are reviewing the executive order and urging federal agencies to collaborate with states to develop “clear guidance and thoughtful implementation” that addresses obstacles such as banking, taxation, and social equity.
While the benefits of reclassification will not materialize immediately, many in Michigan’s cannabis sector view the policy shift as a milestone that could help their businesses become more competitive, better financed, and more integrated into the broader economy.
By: Tom Manke
Sources:
• Reuters, “Trump moves to ease ma*****na regulations, sparking industry hopes” (Dec. 18, 2025)
• The Guardian, “Trump signs order reclassifying ma*****na as less dangerous drug” (Dec. 18, 2025)
• Bridge Michigan, “What Trump’s ma*****na rescheduling means for Michigan” (Dec. 19, 2025)
• WXYZ Detroit, “What Trump’s rescheduling means for Michigan’s cannabis industry” (Dec. 19, 2025)
• Reuters, “Cannabis companies face hurdles accessing big banks despite reclassification” (Dec. 19, 2025)
• WDET, “Executive order could bring big savings for Michigan cannabis businesses” (Dec. 19, 2025)
• Michigan.gov press release on federal cannabis banking reform coalition (Jul. 24, 2025)
• Vicente LLP analysis on cannabis rescheduling impacts (Dec. 2025) �
Missouri Lawyers Media
The Guardian
Bridge Michigan
WXYZ 7 News Detroit
Reuters
WDET 101.9 FM
Michigan.gov
Vicente LLP