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Colorado Could Soon Loosen Regulations on Intoxicating Hemp Products, Countering New Federal Bans

The new federal limit bans about 95% of intoxicating hemp products nationwide, threatening a $28.4 billion industry and over 300,000 jobs, while Colorado seeks to ease state restrictions.

  • Last week, U.S. Congress capped total hemp-derived THC at 0.4 mg per container, including delta-8, delta-10, HHC and THCA, by inserting the limit into the federal funding bill that reopened the government.
  • The 2018 Farm Bill only named Delta-9, so supporters say the new cap closes a loophole that let Delta-8 and other hemp-derived cannabinoids proliferate in unregulated products.
  • Industry groups warn the U.S. Hemp Roundtable estimates the ban could wipe out a $28.4 billion industry and more than 300,000 jobs, while shop managers say 95% of inventory would vanish.
  • Colorado lawmakers say intoxicating hemp will remain legal despite the federal THC cap, and Sen. Julie Gonzales, D-Denver, is proposing a bill to raise hemp beverage limits to 10 mg and allow sales in liquor stores.
  • Federal agencies will have 90 days to clarify hemp cannabinoids, and the law includes a one-year grace period before enforcement, creating a federal-state legal oddity after Senate Minority Leader Mitch McConnell's amendment.
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ABC 6 NEWS broke the news in on Tuesday, November 18, 2025.
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