Cannabis stocks surge after reports of Trump planning to ease federal restrictions

Shares in Canada’s cannabis companies surged after reports U.S. President Donald Trump is planning to ease federal restrictions on the drug.

The Washington Post first reported that the president is expected to direct agencies to reclassify marijuana as a Schedule III drug.

The move would make it similar to some common prescription painkillers, the newspaper says.

A reclassification of the drug in the U.S. could offer an opportunity for Canadian cannabis companies to expand their businesses stateside.

Shares of Tilray Brands Inc. jumped 29 per cent or $3.35 to $14.94 in mid-morning trading Friday on the Toronto Stock Exchange, while Canopy Growth Corp. shares were up 32 per cent or 49 cents at $2.07. Aurora Cannabis Inc. shares were up 13 per cent and Organigram Global Inc. was up nearly 10 per cent. 

While many states have passed laws legalizing cannabis for adult use in the U.S., federally it remains a Schedule I drug, the same category as heroin and LSD.

This report by The Canadian Press was first published Dec. 12, 2025.