U.S. hemp farming generated $739 million in 2025, a 64 percent jump from 2024, according to the USDA's annual National Hemp Report.
Outdoor acreage reached 49,267 acres, up 9 percent year over year, with a harvested area of 43,707 acres—34 percent more than 2024. The value of outdoor crops rose 53 percent to $646 million. Hemp grown under protection covered 3.99 million square feet, a 13 percent increase, with its value climbing 225 percent. Clones and transplants grown under protection totaled 1.08 million plants, up 203 percent, valued at $1.96 million—a 339 percent annual rise.
The report, based on an annual USDA survey of farmers, breaks results into flower, grain, fiber, and seed categories. For outdoor crops, weight and acreage grew in all four segments; flower, grain, and seed increased in value, while fiber declined.
The growth comes as federal policy tightens. Under legislation Trump signed late last year, hemp will be redefined so that only products containing 0.4 milligrams or less of total THC per container remain legal after November 12—down from the 0.3 percent delta-9 THC dry-weight threshold established by the 2018 Farm Bill.
The Hemp Safety Enforcement Act, introduced last week by Sens. Rand Paul (R-KY), Amy Klobuchar (D-MN), and Joni Ernst (R-IA), would let states and Indian tribes opt out of the federal ban and continue regulating hemp THC products locally. Separate bills to delay the recriminalization have not gained traction with congressional leadership.
The Trump administration also launched a program through the Centers for Medicare & Medicaid Services (CMS) to cover up to $500 annually in hemp-derived products for eligible Medicare patients—primarily CBD, with limited THC. Anti-marijuana groups sued to block the policy; lawyers for HHS Secretary Robert F. Kennedy Jr. and CMS Director Mehmet Oz filed a brief seeking dismissal. FDA issued guidance stating it will not interfere with the Medicare hemp coverage plan, CMS finalized a rule allowing hemp products as Medicare Advantage benefits, and the White House Office of Management and Budget is holding meetings on a FDA CBD enforcement policy.
In retail, Target secured licenses from Minnesota regulators to sell lower-potency hemp edibles and THC beverages at all 72 of its Minnesota stores, expanding a pilot program that began last year at 10 locations in the state.
