President Donald Trump has announced that the U.S. will stop producing new pennies because they cost too much to make. On Sunday night, after attending the first half of Super Bowl LIX, he posted on Truth Social that he had instructed the Department of Treasury to end penny production.
“For too long, we have been making pennies that cost us more than two cents each,” Trump stated. “This is a waste! I have told my Treasury Secretary to stop making new pennies. Let’s cut unnecessary spending, even if it’s one penny at a time.”
The cost to produce a single penny is actually more than three cents, according to recent reports. In 2023, the U.S. Mint made over 4.5 billion pennies, which accounted for about 40% of all coins produced that year. The total cost to taxpayers was over $179 million.
Trump’s decision is part of his broader plan to reduce government expenses, with support from billionaire entrepreneur Elon Musk. Last month, Musk and the Department of Government Efficiency (DOGE) highlighted the high cost of making pennies and recommended stopping their production.
Pennies are made mostly of zinc with a thin layer of copper. In 2024, the U.S. Mint reported that it cost 3.07 cents to manufacture each penny. This issue has been debated for decades, with many experts arguing that pennies are not worth their cost.
A 2022 poll revealed that 58% of Americans supported ending penny production. Over the years, several lawmakers have tried to eliminate the penny but have been unsuccessful. Former Representative Jim Kolbe from Arizona proposed a law in 1990 to stop using pennies in transactions by rounding prices to the nearest nickel, but it failed. Later, the late Senator John McCain also attempted to pause penny production for a decade to study its impact, but his bill did not move forward.
With this new directive from Trump, the U.S. government will finally take action on an issue that has been debated for years. While some may oppose the change, others believe it is a step toward reducing unnecessary spending and improving financial efficiency. The decision is expected to spark further discussions about the future of small-denomination coins in the country.
