President Donald Trump has announced plans to stop minting pennies as a cost-cutting measure, citing their high production costs despite being worth only 1 cent. According to the US Mint’s annual report, it takes nearly 4 cents to make a single penny, making them a “wasteful” expense. Trump has instructed the Treasury Department to halt new penny production, but the exact authority for this decision remains unclear.
The familiar Abraham Lincoln penny costs about 3.7 cents to produce, significantly more than the 1 cent it’s worth. In contrast, nickels cost around 13.8 cents to make. The US Mint produces over 3 billion pennies each year, with many being lost or discarded.
Some countries have already discontinued low-denomination coins, such as Canada and Great Britain, to reduce their spending on small change. Even Elon Musk’s newly established Department of Government Efficiency has criticized the government for wasting money on pennies. However, it remains to be seen whether Trump’s decision will ultimately save taxpayers any money or just create more problems in the budget.
Source: https://eu.usatoday.com/story/graphics/2025/02/11/trump-cost-to-make-penny-production/78381971007