US President Donald Trump has proposed eliminating pennies from circulation, claiming they cost more to produce than their face value. However, experts say this change could have a minimal impact on the copper industry. The typical penny is made of 97.5% zinc and only 2.5% copper.
Trump’s plan would stop the US Mint from producing new pennies, but existing coins in circulation will remain valid. Despite concerns that businesses might “round up” prices to the nearest nickel, experts say this effect would be minimal. The elimination of pennies could also reduce consumer burden by eliminating the need for spare change.
Several countries have already stopped minting their lowest-denomination coins, including Australia and Canada. The US copper industry is unlikely to be significantly affected, as copper demand is rising due to its use in electric vehicles, power generation, and other areas. Major copper-producing companies like Freeport-McMoran see a bright future for the metal.
Source: https://eu.usatoday.com/story/money/2025/02/12/trump-pennies-copper-industry/78471362007