February 10, 2025 – Former President Donald Trump has announced plans to halt the production of pennies, citing the rising cost of minting the one-cent coin. Trump made the announcement on Truth Social, calling the continued production of pennies “wasteful” and directing the U.S. Treasury Secretary to cease minting new pennies immediately.
“For far too long, the United States has minted pennies which literally cost us more than 2 cents. This is so wasteful! I have instructed my Secretary of the U.S. Treasury to stop producing new pennies. Let’s rip the waste out of our great nation’s budget, even if it’s a penny at a time,” Trump posted.
Rising Costs Drive the Decision
The cost of producing pennies has skyrocketed in recent years. In the 2024 fiscal year, the U.S. Mint reported that it costs approximately 3.7 cents to mint and distribute a single penny— a 20% increase from the previous year. The surge in costs has been linked to rising zinc and copper prices.
Pennies aren’t the only coins costing more than their face value. Nickels now cost 10.4 cents each to produce, a 40.2% increase from 2020, according to a recent biennial Mint report.
Dogecoin’s Influence?
In his post, Trump also referenced Elon Musk’s Dogecoin (DOGE) cryptocurrency, suggesting that some of the push for eliminating the penny may be inspired by digital currency advocates.
While the move to phase out the penny has been debated for years, Trump’s announcement signals that a major change in U.S. currency policy may be imminent. Whether Congress or the Treasury follows through with the directive remains to be seen.
