Trump Directs Treasury to Halt Production of Pennies Amid Rising Costs

President Donald Trump announced Sunday night that he has instructed the U.S. Treasury Department to stop minting new pennies, citing the escalating cost of producing the one-cent coin. The U.S. Mint revealed that in 2024, it lost more than $85 million on the production of nearly 3.2 billion pennies, as each coin costs nearly four cents to make—more than the value of the penny itself.

The decision comes as part of the president's efforts to address inefficiencies within the nation's coin production. However, it remains unclear whether President Trump possesses the authority to unilaterally eliminate the penny. Under current law, currency specifications—including the size, design, and metal content of coins—are set by Congress, meaning any substantial change to the penny's status may require legislative action.

Despite this uncertainty, the policy shift has sparked debate about the future of the penny, with critics of the coin arguing that it is outdated and costly to produce, while others emphasize its cultural significance and role in everyday transactions. As the U.S. looks for ways to cut unnecessary spending, the fate of the penny may ultimately rest in the hands of lawmakers.