President Donald Trump announced after the Super Bowl on Sunday night that the U.S. will stop producing pennies. The U.S. Treasury will no longer mint the copper-colored coins, which feature Abraham Lincoln. Secretary of the Treasury Scott Bessent will oversee their phase-out, following Trump’s directive.
Trump criticized the waste of producing pennies, explaining in a social media post, “It costs more than two cents to make each penny. This is wasteful! I’ve instructed the Secretary of the Treasury to stop production.”
Efforts to eliminate pennies have been ongoing, with Canada discontinuing them in 2012 for the same reason—production costs exceed their value. The Brookings Institution also pointed out that it costs nearly two cents to make a penny and eight cents for a nickel. Since 2000, the U.S. has lost $1 billion producing these coins.
Many have advocated for eliminating pennies to save money and simplify transactions. Canada has already taken this step without triggering inflation, and similar results are expected in the U.S. Opponents argue it could harm charities, but Brookings suggests the money saved could be better used to support the poor.
