President Donald Trump says he has instructed the Treasury to stop building new pennies, citing rising costs to produce a cent coin.
“For a long time, the US has been minting pennies, literally costing more than two cents. This is a waste!” Trump posted Sunday night about his true social site. “I have instructed the US Treasury secretary to stop producing new penny.”
The move by Trump is the latest in the swift efforts of his new administration through executive orders and declarations on issues ranging from immigration to the Gulf of Mexico names, from immigration to gender and diversity.
Trump had not discussed his desire to eliminate Penny during his campaign. However, Elon Musk’s so-called government efficiency bureau increased its prospects in X’s post last month, highlighting the cost of penny.
US Mint reported losing $85.3 million in 2024. All penny costs nearly $0.037, up from $0.031 the previous year.
Mint also loses money to nickel, each of which costs around $0.05 each, costs around $0.14.
It is unclear whether Trump has the power to unilaterally eliminate coins that are as low as one-cent. The currency specifications including the size of the coin and the metal content will be determined by the Congress.
But Robert K. Triest, a professor of economics at Northeastern University, argues that there may be some room for wiggling.
“The process of canceling penny in the US is a bit unknown. It is likely that Congressional acts will be required, but the Treasury Secretary may simply be able to stop the casting of new penny,” he said last month. .
Members of the Congress repeatedly introduced the laws to aim for zinc coins with copper plating. According to the Congressional Research Service, the long-standing proposals are temporarily suspending production of pennys, and seeking to remove them from distribution or round the price to the nearest five cents.
Elon Musk spoke to the crowd at the presidential inauguration parade event at Capital One Arena. President Donald Trump is scheduled to attend his first rally later Monday.
Advocates for eliminating coins cite cost cuts, quick checkouts in cash registers, and the fact that many countries have already eliminated a cent coin. For example, Canada stopped building penny in 2012.
It’s not the first time the US has eliminated its most precious coin. The half-cent coin was halted by the Congress in 1857.
Trump’s new administration focuses on cutting costs, along with masks brought to lead the challenges, with a massive scale of the entire agency and federal workers seeking to identify $2 trillion savings targets It targets a range.
“Let’s tear waste from the budgets of our great nation, even if it’s a penny at once,” Trump wrote in his post.
Trump sent a message while he was leaving New Orleans after watching the first half of the Super Bowl.
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Associated Press White House correspondent Zeke Miller contributed to this report.
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