Trump says time to retire lowly US penny

Trump pulls the plug on the US penny, to stop production

Robert Besser
15 Feb 2025, 15:04 GMT+10

Trump says time to retire lowly US penny

President Donald Trump announced on Truth Social that the U.S. will stop producing the penny, calling it an unnecessary expense
The decision marks the end of an era for the penny, first introduced in 1793 and featuring Abraham Lincoln’s profile since 1909
The coin, made primarily of zinc and copper, has long been the subject of debate, with critics arguing that its production cost outweighs its value

WASHINGTON, D.C.: President Donald Trump has announced on Truth Social that the U.S. will stop producing the penny, calling it an unnecessary expense.

"For far too long, the United States has minted pennies which literally cost us more than 2 cents. This is so wasteful!" Trump wrote. "I have instructed my Secretary of the U.S. Treasury to stop producing new pennies."

The decision marks the end of an era for the penny, first introduced in 1793 and featuring Abraham Lincoln's profile since 1909. The coin, made primarily of zinc and copper, has long been the subject of debate, with critics arguing that its production cost outweighs its value.

Trump framed the move as part of his broader efforts to cut waste from the federal budget, adding: "Let's rip the waste out of our great nation's budget, even if it's a penny at a time."

The penny's future has been debated for years. Some economists, like Henry Aaron from the Brookings Institution, have advocated for eliminating both pennies and nickels, calling them "monetary detritus." Others argue that pennies help keep prices stable and provide a valuable source of donations for charities.

For many Americans, however, pennies have become a nuisance, often tossed in drawers, cars, or piggy banks rather than used in transactions.

If eliminated, one possible solution would be to round all cash transactions to the nearest nickel, simplifying everyday purchases.