No more minting 'wasteful' pennies, Trump tells Treasury

In a recent announcement, US President Donald Trump has instructed the US Treasury Secretary, Scott Bessent, to cease the minting of one-cent coins, commonly known as pennies. This decision was shared on Trump's Truth Social media account, where he emphasized the importance of cutting waste from the nation's budget, stating, 'Let's rip the waste out of our great nation's budget, even if it's a penny at a time. ' This move is seen as a cost-saving measure, especially after Elon Musk's unofficial Department of Government Efficiency highlighted the expenses associated with producing pennies in a post on X last month. The ongoing debate about the value and practicality of pennies has been a topic of discussion in the United States for many years. Trump's post further criticized the minting of pennies, declaring, 'This is so wasteful. ' He has directed his Treasury Secretary to halt the production of new pennies. According to the US Mint's 2024 annual report, the cost of making and distributing a single penny is 3. 69 cents, which is more than the actual value of the coin itself. In the past, various government officials and members of Congress have attempted to eliminate the penny, but these efforts have not been successful. Critics argue that the zinc and copper coin is an unnecessary expense and a drain on resources, while supporters contend that it helps keep prices lower and aids in fundraising for charitable causes. Other countries have taken similar steps to discontinue their low-value coins. For instance, Canada eliminated its one-cent coin in 2012, citing the high costs of minting and the decreasing purchasing power of the coin due to rising prices. In the UK, officials determined that there were already sufficient coins in circulation, leading to a reduction in the production of smaller denominations. The UK Treasury has clarified that while 1p and 2p coins are not being eliminated, the trend of cashless transactions has resulted in several years without the minting of new 2p coins. Additionally, 20p coins have also experienced periods without new production. This shift away from cash usage indicates a broader change in how people conduct their financial transactions.