WASHINGTON (AP) — The Trump administration says making cents doesn’t make sense anymore.
The U.S. Mint has made its final order of penny blanks and plans to stop producing the coin when those run out, a Treasury Department official confirmed Thursday. This move comes as the cost of making pennies has increased markedly, by upward of 20% in 2024, according to the Treasury.
By stopping the penny’s production, the Treasury expects an immediate annual savings of $56 million in reduced material costs, according to the official, who was not authorized to discuss the matter publicly and spoke on condition of anonymity to preview the news.
In February, President Donald Trump announced that he had ordered his administration to cease production of the 1-cent coin.
“For far too long the United States has minted pennies which literally cost us more than 2 cents. This is so wasteful!” Trump wrote at that time in a post on his Truth Social site. “I have instructed my Secretary of the US Treasury to stop producing new pennies.”
There are about 114 billion pennies currently in circulation in the United States — that’s $1.14 billion — but they are greatly underutilized, the Treasury says. The penny was one of the first coins made by the U.S. Mint after its establishment in 1792.
