Trump Halts Penny Production Amid Rising Costs

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Posted by NewAdmin on 2025-02-10 08:39:23 |

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Trump Halts Penny Production Amid Rising Costs

Trump Directs Halt on Penny Production Due to Rising Costs

President Donald Trump has ordered the U.S. Treasury Department to cease minting new pennies, citing the increasing cost of producing the one-cent coin. In a post on his Truth Social platform, Trump expressed frustration over the wasteful nature of penny production, stating that it costs the United States more than two cents to mint each penny. "For far too long the United States has minted pennies which literally cost us more than 2 cents. This is so wasteful!" Trump wrote.

Financial Impact of Penny Production

The U.S. Mint reported a loss of $85.3 million during the 2024 fiscal year, which ended in September, due to the production of nearly 3.2 billion pennies. The cost of producing these pennies has steadily risen, prompting questions about their continued usefulness and the overall efficiency of their production. Critics argue that the penny no longer holds significant purchasing power and may not justify its high production costs.

A Larger Push for Change

The decision to stop penny production is part of a broader strategy by the Trump administration to implement sweeping changes through executive orders and proclamations. Since taking office, President Trump has made several bold moves on a range of issues, including immigration, gender and diversity policies, and even the naming of geographical landmarks such as the Gulf of Mexico.

Potential Long-Term Implications

The decision to eliminate penny production could have lasting implications for both the economy and daily transactions. While some may view it as a step toward modernizing the currency system, others may worry about its impact on consumers who still use pennies in small-scale transactions. The future of the penny remains uncertain, but this move signals a shift towards a more cost-efficient approach to U.S. coinage.

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