Elon Musk's Government Efficiency Department Questions Cost of U.S. Penny

The newly formed agency, led by Musk, highlights inefficiencies in minting the penny, which costs more than three times its face value to produce.

The U.S. penny costs over 3 cents to produce, resulting in $179 million in taxpayer expenses during fiscal year 2023.
DOGE, the Department of Government Efficiency created by President Trump, aims to identify and reduce government inefficiencies under Elon Musk's leadership.
The penny, made mostly of zinc with a copper coating, has seen rising production costs due to increased material prices, particularly zinc, which has doubled in cost since 2016.
While other nations like Canada have eliminated low-value coins, removing the penny in the U.S. would require Congressional approval or a decision by the Treasury Secretary.
DOGE's broader goal is to cut $500 billion in federal spending annually, but penny production represents a small fraction of potential savings.