They could readily adopt a steel penny, or even one of some type of plastic.

I hazard a guess that it has more to do with state, county and municipal revenues.

For example, in this area, there is a 7.5% sales tax. That other 2.5%, going into the coffers of the taxman ... or, in the pocket of the merchant, upon which their revenues are taxed at a particular level ... that all adds up to billions, over the course of a month 'r so.

If copper is too high to produce pennies, their are ample alternatives that would utilize other metals.

Point of fact, I used to have a collection of WWII steel pennies (copper was necessary for the war effort.