US Strikes Last Penny After 230 Years of Production

Published: 13 November 2025. The English Chronicle Desk. The English Chronicle Online

The United States is striking its last one-cent coins at the Philadelphia Mint this Wednesday, bringing an end to over 230 years of penny production.

While pennies will remain in circulation, the decision has already led businesses to adjust pricing strategies as coins become increasingly scarce. The government says ending production will save money, with President Donald Trump having described the move in February as a way to “rip the waste out of our great nation’s budget, even if it’s a penny at a time.”

Made of copper-plated zinc and honoring Abraham Lincoln, the penny now costs nearly four cents to produce—more than double the cost a decade ago. The Treasury Department estimates the phase-out will save roughly $56 million annually. Officials also cite the rise of electronic payments as reducing the coin’s relevance, noting that approximately 300 billion pennies remain in circulation—far more than necessary for commerce.

Many pennies are stored at home rather than spent, with government figures showing that about 60% of all coins are effectively out of circulation, worth $60–$90 per household on average. However, as merchants round prices to the nearest five cents, consumers may see a small increase in costs; a Richmond Federal Reserve study estimated this could total $6 million annually.

Other countries have already retired low-value coins. Canada stopped making pennies in 2012, while Australia and New Zealand phased out one- and two-cent coins in the 1990s, with New Zealand ending five-cent coin production in 2006. The UK considered scrapping one-penny coins in 2018 but reversed the plan, although production was halted in 2024 due to sufficient coins in circulation.

Attention in the US is now turning to the nickel, which has a face value of five cents but costs nearly 14 cents to produce. Retiring the nickel would have a greater economic impact, potentially increasing consumer costs by $55 million annually, according to the Richmond Fed.