End of an Era: US Penny Production Ceases After Centuries
The United States has minted its final circulating penny, bringing to a close a 232-year chapter in American monetary history. President Donald Trump has officially cancelled the 1-cent coin, with the last examples being pressed at the Philadelphia Mint on Wednesday, 12 November 2025.
The Rising Cost of Small Change
This historic decision stems from a simple economic reality: it now costs 4 cents to produce a single penny, making their continued manufacture financially unsustainable. President Trump highlighted this waste in an online post back in February, stating "For far too long the United States has minted pennies which literally cost us more than 2 cents. This is so wasteful!"
The Treasury Department anticipates saving approximately $56 million per year on materials by ending production. The U.S. Mint has been producing pennies in Philadelphia, the nation's birthplace, since 1793, just one year after Congress passed the Coinage Act. While billions remain in circulation, their practical necessity has diminished significantly in today's digital economy.
Retail Chaos and Public Nostalgia
The abrupt phase-out has created significant challenges for retailers across the nation. As supplies dwindled in recent weeks, businesses received no federal guidance on handling transactions, leading to creative solutions. Some establishments rounded prices down to avoid shortchanging customers, while others pleaded for exact change or offered incentives like free drinks in exchange for penny piles.
Jeff Lenard of the National Association of Convenience Stores expressed mixed feelings, noting "We have been advocating abolition of the penny for 30 years. But this is not the way we wanted it to go." Meanwhile, many Americans feel a sentimental attachment to the coins, viewing them as lucky charms or collectible items.
In a paradoxical twist, some banks began rationing their remaining penny supplies despite the general perception of a coin glut. Historically, about half of all coins produced at U.S. Mints in Philadelphia and Denver have been pennies over the past century.
Broader Currency Implications
The production-cost disparity extends beyond the penny. The Treasury Department revealed that while the penny's production costs exceed its value, the nickel costs nearly 14 cents to make despite its 5-cent face value. In comparison, the diminutive dime represents better value at under 6 cents production cost, while quarters cost nearly 15 cents to produce.
Treasury Secretary Scott Bessent and Treasurer Brandon Beach attended the final production run in Philadelphia, marking the end of an institution that began when a penny could purchase a biscuit, candle, or piece of candy in 1793. Today, the coin has become a casualty of modern economic realities.
