US Ends Penny Production After 230 Years

The United States is set to produce its final batch of pennies, marking the end of an era that spans over 230 years. The Philadelphia Mint will strike the last one-cent coins on Wednesday, concluding a long history of penny production in the country.

The decision to halt penny production comes as a cost-saving measure. Each penny, which is worth one cent, now costs nearly four cents to manufacture. This significant disparity between production cost and face value has led the government to discontinue the coin's production.

While pennies will remain in circulation, their gradual scarcity is already impacting businesses. Some stores have begun adjusting their prices in anticipation of the reduced availability of these coins. The government estimates that about 300 billion pennies will continue to circulate, which they believe is sufficient for current commercial needs.

The phase-out of penny production is expected to save the government approximately $56 million annually. However, this change may lead to slightly higher costs for consumers as businesses round up prices to compensate for the lack of pennies.