The US has axed production of the penny after more than 232 years in use, with the final batch minted in Pennsylvania on Wednesday.
The coins will stay in use for now, but the phase-out has already led some businesses to adjust their prices, claiming that pennies are becoming increasingly scarce.
The Trump administration has said the move will help cut costs.
Announcing the move back in February, President Donald Trump said it would “cut waste from our great nation’s budget – even if it’s just a penny at a time”.
According to the Treasury Department, the cost of minting each penny has more than doubled in recent years.
Over the past decade, production prices have risen from 1.42 cents to 3.69 cents per coin.
Last year, the Treasury made losses of around $85million (£64.7million) minting the coin.
An estimated 300 billion pennies remain in circulation, far more than what is necessary for everyday transactions.
The Treasury made losses of around $85million (£64.7million) minting the coin
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GETTY
Retailers and other businesses will still be able to set prices in one-cent increments, despite the axing of the 232-year-old coin.
Ahead of the final minting, US Mint acting director Kristie McNally said: “Today the Mint celebrates 232 years of penny manufacturing.
“While general production concludes today, the penny’s legacy lives on.
“As its usage in commerce continues to evolve, its significance in America’s story will endure.”
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Despite the move being expected to save the Treasury money in the short term, officials have said it could raise questions about the future of other coins, such as the nickel.
Former US Mint chief executive Rhett Jeppson told the New York Times: “If you get rid of the penny, it will increase the amount of nickels.
“You lose more on a nickel than you do on a penny.”
Production of the nickel, America’s five-cent coin, led to losses of around $18million (£13.7million) for the Treasury last year.
Officials have said it could raise questions about the future of other coins, such as the nickel
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WIKIMEDIA COMMONS
The decision to axe their lowest-denomination coin brings the US in line with other countries around the world.
In 2012, Canada minted its final one penny coin.
Australia and New Zealand withdrew one- and two-cent coins in the 1990s, while New Zealand also ended production of five-cent coins in 2006.
Plans to phase out the penny were proposed in Britain in 2018, however the proposal was later abandoned.
