1943 Steel Penny History

In the history of American numismatics, few coins are more popular or well-known—even outside the numismatic community—than the 1943 Lincoln steel pennies. These zinc-coated steel cents are numismatic icons that any collector can afford.

The Production of 1943 Steel Pennies

Over 1.1 billion steel pennies were struck in 1943:

• 685 million 1943 steel cents
• 218 million 1943-D steel pennies
• 192 million 1943-S steel cents

Each was composed of 99% steel and 1% zinc, unlike previous pennies, which were 95% copper and 5% zinc and tin.

The Impact of World War II on Penny Production

The production change was driven by the U.S. entering World War II after the attack on Pearl Harbor in December 1941. As the war effort ramped up, factories shifted to producing military equipment, and strategic metals like copper and nickel were needed for armaments.

To conserve copper, the U.S. Mint discontinued proof sets and switched the composition of nickels (1942-1945) to include silver. Experiments with alternative materials for pennies led to the adoption of steel with a zinc coating in 1943.

The Philadelphia Mint that had been making proof sets discontinued them to focus on coins needed for commerce since demand for those coins was soaring. The composition of nickels was changed from 1942 to 1945 to coins made partly of silver since nickel was needed for the war effort too.

Tin and copper needed to be conserved for wartime use, so several companies were asked to experiment with other metals and substances that could be used to make new cents, including fiber, zinc and plastic of several colors, among others.

Challenges in Production and Circulation

Steel with a thin coating of zinc (to help prevent rust) is what they settled on, and production of 1943 steel pennies began February 23, 1943. However, all three mints making these coins (Philadelphia, Denver and San Francisco) encountered problems with the hardness of the steel planchets. And when released into circulation, the coins quickly acquired spots and stains because the zinc coating did not cover the edges.

In addition, steel pennies were generally not popular at the time. Many people confused new steel cents with dimes because of the similarity in their color, and there were also problems with the steel pennies in vending machines, some of which would not accept the coins or thought they were slugs. In September 1943 legislation was passed to stop producing the coins and withdraw the remaining coins from circulation. But the measure did not pass.

At the beginning of 1944, steel cents were discontinued, and a new composition consisting of bronze (made of 95% copper and 5% zinc) was used for cents issued from 1944 to 1946. This was made possible by using copper from scrap ammunition shells from fired small arms (from shooting ranges and training areas) that had zinc added to them to create the right alloy. Americans were told were the metals came from to imbue a sense of patriotism.

At the end of the war the Treasury department quietly retired the coins from circulation through the network of banks of the Federal Reserve and did not announce the move to prevent people from hoarding them.

The steel planchets proved difficult to work with, and once in circulation, the coins quickly developed spots and stains as the zinc coating didn’t adequately protect the edges. Additionally, the steel pennies were unpopular, often confused with dimes due to their color, and they caused problems in vending machines.

In September 1943, legislation was proposed to halt production and withdraw the remaining coins, but it did not pass. The steel cents were discontinued at the beginning of 1944, replaced by bronze pennies made from scrap ammunition shells.

The 1943 Steel Penny’s Withdrawal

After the war, the Treasury department quietly retired the steel pennies from circulation via the Federal Reserve, choosing not to announce this move to prevent hoarding.

How Much Is a 1943 Steel Penny Worth?

Though many 1943 steel pennies were saved, most are in poor condition due to their zinc and steel composition, which does not age well. Lower-grade coins are typically worth less than a dollar.

• Uncirculated coins (MS65): Around $50 or less
• High-grade coins (MS68): Several thousand dollars due to scarcity

Rare Versions: 1943 Copper Pennies and 1944 Steel Cents

These wartime steel pennies are also important to numismatic history because there are some exceptionally rare cents from this era that were made in error using the wrong materials – most notably the 1943 copper pennies and the 1944 steel cents.

The 1943 steel pennies are notable for rare errors, including 1943 copper pennies and 1944 steel cents. These errors were caused by leftover planchets from the previous or subsequent year being struck with the wrong dies.

• 1943 Copper Pennies: Approximately 40 examples, though estimates vary. The 1943-D copper penny sold for $1.7 million in 2010.
• 1944 Steel Pennies: Even rarer than the 1943 copper pennies, with only a few examples known.

Beware of Counterfeits

Due to their high value, counterfeit 1943 copper pennies are common. The easiest way to verify a coin’s authenticity is to check if it sticks to a magnet—if it does, it’s steel, not copper.

Conclusion: A Must-Have for Collectors

Though finding rare 1943 copper or 1944 steel pennies is unlikely, every collector should own a set of 1943 steel pennies. They’re affordable, historically significant, and a staple in U.S. coin collections.

An estimated 40 examples of the 1943 copper cents were said to exist according to the late coin expert Walter Breen, but Q. David Bowers has noted that he does not believe there is evidence to support this number and thinks there are fewer of them.

The first examples surfaced in the 1950s. The first sale was in 1958 for a 1943 cent that brought $40,000.

These coins are believed to have been created when 1942 bronze planchets were left in the coin press hoppers and were struck with 1943 dies.

While estimates vary, according to NGC there are fewer than 12 of the 1943-S, while PCGS says there are 5 known examples; PCGS says there are 10-15 1943 examples, while NGC says there are 17 confirmed examples; and everyone agrees the 1943-D coin is unique (a PCGS MS64 Brown that sold for $1.7 million in 2010).

David Lange of NGC calls these three pennies “error royalty” as they are the rarest and most valuable error coins ever issued. Most examples are worn and are still worth a lot of money.

Keep in mind that for decades charlatans have been trying to peddle fake 1943 copper cents that are simply 1943 steel cents coated in copper, or coins of other years that have had their dates altered. The easy way to determine if a coin is a real 1943 copper cent is to see if it sticks to a magnet. If it does stick, it is steel, not copper.

Finally, even rarer than 1943 steel cents are 1944 steel cents of which NGC has graded 4 examples, and PCGS has graded 9, though PCGS estimates there is a total of 25-30. There are also an estimated 9 1944-D steel cents and just two 1944-S steel cents, according to Greg Reynolds.

While you are very unlikely to ever discover any of these super-rare off-metal errors as they are known, every collector of U.S. coins, including type collectors, needs at least a set of the 1943 steel cents.