Powder metallurgy has grown with the expansion of various industry. Automotive industry had the most strong influence. Today, more than 90% of PM products are used in the transportation industry. Development of new materials such as magnetic materials is expected to meet the new trends of automotive industry, electric and hybrid vehicles.
Soft magnetic composites (SMC) are PM materials based on ferromagnetic powder particles covered by electric insulation layer. Concept of SMC’s and PM technologies offer possibility to become faster, use higher frequencies, become smaller and denser, save more energy, achieving high permeability and lower core loss in high frequency region, which is required for soft magnetic materials. Investigation of correlations among compaction parameters, inner structure, magnetic and mechanical properties are presented.