The trend to production of near net shape components in the automotive industry and the constant crusade for cost reduction has brought powder metallurgy technology to the foreground. Savings of material, energy, manufacturing cost and the avoidance of capital expenditure are some of the principal benefits of this process. This paper is an extension of the previously published report. SAE 850458, which describes P/M components in the automobile. It also includes a new family of parts recently identified by the authors, i.e., sensors used in conjunction with electronics and microcomputers. In addition, progress made in recent years in P/M technology is summarized. This article is written for automotive design engineers to show various new applications of P/M and allow them to take advantage of the potential savings this technology offers.