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Automotive engine P/M valve guides running at high rpm and delivering high amounts of power require a high degree of heat and wear resistance. Two new materials have been developed for valve guides which exhibit excellent durability compared to traditional cast iron and current P/M materials. These iron-based materials(Fe-2Cu-2C) in the sintered state showed a uniform particle size free graphite. This property acts as a self-lubricant when the valve guide is in operation. This paper reports the new material properties and durability test results.