Abstract: The process of seeking for superior quality iron powder since the 1970s has heen reviewed from the view point of production developerment. The peper has briefly summerized the main reason and experience in application of water-atomized iron powder in the plant for many years and the statue of successful application in the production of σ=6. 8g/cm³ textile machinery P/M parts. The practics shows that the application of water-atomized iron powder is an effective way of optimizing technologies and continuously approving the properties of perts.