Conventionally, using soft magnetic composite in the motor is difficult because hysterisis loss is very large. However, the hysterisis loss of soft magnetic composite is improved in the present technology, so the improvement of efficiency is expected. In addition, iron loss in the PWM driving is greatly affected by the eddy current loss, so reduction of iron loss can be expected by soft magnetic composite which has the small eddy current loss. In this paper, influence on motor characteristics of multi-pole surface PMSM (SPMSM) by a soft magnetic composite and loss of the motor by the PWM drive are discussed. As a result, it is revealed that the iron loss was reduced by using soft magnetic composite in the normal driving range.