Abstract: A dust core consists essentially of ferromagnetic powder; and an insulating binder, in which the ferromagnetic powder is dispersed; wherein the insulating binder is a silicone resin comprising a trifunctional alkyl-phenyl silicone resin and optionally containing an inorganic insulator such as an inorganic oxide, carbide or nitride. Preferably the alkyl-phenyl silicone resin is a methyl-phenyl silicone resin and comprises about 20 to 70 mol % of trifunctional groups. The dust core can be produced by pressure-molding a ferromagnetic powder, a lubricant and a trifunctional alkyl-phenyl silicone resin binder and heat treating the molded core at a temperature in the range of about 300 to about 800° C. for a time period in the range of about 20 minutes to about 2 hours in a non-oxidizing atmosphere. The dust core has high magnetic permeability representing the direct current superimposition characteristics, has reduced core loss and has increased mechanical strength.