Abstract: An elongated tool for making hooked rugs has a handle at a rear end portion thereof and a small rearwardly-opening hook at its front end. A shank portion extends a distance rearwardly from the hook, and between this shank portion and the handle the tool has a lengthwise extending knife edge. Methods are described for using the tool with coarse-mesh and with fine-mesh base material to produce, in each case, a hooked rug having its tuft defining strands securely interwoven with the filaments of the base material.