Abstract: The invention relates to the filed of powder metallurgy. A steel is disclosed, which is compacted from a powder mixture by means of pressure and heat, its microstructure arising mainly from two components, the first of which being austenitic (e.g., Hadfield manganese steel) and the second being an essentially martensitic component rich in hard precipitates. The austenitic microstructure is more ductile than the martensitic, and it effectively prevents the propagation of microscopic cracking. Thus, the material is suitable for use in wear parts subjected to strong forces, as in, e.g., stone crushers.