A binder for a diamond tool based on mechanically alloyed steel containing 1 percent P and 12 percent Ni is developed. Through liquid-phase sintering of the power-saturated binder at T = 850 deg C it becomes possible to eliminate hot pressing or pressure sintering. The formation of metastable austenite in the structure of the binder is established. A deformation austenite-martensite transformation is observed if a diamond tool with concentration-inhomogeneous Fe-based Ni-alloyed matrice is subjected to friction against an abrasive. The austenite-martensite transformation promotes consolidation of the solid phases. It is established that the specific rate of consumption of the diamonds depends on the extent of the austenite-martensite transformation.
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