A method of increasing coercivity of an Nd—Fe—B sintered permanent magnet includes a step of providing an organic film. A powder, containing at least one heavy rare earth elements, is uniformly deposited on the organic film forming a diffusion source. Then, a sintered Nd—Fe—B magnet block having a pair of block surfaces extending perpendicular to a magnetization direction is provided. Next, the diffusion source is deposited on at least one of the block surfaces with the powder being in abutment relationship with at least one of the block surfaces. After depositing the diffusion source, the sintered Nd—Fe—B magnet block containing the diffusion source is pressed allowing the powder of the diffusion source to be in close contact with the block surface. The diffusion source is then diffused into the sintered Nd—Fe—B magnet block to produce a diffused magnet block. Next, the diffused magnet block is aged.
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