In order to investigate the friction behavior of powder during compaction, a new method has been developed. Compaction is a complicated process and direct and continuous measurement of the coefficient of friction is not easy, because the coefficient of friction varies due to changes in such process parameters as pressure distributions, powder surface deformation etc. In this paper, a new device for measuring the coefficient of friction between metal powder particles in contact with the die wall during compaction is presented. Using the conventional methods for direct measurement of the radial pressure during compaction is very difficult. The new device offers the possibility of investigating the normal pressure on the powder particles directly and continuously by keeping the green density constant. The measurements are performed using strain gauges mounted on the upper punch. The upper punch surface in the new device corresponds to the die wall in a conventional press. The sliding velocity, compaction velocity, normal load and temperature can be monitored and controlled. Measurement of the coefficient of friction at low densities is one of the advantages and possible applications of this apparatus. The investigation shows that the powder compaction is controlled by a combination of powder rearrangement and elastic and plastic deformation of particles. At densities below 4 g cm-3 the dominant process is particle rearrangement. No plastic deformation occurs at such low values of density. At densities above 4.5 g cm-3 the plastic deformation of the powder surface in contact with the die wall seems to be completed and the coefficient of friction is more or less constant