This paper discusses a new and innovative form of traction sheaves, which can be used in many hoisting applications that are driven with wire ropes in material handling systems. By use of high performance permanent magnets, integrated in the periphery of traction sheaves, a significant increase of driving capacity is achieved. In this special case it concerns high energy magnets consisting of rare earth materials known as NdFeB magnets. These magnets provide a 20 times higher force than conventional magnets. The results of the research show that the driving capacity of traction sheaves with a round groove design can be increased by around 25% through the use of NdFeB magnets. By this means it is possible to combine high driving capacity with low wearout for the wire rope. Conventional traction sheaves with high driving capacity, such as Vgroove sheaves go along with fast wire rope deterioration because of the high local pressure stress on the rope