PURPOSE: To provide the manufacturing method of a chip inductor whose inductance value is high and whose reliability is high by a method wherein a coil formed by winding a conductor to which a heat-resistant electrically, insulating coating has been executed and terminals connected to both ends of the coil are wrapped with a magnetic substance formed by kneading a magnetically soft material with a thermoset resin and a thermally hardening treatment is executed.

CONSTITUTION: The manufacturing method of a chip inductor is as follows: a magnetic substance 1 formed by kneading a magnetically soft substance powder with a thermoset resin is molded; a winding bobbin 2 is formed; a coil 5 formed by winding a heat-resistant insulated conductor is housed in a ring- shaped groove part in said winding bobbin; terminals 3, 4 are connected to ends of the coil; and, in addition, the coil 5 and the terminals 3, 4 are covered with a magnetic substance whose composition is the same as that of said winding bobbin 2, molded and, after that, hardened thermally.