A contactor utilizes a non-saturating current transformer for sensing the amount of current flowing in the electrical conductor connected to the contactor. The current sensor is made of homogeneous sintered powdered metal having evenly distributed microscopic air gaps therein which increase the reluctance of the magnetic circuit but resist the influence of stray magnetic flux. This increased reluctance prevents magnetic saturation over a wide range of input current and allows the secondary of the transducer to produce a voltage which is proportional to the derivative of the primary current, that is the current being sensed by the transducer. The aforementioned voltage is linearly proportional to the derivative of the current over a wide range of primary current values. This voltage is integrated to produce an output signal which is directly proportional to the aforementioned primary current over the wide range of current values.