These tags are made of a strip of amorphous metal (metglas) which has a very low magnetic saturation value. Except for permanent tags, this strip is also lined with a strip of ferromagnetic material with a moderate coercive field (magnetic "hardness"). Detection is achieved by sensing harmonics and sum or difference signals generated by the non-linear magnetic response of the material under a mixture of low-frequency (in the 10 Hz to 1000 Hz range) magnetic fields.

When the ferromagnetic material is magnetized, it biases the amorphous metal strip into saturation, where it no longer produces harmonics. Deactivation of these tags is therefore done with magnetization. Activation requires demagnetization.

The EM systems are suitable for libraries to protect books and media. In the retail segment, unlike AM and RF, EM can protect small or round items and products with foil packaging or metal objects, like cosmetics, baby milk cans, medicines, DIY tools, homeware etc. EM systems can also detect objects placed in foil bags or in metal briefcases.