Purpose In semi-analytical modeling of spoke-type permanent-magnet (PM) machines (STPMM), the saturation effect is usually neglected (i.e. iron parts are considered to be infinitely permeable) and the PM magnetization is assumed tangential (i.e. magnetization pattern is considered to be tangential-parallel). This paper aims to present an improved two-dimensional (2D) subdomain technique for STPMM with the PM magnetization orientation in quasi-Cartesian coordinates by using hyperbolic functions considering non-homogeneous Neumann boundary conditions (BCs) in non-periodic regions and by applying the interfaces conditions (ICs) in both directions (i.e. t- and θ edges ICs). Design/methodology/approach The polar coordinate system is transformed into a quasi-Cartesian coordinate system. The rotor and stator regions are divided into primary subdomains, and a partial differential equation (PDE) is assigned to each subdomain. In the PM region, the magnetization orientation is considered in the equations. By applying BCs, the general solution of the equations is determined, and by applying the ICs, the corresponding coefficients are determined. Findings Using the proposed coordinate system, the general solution of PDEs and their coefficients can mathematically be simplified. The magnetic field and non-intrinsic unbalanced magnetic forces (UMF) calculations have been performed for three different values of iron core relative permeability (200, 800 and ∞), as well as different magnetization orientation values (135 and 80 degrees). The semi-analytical model based on the subdomain technique is compared with those obtained by the 2D finite-element analysis (FEA). Results disclose that the PM magnetization angle can affect directly the performance characteristics of the STPMM. Originality/value A new model for prediction of electromagnetic performances in the STPMM takes into account magnetization direction, and soft magnetic material relative permeability in a pseudo-Cartesian coo