In this paper, a novel rotor-permanent magnet flux-switching (RPM-FS) brushless machine is proposed, in which the magnets are removed from stator as in the conventional stator-PM flux-switching (SPM-FS) machines to rotor with a unique magnetization direction, and three-phase concentrated armature windings are remained in stator. In addition to the introduction of the topology and operation principle of the RFS-PM machines, the electromagnetic performance of this kind of machine is investigated and optimized by conventional two dimensional (2-D) finite element methods (FEM). Furthermore, to evaluate the merits and demerits of RPMFS machines, a comprehensive comparison between a RPM-FS machine, a conventional SPM-FS machine and an interior permanent magnet (IPM) machine used in the hybrid electric vehicle (HEV) named Prius 2004 is conducted, where the three machines have the same stator outer diameter, stack length and DC-link voltage. The predicted results indicate the proposed RPM-FS machine exhibit the largest torque capability, lowest torque ripple, and is especially suitable for EV and HEV applications.