Disclosed is an electric power steering apparatus including a steering shaft connected to a steering wheel of an automobile; a reduction shaft adapted to engage with the steering shaft and rotate; a direction sensor having a transmitter and a receiver; a rotation member formed on an end of the reduction shaft and positioned between the transmitter and the receiver; a motor for supplying steering power; a motor position sensor positioned on the motor to sense a rotational angle of a motor shaft; and an electronic control unit adapted to receive electric signals from the direction sensor and the motor position sensor, respectively, and calculate a steering angle. The electric power steering apparatus is equipped with a steering angle sensor adapted to sense an absolute steering angle using a direction sensor for sensing the rotational direction of a steering shaft and a motor position sensor for sensing the rotational position of a motor shaft. This reduces the manufacturing cost of the steering apparatus.