Hyundai issues WRC exit threat over 2027 regulations

Hyundai is unwilling to commit to staying in the World Rally Championship in 2027 unless the regulations are changed to incorporate more sophisticated powertrain technologies.

The current Rally1 cars will be replaced by ‘WRC27’ machines in a little under two years, marking a major shift for the FIA-sanctioned series.

While the exact regulations are yet to be finalised, the WRC has already revealed the cars will be built to spaceframe chassis and follow a cost cap of €345,000.

The series also wants to offer flexibility regarding the choice of power units, with hybrid systems and electric motors being allowed under the rules.

However, as things stand, manufacturers will be required to run internal combustion engines running on sustainable fuels in 2027, with hybrid and fully-electric technologies only being allowed from a “later stage depending on future developments.”

The WRC has already dropped its spec hybrid system from the ruleset in 2025 and ‘26.

The lack of choice regarding the power unit is forcing Hyundai to reconsider its future in the WRC, according to technical director Francois-Xavier Demaison.

“We would like to build a car for the future,” Demaison told DirthFish. “But we’re not fully happy with the 2027 rules.

“I mean with the current [proposed 2027] rules, it’s difficult for us to make any decision. A full ICE car is not really what a manufacturer like Hyundai is ready to promote through rally.

“[Drivetrain] is the main issue. The rest we are quite OK [with]. I think we all have to agree now that flexibility with the chassis and not having to start from, let’s say, a road car body shell, it gives more possibility and flexibility.

“I think we should try to have more diversity, that we don’t get the same cars, optimised just because of performance. So yes, we would be happy to see a bit different type of cars entering WRC and then, yeah, maybe a sort of equivalence of performance to allow everybody to be able to fight for wins.”

Hyundai’s future in the WRC has been under doubt for some time.

The Korean manufacturer has only pledged its involvement until the end of the current season, meaning its participation in the final year of the current rule cycle is also not guaranteed.

Speculation about a potential Hyundai exit from the WRC has also intensified since its luxury arm Genesis announced plans to enter the World Endurance Championship in 2026 (and the IMSA SportsCar Championship in 2027) with an LMDh prototype.

Asked if Hyundai would remain in the WRC in 2027 if internal combustion engines remain the only choice of power, Demaison said: “Another problem is ’27 is too early for us. I mean, not only for us.

“This car is a cost-cap controlled car, which means the validation, the design process is much longer for this type of car. You design a car for full performance, but you also have to integrate the cost. And you normally do a few loops of design to get within the cost.

“Let’s say you define a budget for parts and you have to find a solution, and this takes time. So we don’t have the time now to design and build this car and test it sufficiently to start a five-year homologation period.

“It’s crazy to start a long cycle of homologation without proper testing and validation.”

Hyundai stressed that it wants more powertrain options in 2027, as running a car with a naturally-aspirated or turbocharged engine is not very appealing to its board.

“We want more technology on the powertrain, and even more on the rest of the car, but it needs to be more than just a basic ICE car,” Demaison said.

“It’s difficult to ask Korean bosses to invest a lot of money in a championship where you can’t promote anything. Promoting your road car and your technology is something very important for Hyundai.

“We’ll not make any decision before we know where the WRC is going. So if the FIA believes that it’s important to have Hyundai in the boat [they need to change something].”