SPA-FRANCORCHAMPS, Belgium, Aug 26 – Audi will enter Formula 1 from 2026 with an engine made in Germany under new motor racing regulations, the Volkswagen group brand announced on Friday at the Grand Prix of Belgium.

Audi said it will announce at the end of the year which team it will line up with. It has been in talks with the Swiss-based Sauber Group, whose team competes under the Alfa Romeo name, according to Reuters and other media reports.

Formula 1 will have a new engine from 2026, with the aim of being more sustainable and more profitable in the future, as the Liberty Media-owned competition aims to be carbon neutral by 2030.

“Formula 1 is both a global stage for our brand and a highly challenging development laboratory,” Audi Chairman Markus Duesmann said in a statement to coincide with a news conference at Spa-Francorchamps.

“The combination of high performance and competition is always a driver of innovation and technology transfer in our industry. With the new regulations, now is the right time for us to get involved.”

The new rules from 2026 will bring about increased electrification and the use of advanced sustainable fuel. Engine manufacturers will also be subject to a cost cap from next season.

The Audi engine will be built in Neuburg an der Donau, near the carmaker’s headquarters in Ingolstadt, and an independent Audi Sport subsidiary will be created for the project.

Adam Baker, a motorsports veteran and former employee of Formula 1’s governing body, will serve as executive director of the project.

Its German rival, Mercedes, builds its engine in Brixworth, in central England.

Porsche, another Volkswagen Group brand, is also expected to enter Formula 1 in 2026 in partnership with current championship leader Red Bull.

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