Lancia returns to rallying with Ypsilon Rally2 and eyes future WRC ambitions

Lancia signals its rallying revival with the Ypsilon Rally2, blending heritage with modern engineering as it builds towards a potential return to the World Rally Championship

McKlein, DPPI/Lancia

April 1, 2026

If you were expecting fanfares, ceremonials or a parade of marching elephants – like Verdi’s epic Aida chorus – to celebrate Lancia’s return to rallying, you would have been disappointed. In fact, the only elephant in evidence was the famous elefantino on the HF logo that is synonymous with high performance (or ‘high fidelity’) Lancias: apparently chosen by Gianni Lancia because, once an elephant starts charging, you can never really stop it.

Instead, Lancia’s home on the Monte Carlo Rally – for the first time in 35 years – was a reasonably modest tent, with the only operatic flourish being a flame-thrower (actually a repurposed patio heater) to keep everyone warm in the near-subzero temperatures of the Gap service park.

Lancia Corse service tent with Ypsilon Rally2 being worked on at night rally service area

Lancia made its rally return in Monte Carlo – drivers for ’26 are Nikolay Gryazin, car pictured

Lancia

Those people in their new navy blue Lancia Corse HF jackets were a huge mix – including French engineers, a Russian driver competing under a Bulgarian flag, his co-driver from Kyrgyzstan, and yes, the occasional Italian too.

But what they all have in common is Stellantis: the international conglomerate that counts brands such as Peugeot, Citroën, Opel and now Lancia within its sporting portfolio. To name just a few.

Even though the Stellantis name never even existed before 2021, it inherited a vast legacy of motor sport and specifically rallying, mainly thanks to the exploits of Peugeot, and more recently, Citroën.

Lancia rally car at International Rally of Great Britain finish line with champagne celebration

Harry Källström, hands aloft, after winning the 1970 RAC Rally in a Fulvia HF

LAT Images

This very relevant know-how, allied to the storied history of Lancia, should make for a winning combination. That’s also down to people such as Didier Clément: Lancia Corse HF’s new team principal, best known as the engineer who guided Sébastien Loeb to an astonishing nine WRC titles in different flavours of Citroën.

Once Citroën withdrew from the top class as a factory team at the end of 2019, the focus shifted to customer competition using various iterations of the C3, with the ultimate evolution being the current Rally2 model. All that data has now been condensed into the hopes of a nation, as Lancia makes its long-awaited comeback.

HF Ypsilon Integrale car side with red elephant logo and racing stripes

HF – ‘high fidelity’, with elefantino

“It’s true that we have a bit of knowledge from the past!” jokes Clément modestly. “But this is really just the start of the journey with Lancia. Everything has gone well so far; we’ve got a big test programme planned throughout the year and we can already see areas to improve. Of course, the experience of the whole team is a very important part of that.”

“We have a bit of knowledge from the past! But this is really the start of the journey”

Hundreds of winning rally cars have been built over the years from the Peugeot and Citroën workshops near Versailles, and this is the practical heritage that the latest generation of Lancia is fortunate to be born into. But there’s no doubt that its parents speak French: the 2026 incarnation of Lancia’s Squadra Corse – first seen back in 1963 and founded by Cesare Fiorio to field the gorgeous Fulvia Coupé – has about as much in common with the Italian team that bowed out of the WRC at the end of 1991 as a paper plane does with Concorde. For a start, despite all the hype, there’s been no official confirmation yet that Lancia will be returning to the top Rally1 category – although the hope and expectation is there from every stakeholder in the sport.

Citroën World Rally Team driver and team member in branded gear at rally event

Lancia team principal Didier Clément, left, was formerly with Citroën during the Sébastien Loeb glory years in the WRC

François Flamand/DPPI

For now, Lancia is competing in the lesser Rally2 class: where the cars are a bit slower than the headlining category, but cost less than half the money to buy and run, making them much more appealing to customers. And compared to the extravagant WRC days of the past, when most teams had a fleet of helicopters and it wasn’t unheard of to go Safari testing for three months, modern motor sport has to pay its way. For that, economies of scale are important. Which is why there are inevitably some similarities and common philosophies between the Rally2 versions of the Lancia Ypsilon and Citroën C3.

Clément and the Stellantis technical team can’t after all ‘unlearn’ the knowledge they have gained from other cars over the years, and it makes absolute sense to share resources – just as the group also does with all its road cars.

Purists might hate how the Lancia Rally2 is built in Satory, near Versailles, but while there are some shared parts with the C3 (particularly when it comes to the engine and gearbox architecture) there are equally many points of difference.

At the heart of those are the diverse platforms that the two equivalent road cars are based on. The new Ypsilon uses the latest Stellantis CMP basis, whereas the C3 traces its lineage to what was originally the PSA Group’s PF1 platform dating from the early 2000s. A lot of evolution has happened since then, with the result that the newer car has a much lighter chassis and superior packaging – which translates into a distinct advantage on the stages.

Lancia rally car driven by Yohan Rossel racing through snowy forest at Monte Carlo Rally

Yohan Rossel

While the C3 and Ypsilon are quite similar to drive – both conforming to a tight framework of Rally2 regulations – the Lancia is said to feel more ‘alive’, with a sharper turn-in and improved dynamics, influenced by factors such as better base aerodynamics and optimal weight distribution.

“In Rally2 cars are a bit slower than the headlining category”

Moscow-born factory driver Nikolay Gryazin, who also has plenty of experience of the C3, points out: “There’s no one particular area where I would say the Ypsilon is strongest. It’s just very good in every aspect, very easy to drive, and that adds up to a really nice all-round package.”

Lancia rally car kicking up snow on mountain road during winter rally

 

Bastien Roux/DPPI

As Eugenio Franzetti, the director of Lancia Corse, explains: “What this car definitely isn’t is a reworked Citroën. There will always be people who like to say things like that, but it simply isn’t true. This car was independently designed by Stellantis Motorsport, built in Satory, and tested on our circuit at Balocco in Italy, as well as on real mountain roads. It’s a team effort.”

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This is the multinational spirit in which the Lancia squad has been created, and it has enjoyed unprecedented commercial success. When the two-wheel-drive Rally4 Ypsilon was announced in 2024, used for the Lancia Trofeo promotional series in Italy, 120 examples were immediately sold, leaving the championship massively oversubscribed.

At the end of last year, the Rally2 car was announced, with 30 orders immediately placed. And they are still coming, with the first customer cars being delivered throughout the opening quarter of this year.

Contemporary Lancia Integrale rally car under dramatic indoor lighting

 

Mklein, Lancia

Lancia Ypsilon Rally2 HF Integrale

Engine 1.6 litres turbocharged petrol, four cylinders
Chassis B segment Stellantis common platform
Power 287bhp
Transmission SADEV five-speed sequential gearbox, manual, 4WD
Suspension MacPherson struts on four corners, long-travel rally dampers
Weight 1230kg

“It’s been the sort of success that really shows how passionate people still are about Lancia and its huge history in the sport,” says Franzetti. “We always expected a strong reaction, but the sheer level of interest was maybe even beyond our expectations.”

“It’s good in every aspect, easy to drive, and that adds up to a really nice all-round package”

Lancia has also just announced a new Rally6 version of the Ypsilon – a grassroots, heavily production-based model – so now it’s just the very top of the pyramid still missing. That provides the most intriguing question mark of all, with the WRC rules completely changing next year: essentially moving away from production-based complete bodyshells to spaceframe chassis with bespoke bodywork.

Lancia rally car drifting on asphalt road with sponsor logos and driver names

The Ypsilon – popular with privateers

It’s almost a Group B philosophy, albeit with tighter controls, safety levels and some sort of equivalency formula to balance potentially different drivetrains. The idea is to open up the championship to as many different manufacturers (or tuners) as possible, by removing barriers to entry and cutting costs. Where Lancia fits into this exactly remains to be seen, but there’s an air of reserved optimism in the team.

The final decision, of course, will have to be signed off by a Stellantis board and it’s highly unlikely that they get too sentimental over memories of Markku Alén and Martini stripes (although there’s a nod to that illustrious heritage with the current livery).

Person in fur hat and Hurlingham coat outdoors in cold mountain setting

Ex-sporting boss Ninni Russo

For now, the plan is to compete in 2026’s WRC2 championship as a factory-entered team – the feeder series to the top that was won last year by Toyota’s Oliver Solberg before he was promoted to the Rally1 team and got off to a winning start in Monte Carlo.

The trajectory is clear, but a lot needs to happen before Lancia can even think about emulating a similar graduation. The team’s last overall WRC win (as a factory squad) was the 1991 RAC Rally with Juha Kankkunen, although the Delta continued to be run on a semi-works basis by Jolly Club for the next two years, with the final victory for the brand being Sanremo in 1992. That will be exactly 35 years ago next year, a nice round number that augurs well for those who like symmetry.

Lancia Delta Integrale with Martini Racing livery sliding on gravel rally stage with crowd watching

A last WRC win for the marque came at the 1992 Sanremo Rally

One man who has seen it all is Lancia’s legendary former sporting director Ninni Russo, who was there for the heyday, and has now witnessed the rebirth.

“At first I was sceptical – the return of Lancia to rallying is something that’s been talked about for years but never come to fruition,” he says. “But then people like Miki [Biasion] got involved, I started to believe, and now hats off to the team in Monte Carlo. If I had one wish, it would be for Lancia to be more Italian. If the team can capture the creativity and way of working that we once had – which might be impossible under the current corporate structure – then yes, everything is possible. Only time will tell.”

“We have a bit of knowledge from the past! But this is really the start of the journey”

 

Driver and co‑driver in racing suits focusing inside rally car cockpit

There were stage wins for Rossel, pictured, nearest, and Gryazin

Nikos Katikis

‘The car wasn’t the problem’

Lancia Corse HF personnel have their say on the WRC2 opener

Lancia Corse HF director Eugenio Franzetti explained that the team wanted to take “no risks” with the drivers for the Ypsilon’s debut, hence the choice of two Stellantis stalwarts: Yohan Rossel, who had won the WRC2 category in Monte for three years on the trot between 2023 and 2025, always in a Citroën; and Nikolay Gryazin, with 20 WRC2 podiums behind him.

So it was something of a shock when Rossel clipped a wall and broke the suspension of his Ypsilon on Thursday night’s first stage. Never mind… Gryazin won the stage and took the WRC2 lead – before he too clouted the rear of the car on the following stage, losing nearly a minute.

From there, it was always going to be an icy uphill struggle for both Lancias in Monte Carlo, but Gryazin managed to fight his way back into contention for the lead before going off again on Saturday.

Sunday was redemption. In tricky conditions, Rossel won all four stages in the WRC2 category, placing the Ypsilon in the top five overall on each occasion.

The end result was mastery of the ‘Super Sunday’ classification, and Lancia coming home from Monaco in the lead of the WRC2 manufacturers’ standings, having clinched eight out of a possible 17 stages in class. The final score was seven for Rossel and one for Gryazin, who finished ninth and sixth in class respectively.

Race car driver in Sparco suit and Bell helmet inside rally cockpit

On a chaotic outing in Monte Carlo’s snow

Nikos Katikis

“We expected to be quick, and in that respect we weren’t disappointed,” said Rossel, who suffered the ignominy of seeing his younger brother Léo win the WRC2 class overall in a Citroën C3. “It’s clear that the car wasn’t the problem this weekend.”

Gryazin echoed his sentiments, but added: “This was the most difficult Monte Carlo I’ve ever driven. With snow that was turning into slush, we were a passenger, but I’m happy we were able to fight back and challenge for the win. The speed was good.”

Monte, being as famously fickle as the roulette wheel in the casino, doesn’t mean too much – but judging from the overall pace of the Ypsilon, it will be a force to be reckoned with in WRC2. That might tip the Stellantis board into giving graduation to the top a green light.

Smiling person wearing Lancia Corse cap in sunlight

Now in his late sixties, Miki Biasion was Lancia’s finest in the Delta Integrale era

Trunk of memories

Lancia’s champion Miki Biasion on his love of the late Sandro Munari and an elephant rescue

The poster boy for Lancia’s return is Miki Biasion, 68, the most successful driver in the marque’s history with two world titles (1988 and ’89) and 17 rally wins (all but one with Lancia).

“For me, it’s very emotional, because Lancia has been my life, my story,” says Biasion, whose attachment to the brand means that he is also the owner of a rare Fulvia Safari HF, a car he cherishes as the only Italian ever to win the Safari (two years in succession in a Delta).

“I grew up watching Sandro Munari drive the Fulvia, with the sort of skill nobody else could match,” he adds. “It was then I knew I wanted to be a Lancia rally driver. If you’re a young Italian dreaming of becoming a racing driver, you want to drive for Ferrari. If you’re dreaming of becoming a rally driver, you want to drive for Lancia.”

Now that dream lives again – and not only for Italians.

Biasion was involved in the early development of the rally Ypsilon, although his feedback was more on a general level. “Most of the serious testing was done by the active drivers,” he says. “But I always felt a sense of duty to Lancia. To see the name come back is just wonderful.”

Because the elephant never forgets – and there’s a good reason why. In 1991, Biasion was accosted by a tribal chief during one Safari Rally recce. The man motioned to Biasion to come with him to a swamp, where a baby elephant had got trapped. Biasion and team-mate Jorge Recalde worked for hours to free the elephant with a recce vehicle, and gradually dragged it out.

One elefantino’s life was saved. And the other went on to conquer the world.