The South American nation emerged as a candidate to host the WRC earlier this year as the championship aims to form a 14-round 2025 calendar, including two events in the South America region.

The championship currently has a deal in place with Chile which expires at the end of the year, although discussions surrounding a possible renewal are ongoing.

The WRC has also been fielding interest from Paraguay and Argentina, and it is understood that the preference is to select two countries from three South American bids to feature on next year’s schedule.

This week the WRC’s event director Simon Larkin met with the Paraguay president Santiago Pena to discuss the country’s WRC bid.

«We are working for our country to host one of the dates of the World Rally Championship. We spoke with Simon Larkin, promoter of the World Rally Championship, about the country’s potential to host important world-class sporting events,» read a post on the president’s Instagram page.

While a deal is yet to be reached, Larkin confirmed to Motorsport.com that Paraguay is among the championship’s options for next year.

«We have always said that we would like to have two events in South America in the coming years and we are going through a renewal with Chile as their contract runs out at the end of 2024,» said Larkin.

«We are in long-standing discussions with Argentina but without contracts in place, we have to explore every possible option. Paraguay has a thriving national championship and I believe there are around 30 Rally2 cars there and you can see from the number of drivers from Paraguay competing in the WRC itself with drivers like Diego Dominguez and others, it is a relevant market for rallying.

«Rallying is a high-profile sport in Paraguay and of course the president is interested in investigating having a pinnacle event there. The opportunity to present to him was given.

«It is absolutely in the mix to be one of two South American events next year. There would need to be a test event for sure and that is something we would want to have.

«There are contingency plans for that within the national championship, so I think the number of required steps are in place, there just needs to be a bit more discussions and negotiation over a potential deal. We can lay out the options to our board and then we can make a decision.»

The 2025 WRC calendar is likely to feature a new look with the championship already announcing plans to return to Spain, courtesy of an asphalt round in the Canary Islands.

It is likely the championship will include a return to the Middle East with a round in Saudi Arabia as an option, an announcement is expected in the near future.

Ireland has also launched a bid for a three-year deal beginning next year subject to funding with an announcement from the Irish government expected in due course.

«I am in daily contact with the president of Motorsport Ireland [Aidan Harper] and the signs look positive however it just takes a final decision from the government and we are all waiting with bated breath for that,» Larkin added.

The famous Italian manufacturer has been linked with a return to the World Rally Championship following reports in Italian media last year. The marque is the most successful in WRC history winning 10 constructor titles (1974-1976, 1983, 1987-1992).

Lancia is undergoing a revival as an automotive brand under the Stellantis Group and in February it launched its new all-electric Ypsilon hatchback. The marque has now re-launched its HF (high fidelity) brand that featured on title-winning cars; the Fulvia, Stratos and Delta of the past that ran under the HF Lancia Racing Team, founded by Cesare Fiorio in 1963.

The new re-imagined HF logo will appear on Lancia’s high-performance road cars, beginning with a special HF edition of the Ypsilon planned for 2025.

Speaking at the launch of the HF brand, Lancia’s brand CEO Luca Napolitano suggested the manufacturer is looking into a return to rallying, although its full intentions remain unclear at this stage.

“At the occasion of the debut of the movie Race for Glory [a film about Lancia‘s fight with Audi for the 1983 WRC title] in the major Italian theatres, I am delighted to unveil the new HF logo, which will make its debut on the New Lancia Ypsilon HF, before being used on the future high-performance versions of the brand.

“After the presentation of the New Lancia Ypsilon, the first car of the brand new era, today we take another step ahead in the path to Renaissance, to emphasise the brand’s most brutal and radical soul and its commitment to focusing on performance models.”

Lancia HF logo

Photo by: Lancia

He added: ‘Will we return to the Rally? We are working on it.'»

Motorsport.com understands that should Lancia commit to a rally return its most likely option would be in Rally4, with Italian sources suggesting an immediate return via a Rally2 programme as unlikely.  

The Stellantis concern already has two representatives in Rally4: the Peugeot 208 Rally4 and the Opel Corsa Rally4. Both cars are based on the same platform, using the most important common elements (engine, gearbox, suspension concept).

Napolitano’s comments arrive following the FIA’s announcement of widespread reforms for top-level rallying, which includes changes to technical and sporting regulations alongside reforms in the promotion of the championship.

The FIA intends to remove hybrid power from the Rally1 cars and further reduce the performance of the cars through changes to the aerodynamics and the air restrictor to bring them closer to the Rally2 class. The exact details of the proposed aero changes are yet to be confirmed by the FIA.

The world motorsport governing body then wishes to introduce new Rally1 regulations for 2026 based on the current Rally1 car concept. The cars are expected to incorporate a larger spaceframe chassis, produce 330 horsepower and will be capped at €400,000.

It also announced plans to introduce an electric category “at the earliest opportunity”.

Bernard Darniche, lain Mahé, Lancia Stratos HF

Photo by: Motorsport Images