Volkswagen Will Soon Decide On The Possibility Of Audi And Porsche Returning To F1, If Synthetic Fuel Is Approved

JAKARTA - Volkswagen, as the owner of Audi and Porsche, is likely to give the green light for the two car brands to enter the Formula One motor racing competition at next week's meeting. This was revealed by two sources familiar with the matter said on Thursday, March 31.

"Hopefully we can communicate our intention to get into Formula One by then," said one of the sources, as quoted by Reuters. Even a second source adds there is a "good chance" of a positive decision.

Meanwhile, Volkswagen declined to comment on the news. The news was first reported by Business Insider.

There has been talk for a long time about Audi and Porsche forming a strategic partnership with the existing Formula One team. This is the way they are most likely to re-enter the top competition of international auto racing.

While Audi and McLaren denied reports last year that a partnership between the two brands had formed.

Audi will offer about 500 million euros (IDR 7.9 trillion) for McLaren, a source said. While Porsche intends to build a long-term partnership with the Red Bull racing team over the next few years.

Volkswagen had never previously been involved in Formula One but has worked closely with Red Bull, most notably in the world rally championship.

McLaren Racing's chief executive, Zak Brown, told Reuters the Formula One team was "definitely not for sale" and was not seeking further equity partners. McLaren has been using Mercedes engines all along but that could change when the sport introduces a new power unit in 2026.

Brown said there have been several "very early" conversations with VW in the past but nothing has been agreed to so far.

"If they decide (to come in) then there are conversations to have but at this point, we don't want to have any conversations until we know someone is committed to the sport," he added.

A source told Reuters in November that Volkswagen's final decision would depend on whether Formula One follows through on its plans to switch to synthetic fuels by 2026 and on McLaren's progress on the electrification of its vehicles.

Volkswagen has invested most of the global automaker so far in the production of electric vehicles and batteries in a bid to clear its image of the Dieselgate emissions scandal and stay in line with the government's carbon reduction targets.

The decision comes as Volkswagen grapples with uncertainty over the impact of Russia's invasion of Ukraine on its finances, which will also be discussed at a meeting next Thursday.