Can Hyundai challenge Toyota in WRC 2026?

After coming agonisingly close to a drivers' and manufacturers' double title success in 2024, Hyundai found itself resoundingly beaten by rivals Toyota in the World Rally Championship last season, winning just two rallies (Greece, Saudi Arabia) compared to Toyota’s tally of 12 wins.

Hyundai's 2025 struggles can be pinned on a number of variables. The squad heavily invested in an ‘Evo’ version of its i20 N, and while it made strides on fast gravel rallies its operating window was narrow. The car particularly struggled on asphalt, and when conditions became bumpy and slippery. The introduction of a new control tyre in Hankook only added to the challenge in unlocking consistent speed from the car. Hyundai’s resources being stretched by its decision to prepare a factory programme in the World Endurance Championship, under the Genesis brand, played a part, with all this unfolding while the team relocated to a new base in Offenbach, Germany.

Last season was just as hectic away from the stages as it was on them for Hyundai. But now it appears the Korean brand has addressed much of what hampered its 2025 campaign in recent months, and is reinvigorated for the 2026 season, which begins in Monte Carlo this week.

“I personally feel the team is in a much stronger position, as in, the team is good and everyone knows that," said Hyundai sporting director Andrew Wheatley. “The people in the team are working incredibly hard but I think we have a feeling of a positive energy around how we move forward.”

When asked if Hyundai can challenge for the titles this year, Wheatley added: “I think we can definitely challenge, but if you make one wrong decision here [in Monte Carlo] it has knock-on consequences, and here it is not a lottery, but not a forgone conclusion. We need to make sure everyone does what they need to do.”

Changes have been made to the Hyundai i20 N Rally1

Why Hyundai believes it's in a stronger position

Understanding how to maximise the ‘Evo’ i20 N has been a key objective, and for 2026 Hyundai hopes it has at least found answers to how it can expand the car’s operating window, especially on asphalt.

A clear development strategy has been devised, led by technical director Francois-Xavier Demaison, has resulted in Hyundai making key improvements to the i20 N for this season. One homologation joker has been spent upgrading the gear ratios to compensate for the loss of hybrid and the introduction of a smaller turbo restrictor, an upgrade it was unable to make last season, having committed to the ‘Evo’ car upgrade.

The second homologation joker has been used to address the stability of the i20 N’s front end to make it more predictable and less nervous.

“I’m delighted [with how the car has progressed],” said Wheatley.

“We know the performance of the car is good, we know that it is about how much we understand it, that operating window. The design team and the test team have done an incredible job, and I have to say FX has really worked incredibly hard over the last three months to understand how we can make sure we improve the package we have got, and optimise the jokers that are available. We know that this is the last year of development for the Rally1 car and we have done a really good job.

“The intention is to try and make the car more predictable in a wider window and the gear ratios helps the car in conditions when they [the drivers] don’t 100% know the road, it makes the car a bit more flexible. It [the upgraded to the front end] is part of the suspension, but it is a whole package. There are a number of parts that are part of the same joker and it gives them a little bit more stability. It is to make the window a bit wider.”

Hyundai and its rivals have been busy working on their cars in the off season

Likewise, rivals and reigning champions Toyota have also been busy during the off-season upgrading the GR Yaris’ suspension and its aerodynamic package, with the most notable update being a tweaked rear wing.

However, in order to be in the best shape possible for the new season, Hyundai has spent 16 days testing since the end of Rally Saudi Arabia in November last year. This has not just been focussed on the Rally1 car, with its drivers also testing the i20 N Rally2 car to further help its understanding on the Hankook tyre, and with one eye the new technical regulations that are more aligned with Rally2 and will take centre stage in 2027.

Hyundai has also relocated its permanent test base from Finland’s gravel roads to France, where it has access to gravel and asphalt roads.

“The 16 [test] days are an interesting split. We did some [work] with the Rally2, which was just pure focus on tyres, and we have done as many kilometres as we possibly can. The change of the permanent test base has been quite useful and particularly for [new signing] Hayden [Paddon] because without that base, having both tarmac and gravel roads, Hayden would be potentially limited," added Wheatley.

“Everybody is at a point where they know where they are. We know this rally [in Monte Carlo] is going to be difficult, one degree of air temperature can make a big difference in this rally, but fundamentally we are ready.”

Thierry Neuville is hoping to leave his frustrations in 2025

The verdict from the drivers

Monte Carlo’s challenging asphalt stages will provide the perfect litmus test to understand how the work in the off-season has improved the i20 N Rally1 package.

Thierry Neuville cut a frustrated figure for much of the 2025 campaign after struggling to adjust to both the ‘Evo’ car and the new Hankook tyres. The 2024 world champion is confident steps forward have been made, but the Belgian feels the car still has inconsistencies that prevent him from feeling 100% confident to attack.

“There is no doubt the team has been working very hard. There was no break for them and they have impressed us this week with the testing and the organisation, so it has been a massive job. But [in] the end, performance-wise, we have to find out,” said Neuville.

“Honestly, if I was to say I feel confident [behind the wheel] I would be lying a bit. I feel we have made some steps on the areas where we didn’t feel confident enough. Generally, I am still missing a bit of feeling I used to have to attack in conditions especially like those here. Driving fast is ok but attacking is a different story and I feel it is still too inconsistent, too many surprises.

“I’m sure the car can go fast but you need to be able to go fast all of the time everywhere, so therefore you need a lot of confidence and good feeling. It is something I was struggling a bit in testing, but let’s see.

“I’m optimistic it will be a better year than last year in terms of results and performance, but will it be good enough for me to find the confidence I have had in previous seasons immediately from the start of the season, I don’t know.”

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Neuville’s full-time team-mate Adrien Fourmaux, who impressed during his first season with the squad last year, exuded more confidence when asked about the 2026 package at last weekend's season launch.

“It has been a very short time off, I would say, between the two seasons – but we have been working a lot on the car before Monte Carlo, which is quite good,” said Fourmaux.

“The area we wanted to work on was on the bumpy, tricky conditions and it seems to have improved the potential of the front, but also it has calmed the front of the car and made it a bit less nervous. It is very positive, so I'm looking forward, and already from testing in Devoluy I felt the car was much easier to drive and this is important in Monte Carlo when the conditions become tricky."

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