Lancia Y Rally 2 spotted testing on the streets

The New Lancia Y Rally 2 model spotted during the first tests on wet asphalt, driven by the French driver Yoann Bonato, accompanied by his trusted co-driver Benjamin Boulloud.

What Lancia is about to do feels like a true blessing for the many enthusiasts of the brand—especially for those who witnessed the final rally appearances of the Turin-based company back in the 1990s. What was once just a rumor has now become official news after recent sightings: Lancia is developing the new Y Rally 2.

The brand had already tested the waters in recent months with the launch of the Ypsilon Rally 4 HF, developed under the careful supervision of Miki Biasion, World Rally Champion in 1988 and 1989. The new car quickly caught media attention, seen as a potential sensational return to global rally competition after the official Lancia team withdrew in 1992. The following year, a few Delta models were entered by private teams such as Jolly Club.

The Lancia Y Rally 2 engine

The new all-wheel-drive car could make its competition debut as early as 2026, possibly replacing the aging Citroën C3 Rally 2. The engine is likely to be the same 1.6-liter turbocharged 4-cylinder (1,598 cc) producing 280 horsepower, as per FIA Rally 2 regulations. It will feature 420 Nm of torque, AWD, and a 5-speed sequential gearbox. Interestingly, this car will need to comply with the upcoming regulation changes set to take effect in 2027 for new entries in the World Rally Championship.

Lancia’s entry into the World Rally Championship will surely boost the brand’s sales and visibility. Although the Lancia Y managed to hold its ground in 2024 with 24,000 registrations in the first half of the year, the new model launched during 2024 faced initial challenges due to its price being perceived as too high, resulting in only 3,900 registrations—of which 500 were of the electric version.

Now, we just have to wait and see how this model develops, depending on which championships it will enter. Taking it step by step, the European Championship could be a great starting point to gain experience and valuable mileage for fine-tuning. Then, in 2027, Lancia could make a strong comeback with one of the most anticipated returns in the WRC championship.