Why did Mitsubishi stop the WRC?

Mitsubishi ceased its factory World Rally Championship program after the 2005 season, signaling a strategic shift away from top-tier rallying toward more core business priorities and other forms of motorsport. The move effectively ended factory involvement in the WRC from 2006 onward.

Context: Mitsubishi’s WRC journey and its peak

Mitsubishi’s WRC era began in earnest in the 1980s and flourished in the late 1990s, with the Lancer Evolution becoming an iconic rally weapon. The period yielded standout performances, including Tommi Mäkinen’s four consecutive drivers’ championships from 1996 to 1999 and a string of rally wins that solidified Mitsubishi’s reputation in the sport. As the 2000s unfolded, competition intensified, costs rose, and the program faced tougher financial and strategic considerations.

Milestones that defined the era

• Tommi Mäkinen’s four straight drivers’ championships (1996–1999) driving the Mitsubishi Lancer


• WRC-era evolution of the Lancer Evolution into a dominant rally car in the late 1990s


• Continued factory involvement through the early to mid-2000s amid growing global competition and costs

These milestones underscore both the high point of Mitsubishi’s WRC program and the long arc of its evolution before the decision to withdraw was made.

Why the program ended: Key factors behind the withdrawal

Several intertwined factors pushed Mitsubishi to retreat from the WRC after 2005. A concise look at what editors and analysts have cited over the years helps explain the strategic decision.

• Escalating costs of running a competitive factory WRC program, including research, development, testing, and logistics


• Mounting difficulty achieving top results as rivals intensified development and the competition landscape shifted


• A strategic refocus on core road-car business and other Mitsubishi motorsport activities, such as endurance events and regional programs


• Corporate financial pressures and a portfolio review that favored investments with clearer short- to mid-term returns


• A broader push to allocate resources toward new technologies and product development in a rapidly evolving automotive market

Taken together, these factors made maintaining a factory WRC effort financially and strategically untenable for Mitsubishi at that time.

What happened after the withdrawal from the WRC

In the wake of pulling out of the WRC, Mitsubishi redirected its motorsport focus and resources. The official factory WRC program ended, and the company continued to engage in other forms of rallying and endurance competition through its Ralliart division or allied partners, most notably in events like the Dakar Rally with the Pajero/Montero. Private entrants occasionally fielded Lancer handles with varying levels of factory support, but there was no return to factory WRC competition in the following years.

Beyond WRC: where Mitsubishi’s rally heritage shown up next

• Continued involvement in non-WRC rallying and endurance events via Ralliart or sanctioned teams


• Emphasis on leveraging rally heritage to inform road-car technology and marketing


• A shift in focus toward mainstream production models and newer technologies in the ensuing years

These outcomes reflect how Mitsubishi preserved its rally DNA through other channels while deciding not to compete at the factory level in the WRC again.

Legacy and impact of the decision

The decision to exit the WRC marked a turning point for Mitsubishi’s global motorsport strategy. It closed a chapter that had delivered memorable triumphs, iconic cars, and lasting brand associations with precision engineering and performance rallying. The era’s legacy lives on in the enthusiast community and in how Mitsubishi’s road cars historically drew inspiration from its rallying prowess.

Summary: Mitsubishi’s withdrawal from the WRC was primarily a strategic and financial decision shaped by rising costs, intensifying competition, and a realignment of resources toward the company’s core business and other motorsport programs. The WRC chapter closed after the 2005 season, with Mitsubishi refocusing attention on production models and alternative racing avenues, leaving a lasting imprint on the brand’s engineering ethos and rally heritage.

Why was Subaru banned from WRC?

Subaru left the World Rally Championship (WRC) after the 2008 season due to the global financial crisis which made the program too expensive. Additionally, the parent company, Fuji Heavy Industries, felt that Subaru had already achieved its marketing and sporting objectives for the WRC program.
 
You can watch this video to learn about the real reason Subaru left the WRC: 29sCar Problems FixedYouTube · Jul 21, 2025

• Financial crisis: The 2008 economic downturn forced many car manufacturers, including Subaru, to cut costs. 
• Marketing objectives met: Subaru's parent company stated that the company had reached its sporting and marketing goals, particularly in raising brand awareness for its all-wheel-drive technology. 
• Other factors:
  • Recent seasons had been disappointing, with no rally wins since 2005. 
  • A change in WRC technical regulations for 2010 would have required developing a new car, adding to the costs. 

This video explains the rise and fall of the Subaru WRC team: 49sOnlyaMK3YouTube · Nov 29, 2022

Why did Mitsubishi stop making Evo?

Mitsubishi stopped making the Lancer Evolution primarily due to financial constraints and a strategic shift toward SUVs and crossovers. The high development costs for the low-volume, high-performance Evo were a significant factor, and the company chose to focus on the more profitable SUV market instead. Additionally, the decline of rallying as a marketing tool and the industry-wide pivot towards electrification also played a role. 

• Financial priorities: Mitsubishi was facing financial difficulties and decided to focus resources on its more popular and profitable SUV and crossover lineup, such as the Outlander and Outlander PHEV. 
• Market demand: The demand for high-performance, sedan-based rally cars had declined compared to previous decades. 
• Shift to electrification: The automotive industry is moving towards hybrid and electric vehicles, and Mitsubishi has stated that any future high-performance model, if it were to return, would likely be electric or plug-in hybrid. 
• Lack of a direct successor: The company did not develop a direct successor to the Lancer platform for the Evo line. 

Did Mitsubishi ever win the WRC?

The LANCER EVOLUTION was packed with technology inherited from many years of rally participation. It reached its zenith by winning four consecutive World Drivers' Champion titles from 1996 to 1999.

Why did Mitsubishi leave the WRC?

Mitsubishi pulled out before Subaru, primarily due to a restructuring and re-evaluation of their organization as a whole. They had said at the time that they would look to revisit a few years later, but with the economic situation at the time they presumably came to a similar conclusion that Subaru did.