Renault’s abandonment of the F1 engine will have consequences on the prices of F2 and F3 engines

French motorsport experienced a turning point this Monday, September 30th. The Renault Group endorsed the cessation of the design and production of its F1 engine for 2026. The end of an era for the French engine manufacturer, a French expertise that has been powering Formula 1 circuits since 1977. Despite withdrawing from the F1 grid between 1998 and 2000, both as a team and an engine manufacturer, the diamond-shaped brand continued to be present during these three years of respite, notably through its subcontractor, Mecachrome.

Engaged in aeronautics and defense, Mecachrome is also heavily involved in motorsport. Its factory, dedicated to this sector in Aubigny-sur-Nère (Cher), develops and assembles engine parts for manufacturers involved in WEC. It is also the site for the development of engines for Formula 2 and Formula 3, as the company has been the exclusive supplier for these competitions respectively since 2005 and 2013. Finally, it has been collaborating with Renault for over thirty years, notably on the assembly of its Formula 1 engines.

A loss of knowledge for Mecachrome.

Apart from the end of the branch dedicated to Formula 1, if Mecachrome does not find new partners, the French company loses a long-standing exclusive partner. The collaboration was so close, so intimate, that it was not limited to just a service. When we had difficulties, Alpine was by our side, and vice versa when they had difficulties. It was a true, long-standing partnership, described by Christian Cornille, CEO of Mecachrome.

The leader told us a few weeks ago that part of Alpine’s employees share workshops with the branch of his company specializing in motor racing, based in Aubigny-sur-Nère. This proves the close link between the two entities. If some may continue to frequent these premises for their collaborations in endurance, there is no doubt that the workshops dedicated to the development of single-seater engines will be somewhat deserted. Naturally, the more the company was frequented by engineers, the more optimal its performance, although not all were directly involved in the development and production of Formula 2 and Formula 3 engines.

A budgetary impact

Beyond the workforce, the diversity of Mecachrome’s activities allowed it to absorb its expenses. « Motorsport was an important activity on which we absorbed fixed costs. It was an activity in which we had workshops that were shared for all motorsport activities », insists Christian Cornille. Less activity means less spending allocation and therefore represents an increase in budgets allocated to the F2 and F3 engine departments. Mecachrome is therefore preparing for a puzzle between seeking partnerships and/or adjusting budgets: « Half of our business is gone. Mechanically, the cost of our produced parts, the cost of the F2 and F3 engines will increase. Now, we need to enter into discussions with our partner [in charge of these competitions] and try to see with them if there is a way to find an economic balance in one way or another. »

Still waiting for Alpine

Mecachrome will have to wait for some time to be able to integrate all the repercussions resulting from Renault group’s decision. Each week, we receive a little more information because, on Alpine’s side, the decision-making process was relatively quick and did not necessarily give their teams enough time to fully understand the consequences, informs Christian Cornille.

The leader is regularly approached by his various clients who are questioning the consequences to come. The economic balance, which was satisfactory before, is no longer now and solutions will have to be found to prevent the French motor racing heritage from disappearing from Formula 2 and 3 championships, as it is already happening in the premier category.

Read also: With the same engine for all drivers, how is driver fairness respected in Formula 2?

A new call for tenders from an engine manufacturer F2 and F3?

It is therefore likely that the contracts with Formula 2 and Formula 3 will be reviewed in the future to allow the company to meet the increase in its fixed costs. The consequence is a possible implementation by Formula 2 and Formula 3 of a new call for tenders for future engines in order to obtain a new pricing evaluation and adjust accordingly.