Toyota Gazoo Racing has officially confirmed the Celica name for its upcoming rally programme, strengthening expectations of a new road-going sports coupe with advanced performance technology.
Toyota is preparing to bring back one of its legendary sports car names, with the Celica officially confirmed for a return to the World Rally Championship (WRC) in 2027. The announcement has fuelled expectations that a new production version of the iconic coupe could also be in development.
Toyota Gazoo Racing (TGR) has revealed plans to compete with two cars during the 2027 WRC season. Alongside the existing GR Yaris Rally1, the team will introduce a new GR Celica Rally1, marking a major development in the revival of the historic nameplate.
Although the announcement concerns a rally vehicle, it provides the strongest indication yet that Toyota has selected the Celica name for its upcoming performance project. Previously, speculation had suggested the company could revive either the Celica or MR2 as part of its expanding sports car lineup.
New Toyota Celica Could Feature Mid-Engine Configuration
The upcoming road-going Celica could break away from its traditional design philosophy. Reports and recent prototype sightings suggest Toyota may be developing a mid-engine sports coupe rather than following the front-engine layout used throughout the model’s previous seven generations.
A prototype spotted testing near Fuji Speedway in Japan featured a low-profile body, prominent air intakes behind the doors and proportions indicating a possible mid-engine configuration.
Toyota previously showcased the GR Yaris M Concept at the 2025 Tokyo Auto Salon, providing an early glimpse of its mid-engine development programme.
Powerful Turbocharged Engine Expected
The production Celica is reportedly being developed around Toyota’s new G20E 2.0-litre turbocharged four-cylinder engine. The powertrain could potentially incorporate hybrid technology and an all-wheel-drive system.
The engine is expected to replace the existing 1.6-litre turbocharged three-cylinder unit used in the GR Yaris and GR Corolla. Toyota has previously indicated that performance applications could deliver between 300kW and 340kW.
However, the mechanical specifications of the road car remain unconfirmed, and the rally version will follow separate competition requirements.
Toyota’s Sports Car Lineup Continues to Expand
The Celica name has a strong motorsport heritage, particularly through the GT-Four variants that achieved success in international rally competitions during the 1980s and 1990s. Production of the seventh-generation model ended in 2006.
Its potential revival would strengthen Toyota’s growing Gazoo Racing portfolio, which includes the GR Yaris, GR Corolla and GR86, alongside upcoming performance models.
With the GR Celica Rally1 expected to debut in 2027, further details about the production sports coupe could emerge as development advances.