The Lancia Rally 037 stands as one of motorsport’s most remarkable achievements – the final rear-wheel-drive car to claim the World Rally Championship manufacturers’ title. This Italian masterpiece, born from necessity and engineered with passion, represents a pivotal moment in rally history when tradition met innovation in the most spectacular fashion.

The Birth of a Legend
The Lancia Rally 037 emerged in the early 1980s as Lancia’s answer to the growing dominance of four-wheel-drive rally cars. With Audi’s Quattro system revolutionizing the sport, most manufacturers rushed to develop their own all-wheel-drive solutions. However, Lancia chose a different path, believing that a lightweight, rear-wheel-drive car could still compete at the highest level.
The 037 project began in 1982, built upon the foundation of the Lancia Beta Monte Carlo. The car’s development was a collaboration between Lancia and Abarth, combining Italian engineering excellence with racing expertise. The result was a machine that would prove rear-wheel drive wasn’t obsolete in the world of rallying.
The name “037” came from the internal project code, and it stuck throughout the car’s competition life. This designation would become synonymous with one of rally’s greatest underdog stories.

Group B: The Golden Era of Rally
The Lancia Rally 037 competed during Group B’s legendary period, widely considered the golden age of rallying. Group B regulations, introduced in 1982, allowed manufacturers unprecedented freedom in car design, leading to the most powerful and spectacular rally cars ever created.
Group B required only 200 road-going examples for homologation, encouraging manufacturers to build extreme machines prioritizing performance over practicality. The Lancia Rally 037 perfectly embodied this philosophy, featuring a mid-mounted supercharged engine and aggressive aerodynamics that made it instantly recognizable.
The competition during the Group B era was fierce. The Lancia Rally 037 faced formidable opponents including the Audi Quattro, Ford RS200, and Peugeot 205 T16. Each manufacturer pushed technology to its limits, resulting in cars producing over 500 horsepower in their most extreme forms.
Safety concerns eventually led to Group B’s cancellation after the 1986 season, but not before these machines had written their names in motorsport legend. The Lancia Rally 037’s success during this period proved that innovation and determination could overcome seemingly insurmountable odds.
The Iconic Martini Racing Livery
Perhaps no rally car is more instantly recognizable than the Lancia Rally 037 in its distinctive Martini Racing colors. The white, red, and blue stripes became synonymous with Lancia’s rally success and remain one of motorsport’s most beloved liveries.
The Martini Racing partnership began in the 1970s and continued through Lancia’s most successful rally period. The livery’s clean, elegant design perfectly complemented the 037’s aggressive lines, creating a visual impact that transcended motorsport and entered popular culture.

The Martini colors weren’t just about aesthetics – they represented a serious partnership between two Italian companies committed to excellence. Martini’s sponsorship provided crucial funding for the 037’s development and competition program, enabling Lancia to compete against manufacturers with larger budgets.
Today, the Martini Racing livery on the Lancia Rally 037 is considered one of motorsport’s most iconic color schemes. Classic car enthusiasts and collectors prize 037s wearing these colors, and the livery continues to inspire modern racing designs.
Technical Excellence: Engineering the Impossible
The Lancia Rally 037’s technical specifications reveal why it could compete against all-wheel-drive competitors. At its heart was a 2.1-liter supercharged four-cylinder engine, based on Lancia’s twin-cam unit but extensively modified for competition use.
Lancia Rally 037 Specifications
| Specification | Details |
|---|---|
| Engine | 2.1L Supercharged I4 |
| Power Output | 325 hp (rally spec) |
| Torque | 350 Nm |
| Weight | 960 kg |
| Drive | Rear-wheel drive |
| Transmission | 5-speed manual |
| Top Speed | 225 km/h |
| 0-100 km/h | 4.5 seconds |
The supercharger was key to the 037’s competitiveness. Unlike turbocharging, supercharging provided immediate throttle response crucial for rally driving. The Volumex supercharger delivered consistent power delivery across the rev range, giving drivers confidence in technical sections where precise throttle control was essential.
The car’s tubular steel space frame provided exceptional rigidity while keeping weight to a minimum. Carbon fiber body panels further reduced mass, contributing to the 037’s favorable power-to-weight ratio. This lightweight construction helped compensate for the traction disadvantage of rear-wheel drive.
Championship Glory: 1983 Manufacturers’ Title
The Lancia Rally 037’s greatest achievement came in 1983 when it secured the World Rally Championship manufacturers’ title. This victory was particularly remarkable because it came against Audi’s dominant Quattro, which had seemed unbeatable on loose surfaces.

The championship battle was intense throughout the season. While the Quattro dominated gravel rallies, the Lancia Rally 037 excelled on tarmac events where its superior handling and power delivery gave it an advantage. The Italian car’s victories on asphalt rallies like Tour de Corse and Rallye Sanremo proved crucial to the final championship outcome.
Walter Röhrl and Markku Alén were the primary drivers for Lancia’s championship campaign. Both were masters of car control, able to extract maximum performance from the rear-wheel-drive 037 even in challenging conditions. Their skill and experience were instrumental in overcoming the Quattro’s technical advantages.
This championship victory represented more than just a manufacturers’ title – it was validation of Lancia’s engineering philosophy and proof that innovation could triumph over brute force. The 037’s success inspired other manufacturers to explore alternative technical solutions rather than simply following conventional wisdom.
The Road Car: Street-Legal Homologation Special
To meet Group B homologation requirements, Lancia produced 200 road-going versions of the Rally 037. These Stradale (street) models were significantly different from their competition siblings but remained extraordinary performance cars in their own right.
The road-going Lancia Rally 037 featured a detuned version of the supercharged engine, producing approximately 205 horsepower. While less powerful than the rally car, this was still tremendous performance for the early 1980s. The street version retained the mid-engine layout and distinctive styling that made the competition car so memorable.

Interior appointments in the road car were spartan but functional, reflecting the 037’s competition origins. Basic creature comforts were provided, but the focus remained firmly on performance and driving experience. The driving position was excellent, giving owners a taste of what professional rally drivers experienced.
Today, road-going Lancia Rally 037s are among the most sought-after collector cars. Their combination of rarity, performance, and racing heritage makes them extremely valuable. Well-preserved examples command substantial prices at auction, reflecting their status as genuine homologation specials from rally’s golden age.
Legacy and Impact
The Lancia Rally 037’s influence extends far beyond its competition success. It proved that innovative engineering could overcome apparent disadvantages, inspiring generations of automotive engineers to think creatively about technical challenges.
The car’s success also demonstrated the importance of driver skill in motorsport. While technology plays a crucial role, the 037’s championship proved that talented drivers could still make the difference between victory and defeat. This human element remains central to motorsport’s appeal.
Modern rally cars bear little resemblance to the Lancia Rally 037, but its spirit lives on in every manufacturer’s pursuit of the perfect balance between power, weight, and handling. The lessons learned from the 037’s development continue to influence automotive engineering today.
The Lancia Rally 037 remains a symbol of Italy’s automotive excellence and racing passion. Its combination of technical innovation, visual drama, and competitive success ensures its place among motorsport’s greatest machines. For enthusiasts, it represents a time when racing cars were truly special, when manufacturers took enormous risks to achieve glory.
This remarkable machine stands as the last of its kind – the final rear-wheel-drive World Rally Champion. In an era of increasing technological complexity, the Lancia Rally 037 reminds us that sometimes the most elegant solution is also the most effective. Its legacy continues to inspire automotive enthusiasts and serves as a testament to the power of Italian engineering excellence.





