He argues that starting from scratch with a limit of 50 million is an impossible mission
You have thought about how to manage the expenses of the equipment manufacturers and customers
FIA President Jean Todt says that without the coronavirus crisis, Formula 1 teams could have had a budget limit of $ 175 million. However, the Great Circus is obliged to start again, and for this it talks about gradually reaching the figure of 120 million dollars – 110 million euros at the current exchange rate.
Todt and the FIA have two options for the 2021 budget limit. One of them would be one of $ 130 million, and the other a phased plan, in which they would start with 140 and drop 20 million in two phases until they reached 120, a figure at which it would stabilize. However, Todt does not have much hope for these ideas, and thinks that approving a limit of 150 million would already be a great step.
“We have two options. One is $ 130 million with all exceptions. The second is a phased plan, with $ 140 million the first year, then $ 130 and finally 120 million dollars – it would be 110 million euros. All this is with exceptions, taking out the extras is not possible at this time. Without this crisis there would have been 175 million, but now we are talking about a restart, “said Todt in an interview for the German media Auto Motor und Sport.
“If we agreed on a budget limit of $ 150 million, it would be a big step. Small teams would spend $ 150 million. Currently, large teams, with all exceptions, exceed $ 300 million without engine development. That’s crazy. “, Explain.
Todt acknowledges that the only way to reach a logical limit would be to start from scratch with a limit of $ 50 million. However, it is something really complicated in Formula 1, and in addition, the presence of several teams, especially that of the largest, would be at risk.
“We can only come up with a reasonable number if we forget about current Formula 1 and start with a blank sheet. With an expense limit of 50 million without exceptions nothing would be as beforeIt would be a completely new Formula 1, a super Formula 2. A new beginning is not possible, we would lose too many teams, including the greats. ”
On the other hand, Todt has commented on how to deal with the budget limit with the engine manufacturing teams and with the client teams. The Frenchman recognizes that manufacturing equipment invests more money in power units than customers who buy it. For this reason, he plans to make adjustments to the budget limit to balance everything.
“If they explain it to us as the manufacturers have explained it to us, it would be an argument to consider. Some develop, design and produce a product that other teams buy. For example, the motor costs 11 million customers, but it costs the manufacturer much more.. For example, the customer pays 50 million to the manufacturer for the entire package, the suggestion is that these 50 million should be reduced from the customer’s budget, “said Todt to finish.
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