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F1 Faces USD 132M Loss as Regional Conflict Cancels Bahrain & Saudi Races

F1 Faces USD 132M Loss as Regional Conflict Cancels Bahrain & Saudi Races
Image Source: Formula1 Shanghai Website
  • Formula 1 cancels the Bahrain and Saudi Arabia Grands Prix due to security risks amid Iran conflict.
  • The cancellations could cost the sport more than USD 132M, as Bahrain and Saudi Arabia pay among Formula 1’s highest hosting fees.
  • With no replacement venues secured, the calendar will likely drop to 22 races and create a five-week gap in the season.

F1

Formula One (F1) has cancelled its Bahrain and Saudi Arabian races in April as regional tensions escalate and security risks rise.

The Bahrain Grand Prix at Bahrain International Circuit was scheduled for April 10–12, with the Saudi Arabia Grand Prix at Jeddah Corniche Circuit the following weekend.

The races were scheduled for April, starting in Bahrain before moving to Jeddah the following weekend. However, the ongoing Iran conflict has raised significant safety concerns.

Organizers said the ongoing conflict created unacceptable operational and safety risks for staff, teams, and fans. Formula 1 teams must begin shipping cars, equipment, and personnel to race locations weeks in advance. With these deadlines approaching, officials had to make a prompt decision.

Financially, the decision hits F1 hard. Bahrain and Saudi Arabia pay among the highest hosting fees on the calendar, contributing to a projected loss of over USD 132 million. Those fees normally feed into Formula 1’s commercial income and the prize pool distributed to teams.

Bahrain joined the calendar in 2004 and helped anchor the sport’s expansion into the Gulf. Saudi Arabia followed in 2021 with one of the most financially significant hosting agreements.

Potential Shifts

A reduced calendar would also reshape the rhythm of the season. Without those races, the championship would fall from 24 events to 22. Without replacement events, the schedule will instead include a longer break. This produces a five week gap between the Japanese Grand Prix on March 29 and the Miami Grand Prix on May 3.

Formula 1 briefly explored replacement venues to fill the gap. Furthermore, it put into consideration, circuits previously used during the pandemic-affected 2020 season. These included Autódromo Internacional do Algarve in Portugal, Autodromo Internazionale Enzo e Dino Ferrari in Italy, and Istanbul Park in Turkey. However, organizers determined that arranging a race at short notice would be difficult. Moreover, securing commercial agreements and local approvals within weeks was unlikely.

Losing both races, even temporarily, underscores how geopolitical instability can disrupt global sporting schedules and reshape revenue streams overnight.

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