Buddh International Circuit

The 5.125 km (3.185 mi) long circuit was designed by German racetrack designer Hermann Tilke. The circuit is best known as the venue for the annual Formula One Indian Grand Prix, which was first hosted in October 2011. However, the Grand Prix was suspended for 2014 and subsequently cancelled due to a tax dispute with the Government of Uttar Pradesh during the Akhilesh Yadav administration.

History

2000s

In 2007, a tentative agreement to host the Indian Grand Prix was reached between the Indian Olympic Association and Bernie Ecclestone, then chief-executive of the Formula One Group. A site in Greater Noida in the north Indian state of Uttar Pradesh was chosen as the location of the track that would host the race. Delays in the procurement of the land and construction were reported in early 2009 owing in part to the ongoing financial crisis. The design of the track was ultimately revealed in November 2009.

The venue was slated to debut during the 2010 Formula One season, with construction scheduled to be completed in time. However, this date was pushed back and the inaugural race eventually took place the following year.

2010s

The first Indian Grand Prix was held at the Buddh International Circuit on 30 October 2011. It was initially scheduled to take place in December 2011. However, following scheduling conflicts with the Bahrain Grand Prix and its subsequent cancellation, the race was rescheduled to October. The inaugural race was won by Red Bull Racing's Sebastian Vettel, who started from pole position. He also set the fastest lap and therefore race lap record that year, which stood for the following two Grands Prix.

During the 2012 Formula One season and the second Formula One race to take place at the circuit, Sebastian Vettel took pole once again, led every lap and went on to win the race. The fastest lap of the race was set by McLaren's Jenson Button.

The following year, the Indian Grand Prix was the sixteenth race in a nineteen-race season. Sebastian Vettel started on pole and subsequently won the race. Vettel also secured his fourth consecutive Formula One World Drivers' Championship at this race, beating his closest challenger, Ferrari's Fernando Alonso, who finished 11th. Red Bull also secured its fourth consecutive Constructors' Championship. The fastest lap of the race was set by Lotus' Kimi Räikkönen. This was the last Formula One race held at the circuit.

The track was not slated to be part of the 2014 season. One reason given was the rescheduling of the Indian Grand Prix to March for 2014, which made little sense after a race in October 2013. Its appearance in the 2015 season was subsequently ruled out in mid-2014, citing contractual and taxation issues.

Buddh was due to host a GT1 World Championship round as the season finale in December 2012, but the event was cancelled. It was due to host a Superbike World Championship round for four seasons, starting in 2013. However, the 2013 race was cancelled due to operational charges of Buddh International Circuit.

The owners were unable to significantly recover their investments through all three seasons the races were held, and were forced to write off losses worth at least $25 million. In 2016, the owners reiterated their desire to not sell the circuit to other buyers, despite its high maintenance costs, their own financial distress, and the lack of future scheduled international sporting events.

From 2014 to 2026, Buddh hosted no international championships except the Asia Road Racing Championship race in 2016. The circuit continued to host smaller local racing series and championships, including the JK Tyre National Racing Championship which includes open-wheel racing as well as motorcycle racing, and open track days.

Tax dispute

The Buddh International Circuit is located in the state of Uttar Pradesh, subject to its local taxes as well as national customs duties. The first signs of a dispute arose in 2009: in a letter to the promoters JPSK Sports, the Indian Ministry of Youth Affairs and Sports denied JPSK Sports permission to remit $36.5 million in licensing fees to Formula One administration headquarters in London. The reason given, by the then Chief Minister of Uttar Pradesh - Akhilesh Yadav, was the nature of Formula One, considered not to be a sport but rather entertainment, and its perceived lack of impact on the development of sports in the country. Customs fees for imported components including engines and tyres were not waived, and tax exemptions given to other sports were not offered to the organisers. Fees worth $51.3 million, meant to be paid by Jaypee Sports to Formula One World Championship Limited (FOWC), were still pending as of Liberty Media's acquisition of the Formula One Group in 2016. The government's expectation of tax revenue meant that Jaypee was prevented from paying its dues to FOWC.

In a judgement issued in April 2017, the Supreme Court of India ruled that the circuit constituted a 'permanent establishment', and as such FOWC was liable to pay taxes on any income accrued by it in India, estimated at 40% of business income. It considered royalty payments made by Jaypee to FOWC to be business income as well, subject to tax, which contradicted the original agreement between Jaypee and FOWC that stipulated that any fees would be paid free of taxes. Liberty Media was prepared to settle the due amount in July 2017, setting aside $14.8 million.

2020s

For 2022, it was planned that Buddh International Circuit would host events for the Formula Regional Indian Championship and the F4 Indian Championship, however both championships were cancelled in 2022. The circuit also hosted the Indian motorcycle Grand Prix in 2023 as part of the MotoGP World Championship. Several participants received their travel visas just days before the event. A planned second running of the MotoGP event in 2024 was cancelled. Despite being placed as a reserve round in 2025, it was dropped from that role for 2026.

As of 2026, the Adani Group was preparing a roadmap to return Formula One racing at the circuit. This was announced by the Managing Director of Adani Cement in February. This was after the conglomerate secured a majority vote from the lenders in a bid to acquire the debt-laden Jaiprakash Associates for ₹14,535 crore (equivalent to ₹150 billion or US$1.6 billion in 2026). The implementation of any such roadmap is subject to the completion of this acquisition.

The State Transformation Commission of the Government of Uttar Pradesh signed a memorandum of understanding with AVW Global, an automotive and motorsports consultancy firm established by former MotoGP rider Karel Abraham, to establish world-class motorcycle racing ecosystem in the Indian State and bring MotoGP and Asia Road Racing Championship back to the Buddh International Circuit.