Wales Rally GB is set to return next year after an 'agreement in principle' was reached between the Welsh Government and organisers International Motor Sports.
Business Minister Edwina Hart made the announcement this afternoon, adding that a review of next year's event will take place with a view to extending the agreement for a further two years.
Wales Rally GB has been hosted in Wales since 2000 but there had been doubts over the future of the event here, with funding cited as one issue.
Edwina Hart said the relationship between Wales Rally GB and Wales' automotive sector 'should not be underestimated'.
Meanwhile the Chief Executive of International Motor Sports, which organises Wales Rally GB, said he was 'delighted' that an in-principle agreement had been reached with the Welsh Government.