World champion manufacturer Volkswagen will quit their WRC campaign at the end of the 2016 season in Australia this month.
The German outfit has dominated the sport since its return in 2013 - winning the manufacturer's title on all four occasions while star driver Sebastien Ogier won four successive drivers' titles.
Autosport magazine is reporting the decision was taken at a board meeting in VW headquarters in Wolfsburg overnight. The magazine says hopes of a one-year stay of execution in 2017 were dashed.
Sister company Audi announced last week they were withdrawing from the World Endurance Championship in the wake of the emissions scandal that engulfed Volkswagen last year.