What happened: Per a Sky Sports F1 report, Mercedes sit more than two per cent behind Red Bull's power unit and will be permitted a single engine upgrade this season. Ferrari, Audi and Honda are judged more than four per cent adrift and have each been granted two upgrades to catch up.

Why it matters: The allocation extends the new ADUO token framework that lets trailing manufacturers close on the benchmark power unit. With Red Bull set as the reference, the size of each rival's deficit now directly determines how much development it is allowed, reshaping the competitive order for the rest of 2026.

What to watch: Watch when each manufacturer cashes in its allotted upgrades and whether the gains translate to lap time against Red Bull over the coming rounds.