The A18 was launched in January 1997 and represented a fresh start for Arrows on multiple fronts. The team moved from its previous premises in Milton Keynes to a purpose-built factory at Leafield belonging to Tom Walkinshaw Racing, reflecting the completion of Tom Walkinshaw's takeover of the team from founder Jackie Oliver during 1996. New tyres from Bridgestone arrived under an exclusive supply arrangement, and the Yamaha engines were tuned by John Judd. The signing of Damon Hill — a World Champion seeking to revive his career after Williams chose not to retain him — generated enormous attention and placed the team under an unusually high level of scrutiny.
John Barnard was hired as Technical Director partway through the season to improve the car's performance.
The early part of the 1997 season was dismal. The cars struggled to make the grid in Australia, and reliability proved to be a persistent problem throughout the year despite Walkinshaw's stated intention to build a simple and dependable chassis. Hill described the car in his autobiography as pleasant to drive but lacking in downforce.
The team's single competitive highlight arrived at the Hungarian Grand Prix. Hill qualified third and ran at the front of the race for an extended period, leading before dropping behind Jacques Villeneuve in the closing laps when a throttle linkage component failed. He crossed the line second, a result that exceeded almost everyone's expectations for the team and remains one of the more remarkable performances in Arrows' history. Hill also scored a point at Silverstone. Diniz contributed two points at the Nürburgring.
The team finished eighth in the Constructors' Championship with nine points — a modest haul, but far better than many had anticipated given the car's unreliability and the relative weakness of the Yamaha engine compared to its rivals.
The 1997 season was the culmination of Arrows' relationship with Yamaha, which had supplied engines to the team since 1996. Yamaha's withdrawal from Formula One at the end of 1997 ended a chapter in the manufacturer's motorsport involvement, and the A18 became the final monument to that partnership. The Yamaha engines, developed in conjunction with John Judd's Engine Developments company, were never able to match the power outputs of Ferrari, Mercedes, or Renault, but the Hungarian result demonstrated that chassis performance could partially compensate for engine disadvantage.
The Arrows A18 is remembered principally for the Hungarian Grand Prix performance, where Hill's near-victory with a clearly uncompetitive team stood as one of the more compelling storylines of the 1997 season. It also marked the end of a significant period for Arrows as it transitioned to a new identity and new engine partnerships in subsequent years.
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