Team Penske president Jonathan Diguid has provided an update regarding Josef Newgarden’s contract status as the two-time Indianapolis 500 winner approaches the final year of his current agreement with the Roger Penske-led team. Newgarden’s position beyond the 2026 season remains undecided amid ongoing contract discussions.
Although Newgarden’s performance did not significantly decline last year, he experienced a notably difficult season marked by several unfortunate events affecting both him and his teammates, including Scott McLaughlin and Will Power—Power having since moved to Andretti Global. Speculation surrounding Newgarden’s potential retirement from IndyCar surfaced amid these challenges.
Speaking to RACER about contract negotiations with the veteran driver, Jonathan Diguid commented succinctly on the team’s priorities:
“It’s our job to win races and then the rest will figure itself out.”
During IndyCar’s content days in late January, Newgarden himself maintained a focused outlook on the immediate future rather than contract uncertainties. With a relaxed demeanor, the No. 2 Chevrolet driver stated:
“I’m always… I’m just focused on the next task. Right now, for me, that’s St. Petersburg (season opener on March 1), is my focus.”
While Newgarden’s contract runs through 2026, his teammates Scott McLaughlin and David Malukas have secured deals extending beyond that season. McLaughlin finalized an extension prior to the 2025 season opener in St. Petersburg, and Malukas began a multi-year contract this year as he replaced Will Power in the No. 12 Chevrolet.
Looking Ahead to a Fresh Start at the 2026 Season Opener in St. Petersburg
Despite a challenging 2025 campaign overall, Josef Newgarden concluded the year triumphantly by winning the season finale in his hometown of Nashville. Nonetheless, he expressed the view that this victory would not carry momentum into the upcoming season. Reflecting on his mindset during IndyCar’s content days, Newgarden remarked:
“Yeah, I mean, I don’t think Nashville really does anything, to be honest. I was just happy the year was over. Yeah, I think it will be a hard reset, for sure, when you come to St. Pete.”
Asked whether Team Penske is entering a new phase with significant changes to its driver lineup and management, Newgarden responded with humor, referencing the team’s formidable presence in racing:
“Yeah, there’s a Lex Luthor. We are good to go. We are the Evil Empire about to strike. We have the 24. Just wait. We’re coming full attack.”
“Yeah, I mean, I don’t know. I want to tell you, yeah, it feels all different. It feels similar in a lot of ways. When I go to the shop, obviously, we’re going to have some changes. Feels like business as usual in a lot of respects,” Newgarden added.
Josef Newgarden will start his 2026 season at the Grand Prix of St. Petersburg, scheduled from February 27 to March 1. Last year, he secured a podium finish there despite qualifying tenth, demonstrating his competitive potential at the event.
Implications of Newgarden’s Contract Status for IndyCar and Team Penske
The uncertainty surrounding Josef Newgarden’s contract after 2026 introduces a notable point of interest for both Team Penske and the wider IndyCar community. As a two-time Indy 500 champion and longstanding competitor, Newgarden’s future decisions could influence team dynamics and driver market activity. With teammates locked into multi-year deals and management changes underway, the team appears poised to maintain competitiveness regardless of contract outcomes.
The planned “hard reset” at St. Petersburg signals Newgarden’s readiness to refocus on racing performance amid off-track discussions. The coming months leading to the season opener will be critical in defining his trajectory and potentially the strategic direction of Team Penske’s driver lineup moving forward.
