ALFA Romeo is returning to Formula 1 racing after more than 30 years in a new deal to partner with the Swiss Sauber F1 team.

The famous Italian brand - now part of Fiat Chrysler Automobiles - has signed a multi-year technical and commercial partnership with Sauber starting in the 2018 season.

The new team will be called Alfa Romeo Sauber F1 and the agreement includes strategic, commercial and technological co-operation in areas of development, including access to engineering know-how and the expertise of Alfa Romeo technical staff.

The race cars will sport the colours and logo of Alfa Romeo and will be powered by Ferrari engines.

FCA says the partnership will provide additional opportunities for the two organisations in both Formula 1 and the automotive sector in general.

Alfa Romeo has a rich pedigree in Grand Prix racing dating back to 1925 when the GP Tipo 2 dominated the first world championship.

In Formula 1 it first raced in 1950 and won the first two drivers' world championships, in 1950 and 1951, with drivers Nino Farina and Juan Manuel Fangio.

From 1961 to 1979, Alfa Romeo participated as engine supplier to several F1 teams and returned as a constructor in 1979 achieving its best result in 1983, taking sixth place in the constructors' championship before pulling out of the sport in 1985.

Sergio Marchionne, chief executive of FCA, said: "This agreement with the Sauber F1 Team is a significant step in the reshaping of the Alfa Romeo brand, which will return to Formula 1 after an absence of more than 30 years. A storied marque that has helped make the history of this sport, Alfa Romeo will join other major automakers that participate in Formula 1."

Sauber is now the fourth oldest team in F1 and first raced in the competition in 1993.

This year it finished tenth in the constructors' championship behind McLaren with drivers Pascal Wehrlein and Marcus Ericsson.

Pascal Picci, chairman of Sauber said: "We are very pleased to welcome Alfa Romeo to the Sauber F1 Team. Alfa Romeo has a long history of success in Grand Prix racing, and we are very proud that this internationally renowned company has chosen to work with us for its return to the pinnacle of motorsport.

"Working closely with a car manufacturer is a great opportunity for the Sauber Group to further develop its technology and engineering projects. We are confident that together we can bring the Alfa Romeo Sauber F1 Team great success, and look forward to a long and successful partnership."