Mazda today said that it is no longer in a position to market the RX-7 sports car in Australia.

Making the announcement Mazda Australia Managing Director Malcolm Gough the vehicle would continue to be sold in Japan.

"But the cost of making the vehicle comply with Australian Design Rules had ruled it out of this market," he said.

"The Mazda Motor Corporation has just announced an updated model, but given the minimal volume potential in Australia, we have decided not to make it available in Australia."

Mr Gough said it was a very sad day for us as the RX-7 has played an important part in the history of Mazda in Australia.

"The car has been our flagship for 20 years," he said. "Its rotary engine symbolised the unique engineering that has always characterised Mazda, and the styling of every series stirred the blood."

The RX-7 was launched in Australia in 1978 and captured the hearts of sports car aficionados. The rotary powered 2 +2 sports car with the "pop up" lights quickly became a familiar site on Australia roads and took the crown as Mazda's most 'aspirational' product.

With the release of the revised "Series 2" model Mazda went motor racing and the Peter Stuyvesant Racing team of the early 1980's became "giant killers" when the cars successfully raced against V8 powered competitors in every Australian state.

Thrilling clashes between the RX-7's ace lead driver Allan Moffat and racing legend Peter Brock are still discussed today.

Confident of their abilities, an Australian team led by Allan Moffat and including Kevin Bartlett and the late Gregg Hansford competed in the 1985 Daytona 24-hour race in the US. The car was running in the "Top 10" against much lighter space-frame 'local' RX-7's before being sidelined in an accident.

The "Series 4" model launched in 1985 introduced a new body shape for the model which retained its characteristic 'pop up' lights and offered a one piece rear window. The more powerful 13B rotary engine was introduced at launched followed some months later by the first turbo-charged model which lifted power output from 110 kW in the naturally aspirated model to 133 kW.

A naturally aspirated convertible model was also offered for the first time and this featured a unique electrically operated roof which offered three configuration choices – top up, top down or targa top.

Facelifted models in 1989 offered further lifts of power output to 120 kW and 146 kW respectively.

In 1992 Mazda released the current aggressively styled 'retro' model featuring a twin turbo 13B rotary engine which produced 176kW of power.

A strict two seater the model recorded its first victory at Bathurst in 1992 and followed up with first places in 93 and 94 beating arch rival Porsche. The event moved to Eastern Creek near Sydney the following year and with the locally developed RX-7 "SP" again scored a dramatic victory over Porsche.

Apart from extensive use of carbon fibre components in the engine bay, the "SP" - of which 45 examples were built - was distinguished by a high rear spoiler, larger diameter wheels and bonnet scoops to reduce engine bay temperatures.

Allan Horsley, who has managed Mazda Motorsport for almost 20 years and who was responsible for the development of the "SP" said the passing of the RX-7 in Australia was regrettable.

"All of the models were fine cars which were well suited to motor sport," he said.

"The simplicity of the rotary engine allowed them to excel in endurance events where they were able to withstand incredible punishment hour after hour, yet remain completely reliable."

"The RX-7 will always remain an important part of Australian motor racing history."

In the almost 20 year period following the vehicle's introduction, more than 10,000 of the cars have been sold.

Mazda says records show that Australian sales reached their peak in 1981 when 1581 retail deliveries were achieved.