The 2012 season will see the implementation of Indycar's new ICONIC Plan (Innovative, Competitive, Open-Wheel, New, Industry-Relevant, Cost-Effective), the biggest change to the sport in recent history. The existing car used through 2010, a 2003-model Dallara IR-05, and naturally aspirated V8 engines (required since 1997) will be permanently retired. The ICONIC committee was composed of experts and executives from racing and technical fields: Randy Bernard, William R. Looney III, Brian Barnhart, Gil de Ferran, Tony Purnell, Eddie Gossage, Neil Ressler, Tony Cotman and Rick Long. IndyCar accepted proposals from BAT Engineering, Dallara, DeltaWing, Lola and Swift for chassis design. On July 14, 2010, the final decision was made public, with organisers accepting the Dallara proposal.
Under the new ICONIC regulations, all teams will compete with a core rolling chassis, called the "IndyCar Safety Cell", developed by Italian designer Dallara. Teams will then outfit the chassis with separate body work, referred to as "Aero Kits", which consist of front and rear wings, sidepods, and engine cowlings. Development of Aero Kits is open to any manufacturer, with all packages to be made available to all teams for a maximum price. ICONIC committee member Tony Purnell gave an open invitation to car manufacturers and companies such as Lockheed Martin and GE to develop kits.
The IndyCar Safety cell will be capped at a price of $349,000 and will be assembled at a new Dallara facility in Speedway, Indiana. Aero Kits will be capped at $70,000. Teams have the option of buying a complete Dallara safety cell/aero kit for a discounted price.
On May 12, 2011, Dallara unveiled the first concept cars, one apiece in oval and road course Aero Kit configuration.
On April 30, 2011, IndyCar owners voted 15–0 to reject the introduction of multiple Aero Kits for the 2012 season, citing costs. Owners expressed their desire to introduce the new chassis/engines for 2012, but have all participants use the Dallara aerodynamic package in 2012, and delay the introduction of multiple aero kits until 2013. On August 14, 2011, IndyCar confirmed that the introduction of multiple Aero Kits would be delayed until 2013 for "economic reasons". Chevrolet and Lotus had already announced their intention to build aero kits.
2011 Indianapolis 500 winner Dan Wheldon carried out the first official test of the Dallara chassis at Mid-Ohio Sports Car Course in August 2011.
The engines will be 2.2 L V6 turbocharged engines, tuned to produce a range of 550–700 horsepower (410–520 kW) with a 12,000 RPM limit. All engines will run E85 fuel; from 2007–2011, the series utilized 100% fuel grade ethanol. The "push to pass" feature in 2012 will allow a limited horsepower gain up to 100 HP as opposed to the current "overtake assist" which only provides 10 to 20 HP.