The Losail Circuit has international pedigree, having hosted MotoGP since 2004, as well as leading series such as the World Superbikes and World Touring Car Championship (now WTCR).
Following in the path of circuits such as Portimão and Mugello in recent years, Qatar will be making its Formula One debut, but it has also secured a long-term future from 2023.
F1 has confirmed that it has signed a 10-year deal with the Qatari organisers for its Grand Prix, with a statement adding: "As part of the longer-term deal, discussions will continue regarding the location of the Grand Prix from 2023, with further details to be provided at a later time."
The arrival of Qatar for 2021 fills the void left behind by the cancelled Australian Grand Prix as F1 continues to be flexible in response to the global pandemic.
It means F1's season will end with races in Turkey, the US, Mexico, Brazil, Qatar, Saudi Arabia and Abu Dhabi, creating a Middle East run to finish the year.
Qatar's confirmation ensures the 2021 season will hold the record for the greatest number of races in a single campaign with a total of 22.
Stefano Domenicali, President and CEO of Formula One, said: "We are very pleased to welcome Qatar to the Formula One calendar this season and for the longer term from 2023.
"The Qatar Motor & Motorcycle Federation and Authorities have been incredible and have moved at great speed to ensure the race can take place this season at the Losail Circuit, famous to many as the host of MotoGP.
"We have shown that we can continue to adapt, and there is huge interest in our sport and the hope from many locations to have a Grand Prix.
"The huge effort from all the teams, F1 and the FIA has made it possible to deliver a 22-race calendar, something that is very impressive during a challenging year, and something we can all be proud of."
Abdulrahman Al-Mannai, President of Qatar Motor & Motorcycle Federation, said: "This is a very special day for Qatar Motorsport and our nation's ambitions as a host of major sporting events.
"I'm very proud that we've been able to support Formula One by stepping in and hosting a race in our country in such a short time frame, while also securing a ground-breaking long term deal with F1."
"This exciting agreement means that Qatar will be the home of both Formula One and MotoGP for the next decade, which are the pinnacle events in global motorsport.
"We have a proud motorsport history, and this is the next chapter for us. Qatar will be a great destination for F1, and we look forward to welcoming all the drivers, teams, media and fans very soon."
While the team has no history in Qatari motorsport, Aston Martin Cognizant Formula One™ Team's Nico Hulkenberg still holds the qualifying lap record from his 2009 GP2 Asia campaign.
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