Sportsman Spotlight: Matthew Nykanen – Flat Out in the Forests

From the snow-covered backroads of Michigan’s Upper Peninsula to the high-speed stages of the American Rally Association (ARA), Matthew Nykanen’s journey into rally racing is as gritty and determined as the sport itself. A self-proclaimed “Yooper” now living in Ramsey, Minn., Nykanen embodies the spirit of grassroots motorsport — building his car from scratch, pushing limits and chasing wins with determination, passion and grit.  

From Volunteer to Victory

Nykanen’s rally story began on the sidelines. For years, he volunteered as a Course Marshall at various rallies, soaking in the adrenaline and atmosphere. “Growing up in the U.P., driving backroads in snowstorms, I just knew that driving sideways fast in adverse conditions was for me,” he says. That love for chaos and control led him to build his own rally car in the fall of 2022 and complete it by summer 2023, just in time for his debut at the Ojibwe Forests Rally.

Despite being new to competition, Nykanen wasted no time making an impact. In his first full season, he clinched the Central Regional Open 2WD Championship and placed 2nd Overall in the Central Regional Championship. His aggressive driving style and mechanical ingenuity quickly earned him recognition, including the prestigious Ken Block Flat Out Forever Award at the 100 Acre Wood Rally in Missouri.

The Build: A BMW Beast

Nykanen races a BMW E36 328i, a vehicle known for its balance and predictability. But his build is far from stock. He swapped in an S54 engine from an E46 M3 — a high-revving, motorsports-grade powerplant with a linear torque curve and an 8000-rpm stock rev limiter.

“The E36 is a very capable chassis with lots of aftermarket support,” explained Nykanen. “The S54 is a fantastic engine. It screams.”

What makes his build truly unique is its origin story. The car started as a junkyard parts car, stripped to a bare shell and rebuilt entirely in Nykanen’s garage.

“I threw a junkyard engine in it for the first event and just did main and rod bearings,” he recalls. That engine blew a head gasket mid-stage, dumping coolant and overheating to the point of melting the crank position sensor. But thanks to AMSOIL DOMINATOR 15W-50 100% Synthetic Motor Oil, the internals remained pristine.

“AMSOIL for the win,” said Nykanen. “I’ve never had a failure in any rotating assembly part running AMSOIL.”

Driven by Passion, Fueled by Support

Behind every great racer is a support system, and Nykanen credits his wife, family and friends for keeping him motivated.

“I love driving, and I love competition,” says Nykanen. “But having people who believe in you makes all the difference.”

His approach to relationships, both personal and professional, is simple: “Be kind and true to yourself. The rest figures itself out.”

Outside of rally, Nykanen is a hands-on enthusiast. He spends time fabricating in the garage, riding dirt bikes and snowmobiles, waterskiing and even competing in handgun shooting. His life is a blend of precision, adrenaline and craftsmanship.

Challenges and Triumphs

Rally racing is not for the faint of heart. The prep, logistics and mental focus required are immense.

“Rally is dang tough,” said Nykanen. “Thousands of corners, changing conditions and extreme focus — it makes finishing feel like a crazy feat.”

Mechanical reliability is his biggest challenge. “As an average guy with a limited budget, it’s a tough balance. Drive as hard as you can and hope she holds together.”

That philosophy has led to some unforgettable moments: sending the car over a massive jump with a broken trailing arm at Headwaters Rally, banging the rev limiter through Bonfire Alley at Sno-Drift and winning Ojibwe Forests Rally overall after hitting a tree.

Looking Ahead

This year, Nykanen set his sights on the National Open 2WD Championship, but a broken wrist at Ojibwe Forests Rally forced a DNF (Did Not Finish). Still, his determination remains unshaken.

“Open 2WD is already an unrestrictive class, and I love it. If I didn’t have to follow rules, I honestly wouldn’t change a thing.”

His advice to newcomers? “Do what you can with what you’ve got. The car isn’t your limitation. Improve yourself, your recce, your notes and be honest with yourself.”

You can catch Nykanen and his co-driver Lars Anderson in action at the ARA Lake Superior Performance Rally held in Marquette, Mich. Oct. 17-18, 2025.