The 1998 Race of Champions took place on December 6 at Gran Canaria. It was the 11th running of the event, and the 7th running at Gran Canaria. It was the final year that the event was exclusively for rally drivers. Colin McRae was the victor after beating brother Alister in the final.
| Driver | Reason for Qualification | |
|---|---|---|
 Colin McRae | World Rally champion in 1995 | |
 Didier Auriol | World Rally champion in 1994 | |
 Carlos Sainz | World Rally champion in 1990 and 1992 | |
| Alister McRae | Winner in the International Masters | |
| Armin Schwarz | Finalist in the International Masters | |
 Thomas Rådström | 3rd in the International Masters | |
| Stig Blomqvist | Winner in the Legends Race | |
 Miki Biasion | Finalist in the Legends Race |