Red Bull advisor Helmut Marko says the Milton Keynes based team are convinced they will be on the lead pace next season and will therefore be in a position to fight for both the Drivers' and Constructors' titles.
Red Bull have played a supporting role this season, having been unable to match Mercedes' dominant pace. The team finished second, 297 points adrift of Mercedes, whilst its drivers were third and fifth, having claimed a victory each.
But Marko is confident they will find the performance they need next year, particularly from the engine side, with supplier Renault promising big gains.
"The big step forward [this year] came from the engine side – and we have been told that we can expect a similar leap forward again for 2017," Marko told the official Formula 1 website. "And that should mean that we are very near to Mercedes power."
Meanwhile the Austrian is confident in the team's ability to deliver another strong chassis, as Red Bull have traditionally managed to adapt to major regulations changes well.
"On the chassis side we always have been good and this year’s chassis is one of our best – and all the data we have from the new car is very positive," he added.
"With the regulation changes for 2017, nobody can use the experience or the package that they have – and history has shown that we are always good when there is a regulation change. So we are convinced that we will fight for both titles in 2017."