The two-time WRC title runner-up showed glimpses of his pace behind the wheel of Toyota's 2022 WRC challenger during an ultimately frustrating debut at Monte Carlo last weekend.
Evans was seemingly on course for a podium, occupying a comfortable third position, before a "clumsy" error on Saturday's stage 11 ended his hopes.
The Welshman was able to recover from clipping a grass bank thanks to a group of spectators, who were able to push the car back onto the road after it had beached itself on a steep hillside.
Prior to the mistake, Evans was only 9.3s adrift of leaders Sebastien Ogier and Sebastien Loeb after showing strong speed from the GR Yaris.
After struggling to get comfortable in the new car during testing, Evans has been encouraged by the performance shown by the GR Yaris and believes he will will be able to got at the sharp end this season.
Loeb went on to win the rally for M-Sport Ford, while Ogier finished second for Toyota, the two respective teams were level pegging for pace across the rally.
"Definitely I would say," Evans told Motorsport.com, when asked if he'd thought he had a car that can challenge the best this year.
"We don't know how we will fare as a lot of rallies that will come are very specific, but for sure the ingredients are there.
"I think overall the guys have done a really good job. It was always going to be difficult as the testing was not vast let's say coming in [to Monte Carlo].
"To be honest I found a much happier place with the car during the event than what I had done in testing.
"It's thanks to the guys they have put in a lot of effort to get this over the line and all the cars finished without any issue, so that is a big tick in the box and I have to thank them a lot."
Evans left Monte Carlo salvaging four championship points after finishing second fastest in the rally-ending power stage.
That result came despite failing to perfect his hybrid power boost strategy, an area which he hopes to fine tune in the future.
"It was an okay run in the power stage but maybe not as strong as we would like but generally it was quite okay," added Evans.
"Towards the end there I seemed to miss the hybrid a few times so it was not ideal and I'm not sure if it was something I was doing to upset it in the tricky conditions.
"I didn't have issues it was only that I didn't make the most of it. Overall the hybrid is working quite okay and there is still a lot to learn from it I feel, as we move to different conditions."
Toyota has already begun preparations for next month's Rally Sweden this week by conducting a test on snow covered stages in Finland.
