Lotus's protest against the legality of Mercedes's rear wing has been rejected by the FIA, Formula 1's ruling body.
Lotus had lodged a protest on Thursday ahead of the Chinese Grand Prix as it believes the DRS system used by Mercedes goes against the regulations.
Lotus believed the wing was in breach of rule 3.15 of the technical regulations.
"With the exception of the parts necessary for the adjustment described in Article 3.18, any car system, device or procedure which uses driver movement as a means of altering the aerodynamic characteristics of the car is prohibited," the rule says.
On Thursday evening, however, the FIA said that stewards had agreed unanimously to reject the Lotus protest, meaning Mercedes will be able to continue using it over the grand prix weekend.
Lotus has the right to appeal stewards' decision.
Mercedes team boss Ross Brawn had said before the verdict that he was saddened to see the row drag on for the third consecutive race.
"I think it is disappointing after three races that we are still in this situation," Brawn said.
"The system hasn't changed and the FIA's position hasn't changed, and as far as I understand their arguments haven't changed. So if they protest now, why didn't they protest in Australia? There is nothing new."