The Workshop Thread: What are you working on?

Well yes, that's kind of the point . You won't have 2 F1 cars stuck together for 20 laps exchanging positions every couple of corners. But the effects, for the most part are only active if the cars are directly behind each other, so if a car moves out of the slipstream to set up a move or the cars are already alongside each other arriving into a corner their logic is unchanged, so in that sense the actual overtaking moves are not affected and overtakes still happen.
The dirty air / tyre overheating effect is also very track dependent as it's based on cornering speed (amongst other params) for build up. So tracks like Hungaroring are more affected while Monza with it's long straights and slow chicanes less so.