Honda delivered a major blow to Formula One on Friday by withdrawing from the sport with immediate effect, citing the uncertainty created by the global downturn. Amid slumping car sales triggered by the worldwide slide, Japan's number two carmaker said it was no longer willing to bankroll the Formula One team and its estimated annual budget of $500 million. Honda Motor Co 7267.T Chief Executive Takeo Fukui told a news conference a return to the sport could take time, and that there were no plans to continue as an engine supplier. “This difficult decision was taken recently and was made in light of the quickly deteriorating operating environment facing the global auto industry,” Fukui told reporters. “Honda must protect its core business activities and secure the long term as widespread uncertainties in the economics around the globe continue to mount. We will enter into consultation with associates of Honda Racing F1 and its engine supplier Honda Racing Development regarding the future of the two companies. This will include offering the team for sale.” Fukui, who said this year that he would “spend a trillion yen” if he could to make Honda a Formula One winner, said there would be no speedy return to the sport. “At this stage we have no plans to return to F1. We have no plans to supply engines to other teams,” he said. “We do not want to be half in and half out of the sport.” Honda would in any case have little time to find a buyer with the 2009 season starting in Australia on March 29. “We would love to be able to continue in Formula One but we're simply not able to in the current financial climate,” Fukui said. With Formula One's power-brokers desperately seeking cost-cutting measures to ensure its own survival, Honda's departure will have serious implications for the glamor sport. Honda's exit leaves the multi-billion dollar sport facing a depleted grid of 18 cars if no buyer can be found in the extremely tight time-frame available. It will also prompt fears that other major manufacturers, with their factory production suspended and thousands of staff laid off, could follow Honda's example. Audi pulls out of American Le Mans Audi says it is pulling out of the American Le Mans Series after nine years. Audi will continue to race in the 24-hour race in Le Mans, France, and will also keep its cars in the German touring cars (DTM) series, as well in the 12-hour race in Sebring, Florida.
