This may have been the deciding factor in Honda's F1 exit

On Friday afternoon, the Italian Motorsport.com noted that Honda Motor Co., the parent company of Honda's motorsport division, was currently in a poor financial position. In August, it appeared that the Japanese were in the red as passenger car sales had fallen sharply, especially in the United States, India and Japan. The outbreak of the coronavirus played a major role there.

It, therefore, sounds logical that Honda simply had to make savings. The Formula 1 programme is said to cost around USD 200 million a season and, because the contract only ran until 2021, Formula 1 was an easy victim.

In other racing classes, Honda will remain active for the time being. After all, the IndyCar is also a very polluting motorsport class and so it seems that the underlying reasons are simply cutbacks.