TOKYO — Honda Motor pulled out of Formula One racing Friday to save more than $978 million a year as it scrambles to cut costs amid the global market meltdown.

President Takeo Fukui is looking to sell the team and won’t field a car when the next F1 season starts in March. The company also won’t supply engines to other teams.

The 350 engineers working on Honda’s F1 project will be transferred to other duties, including the development of environmentally friendly hybrid drive trains, Fukui told reporters.

“This difficult decision has been made in light of the quickly deteriorating operating environment facing the global auto industry,” Fukui said. “Honda must protect its core business.”

Honda has cut jobs in Japan, reduced production and lowered its profit forecast in the face of the global credit crisis and falling sales. Fukui said it costs 20 billion yen ($978 million) a year to operate the F1 team, not including costs for developing the engine and body.

Honda finished ninth of the eleven teams in the F1 constructors’ championship last season and has suffered a dearth of checkered flags since it returned to the racing series in 2000, logging only one first-place finish.