It said the offer was "wholly inadequate". The offer was proposed by the Grand Prix Manufacturers' Association, which comprises BMW, Renault, DaimlerChrysler, Honda and Toyota. The association said the fund would help cut costs considerably for smaller teams over the next four years.
The manufacturers made the offer as part of attempts to hold off a freeze on engine development from 2008, when the Concorde Agreement governing the sport expires.
Formula One champions Renault disassociated themselves from the proposal saying the GPMA statement was released without its agreement and it was not a party to it.
