The Fuji International Speedway, a subsidiary of car-maker Toyota, will relinquish the hosting rights for the Japanese Grand Prix from 2010.
The circuit said that the global economic downturn has made it “extremely difficult” to continue to host the event. The race is estimated to cost between 2 billion and 3 billion yen (£12-18 million), according to Reuters.
Fuji was scheduled to host the Formula One race in 2010, alternating each year with the Honda-owned Suzuka Circuit.
“I apologise deeply for being unable to live up to expectations,” said Hiroaki Kato, president of Fuji International Speedway, in a statement.
Toyota has been forced to put several projects on hold to save funds as it expects its operating loss to reach a record 850 billion yen in the business year to March 2010.
Fuji staged Japan's first Formula One race in 1976 but a crash which killed two spectators in 1977 saw the circuit removed from the Formula One calendar.
