TOKYO: Toyota plans to pull out of Formula One racing, the Mainichi newspaper reported Wednesday. Toyota would follow Honda as the second major Japanese automaker to withdraw from the sport.

Honda pulled out in December last year, citing a slowdown in the global economy. Toyota, the only Japanese automaker participating in F1 this year, is seeking to cut costs as it expects to post an operating loss for the six months ended Sept. 30. The company is due to report earnings Thursday.

A Toyota spokeswoman said Wednesday she was checking on reports in the Japanese media. On Monday, Japanese tire manufacturer Bridgestone announced it would not renew its exclusive deal to supply tires for F1 when its contract expires in 2010.