Honda has said that they need to keep a balance between costs and performance in order to remain in Formula 1 beyond the end of the 2020 season.
The Japanese manufacturer are yet to commit their future to Formula 1 when the sport begins a whole new chapter in 2021 with a major overhaul of the regulations.
Red Bull are hoping Honda will be motivated by the fact they have won three races this season and also powered them to two pole positions.
However, the key for Honda and their future is to reduce costs without it having a detrimental impact on team performance.
“We have started to calculate how much it will cost with the future regulations,” Honda’s F1 managing director Masashi Yamamoto told Motorsport.com.
“We have noticed that it’s very tough for all the car manufacturers at the moment, because of the environment change for electrification. So, we are summing up the development cost and having discussions internally.
“It is true that the cost is the biggest issue.
“Winning is the first priority. Once we decide to participate, we just try to win.
“It’s positive to have good results. But more important thing is a balance with the cost. We have to put lots of budget to accelerate our development to catch up the top runners.
“And now we are planning how to maintain current condition and reducing the cost at the same time.”