Sauber will use Honda power units from the 2018 Formula One season.
The Japanese engine manufacturer have endured a rough return to F1 since 2015, as a re-establishment of a partnership with McLaren has, thus far, failed to produce a winning formula.
McLaren had initially been confident Honda would be able to provide them with leading power in 2017, but that is yet to materialise, and reliability issues have beset the team so far. Stoffel Vandoorne was unable to start the Bahrain Grand Prix and was handed a 15-place grid penalty in Russia this weekend for reaching the season's limit for new engine parts ahead of the fourth race.
However, that has not put off Sauber, as Honda have moved to draft in more and more F1 expertise in the hope of offering a competitive package in 2018 and beyond.
Monisha Kaltenborn, Sauber team principal, said: "It is a great honour for the Sauber F1 Team to be able to work together with Honda in the coming seasons.
"We very much look forward to our partnership with Honda, which sets the course for a successful future - from a strategic as well as from a technological perspective. We thank Honda for making this great partnership happen."
Sauber are currently powered by 2016-spec Ferrari engines and are yet to register a top-10 finish this season, having picked up only two championship points throughout 2016.