Sauber have cancelled a deal that would have seen them use Honda power units from the 2018 Formula One season.
Frederic Vasseur, the former Renault chief who replaced Monisha Kaltenborn as Sauber team principal this month, announced the change of plan in a statement on Thursday.
The Swiss team confirmed the decision has been made for "strategic reasons" and a new engine partner "will be announced shortly".
Vasseur said: "It is very unfortunate that we have to discontinue the planned collaboration with Honda at this stage.
"However, this decision has been made for strategic reasons, and with the best intent for the future of the Sauber F1 team in mind.
"We would like to thank Honda for their collaboration, and wish them all the best for their future in Formula One."
Honda have endured a difficult return to F1 since 2015 as their relationship with McLaren has failed to produce positive results - the British team are bottom of the constructors' standings with just two points this season.
Talk that McLaren could return to Mercedes power from 2018 continues to rumble on, and such a move would leave the Japanese manufacturer without a team to supply.