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Honda has cancelled the new NSX as part of a radical restructuring of its car making business.

The V10-engined supercar, which was a direct challenge to Ferrari and Porsche, would have been the most powerful production car that the company had ever produced.

Honda CEO Takeo Fukui announced the move in his end of year speech, saying that all development of the car would be cancelled. The company has also withdrawn its plan to introduce the Acura brand to Japan in 2010.

The Honda boss had previously emphasised the importance of the NSX to Honda's brand, unequivocally telling Autocar at the end of last year: "The new supercar is necessary for Honda

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BREAKING NEWS: Honda Kills The NSX For Financial Reasons Is The Lexus LF-A Next?

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