"There’s an element of sadness and disappointment that I have for the 600 suppliers,the 12,000 staff that work the event on the weekend,the 180 staff that we have,the family that is formula one.
"Sport is a wonderful thing that brings us together."
The Supercars’ Melbourne round has also been cancelled. ‘‘Given the cancellation of this weekend’s event,we will look to reschedule another event later in the year. We are fortunate that this year’s calendar enables us to do so,’’ a Supercars spokesperson said.
The sport's governing body,FIA,issued a joint statement with F1 and the Australian Grand Prix to confirm the cancellation after hours of speculation following McLaren's decision to withdraw.
FIA said a meeting involving the nine remaining team principals and organisers"concluded with a majority view of the teams that the race should not go ahead".
"All parties took into consideration the huge efforts of the AGPC,Motorsport Australia,staff and volunteers to stage the opening round,however concluded that the safety of all members of the Formula One family and the wider community,as well as the fairness of the competition take priority,"the statement said.
There have been more than 126,300 cases and 4600 deaths globally since the COVID-19 virus outbreak started in China late last year. It was officially declared a pandemic by the World Health Organisation on Thursday.
Six-time world champion Lewis Hamilton's Mercedes-AMG Petronas team said it sent a letter to the FIA and F1 requesting the cancellation and had commenced preparations to leave even before the decision was publicly announced.
"We share the disappointment of the sport's fans that this race cannot go ahead as planned. However,the physical and mental health and well being of our team members and of the wider F1 community are our absolute priority,"the team said in a statement.
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"In light of the force majeure events we are experiencing with regards to the coronavirus pandemic,we no longer feel the safety of our employees can be guaranteed if we continue to take part in the event."
BBC Sport also reported that former world champions Sebastian Vettel and Kimi Raikkonen had taken matters into their own hands and flown out of Australia on Thursday night.
Victorian Premier Daniel Andrews had earlier declared before the cancellation on Friday that if the grand prix went ahead,it would be without fans.
“He[Victoria's chief health officer Brett Sutton] has indicated they have a choice to make between running no event or running an event without spectators,” he said. “From a public health point of view,if it is to be run and I’ll leave it to grand prix officials,the Australian Formula One grand prix organising body to make an official announcement and that will happen quite soon.
“But on public health grounds there will be no spectators at the grand prix this weekend if a race happens at all. That’s a matter for them.”
Mr Andrews also flagged that a national position on mass gathering event could be revealed later on Friday.
“I think you’ll find that all the chief health officers and the chief medical officer will be meeting later today and having more to say about mass gathering events and that will provide some guidance I think,” he said on his way into a meeting state and territory leaders in Sydney.
“From a Victorian point of view,and I think this will be reflected nationally,each event will have to be judged on its merits,each event is different. But there will be some guidance,not rules as such,but there will be some guidance from chief health officers.”
"I am really very very surprised that we’re here,"he said at a press conference on Thursday."For me it is shocking that we are all sitting in this room."
With Reuters,AP,AAP