This has been bothering me for years.
All I remember is that there was a creature that vaguely looked like a Snorlax from Pokemon. There were other odd creatures in the film.

I think it was made in a style similar to Little Nemo: Adventures in Slumberland.

I know this isn't a lot of information but I am desperate to know what it is!

Thanks!

My Neighbor Totoro may be what you're looking for