Two Japanese OE parts suppliers have reportedly applied for the US government’s USD5bn financial aid package aimed at helping struggling Tier-1s.
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Kyodo reported that the two firms are Yazaki and Yorozu, citing anonymous sources.
The US scheme is aimed at shielding auto suppliers from financial damage in the event of Chapter 11 bankruptcy filings by GM and Chrysler. It guarantees their account receivables to the two carmakers with up to USD5bn in public funds.
Yazaki supplies GM and Chrysler with wire harnesses and indicators.
The Japanese maker applied for the US program regarding its account receivables to Chrysler and it is considering applying for those to GM, the sources said.
Yorozu, which supplies GM with suspension parts, applied for the program regarding its accounts receivable to GM, the sources told Kyodo.
The US government launched the aid program in March and began accepting applications from auto suppliers in April, the report added.
