diff --git a/sdk_container/.repo/manifests/version.txt b/sdk_container/.repo/manifests/version.txt
index 5c4eccf50c..99e22e3346 100644
--- a/sdk_container/.repo/manifests/version.txt
+++ b/sdk_container/.repo/manifests/version.txt
@@ -1,4 +1,4 @@
-FLATCAR_VERSION=3276.0.0+nightly-20220620-2100
-FLATCAR_VERSION_ID=3276.0.0
-FLATCAR_BUILD_ID="nightly-20220620-2100"
-FLATCAR_SDK_VERSION=3276.0.0+nightly-20220620-2100
+FLATCAR_VERSION=3277.0.0+nightly-20220621-2100
+FLATCAR_VERSION_ID=3277.0.0
+FLATCAR_BUILD_ID="nightly-20220621-2100"
+FLATCAR_SDK_VERSION=3277.0.0+nightly-20220621-2100
diff --git a/sdk_container/src/third_party/coreos-overlay b/sdk_container/src/third_party/coreos-overlay
index c96cac32e2..62f0767b6b 160000
--- a/sdk_container/src/third_party/coreos-overlay
+++ b/sdk_container/src/third_party/coreos-overlay
@@ -1 +1 @@
-Subproject commit c96cac32e2cc15f56e41b62182b8dc3f4ba5d7fb
+Subproject commit 62f0767b6b535c8b4de446962ccc3d72dc615cc5