diff --git a/sdk_container/src/third_party/coreos-overlay/coreos-base/coreos/coreos-0.0.1.ebuild b/sdk_container/src/third_party/coreos-overlay/coreos-base/coreos/coreos-0.0.1.ebuild
index 6798b65dc4..de884561b6 100644
--- a/sdk_container/src/third_party/coreos-overlay/coreos-base/coreos/coreos-0.0.1.ebuild
+++ b/sdk_container/src/third_party/coreos-overlay/coreos-base/coreos/coreos-0.0.1.ebuild
@@ -114,6 +114,7 @@ RDEPEND="${RDEPEND}
 	coreos-base/update-ssh-keys
 	coreos-base/update_engine
 	dev-db/etcdctl
+	dev-libs/libsodium
 	dev-libs/openssl
 	dev-util/bpftool
 	dev-util/bsdiff
diff --git a/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/files/disable-werror.patch b/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/files/disable-werror.patch
deleted file mode 100644
index 13be66cc35..0000000000
--- a/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/files/disable-werror.patch
+++ /dev/null
@@ -1,12 +0,0 @@
-diff --git a/Makefile.am b/Makefile.am
-index 90beb50..08febe6 100644
---- a/Makefile.am
-+++ b/Makefile.am
-@@ -14,7 +14,6 @@ AM_CFLAGS = -fno-exceptions \
- 	    -Wall \
- 	    -Wclobbered \
- 	    -Wempty-body \
--	    -Werror \
- 	    -Wignored-qualifiers \
- 	    -Wmissing-field-initializers \
- 	    -Wsign-compare \
diff --git a/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/update_engine-0.4.10-r8.ebuild b/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/update_engine-0.4.10-r9.ebuild
similarity index 100%
rename from sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/update_engine-0.4.10-r8.ebuild
rename to sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/update_engine-0.4.10-r9.ebuild
diff --git a/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/update_engine-9999.ebuild b/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/update_engine-9999.ebuild
index f31b251008..edd06be950 100644
--- a/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/update_engine-9999.ebuild
+++ b/sdk_container/src/third_party/coreos-overlay/coreos-base/update_engine/update_engine-9999.ebuild
@@ -8,7 +8,7 @@ CROS_WORKON_REPO="https://github.com"
 if [[ "${PV}" == 9999 ]]; then
 	KEYWORDS="~amd64 ~arm ~arm64 ~x86"
 else
-	CROS_WORKON_COMMIT="1c290db26e5591c5fe3497d91040e186e12b4315" # flatcar-master
+	CROS_WORKON_COMMIT="12d43a8e71293567f10d940465113550188a4ce8" # flatcar-master
 	KEYWORDS="amd64 arm64"
 fi
 
@@ -30,6 +30,7 @@ RDEPEND="!coreos-base/coreos-installer
 	dev-cpp/glog[gflags]
 	dev-libs/dbus-glib
 	dev-libs/glib
+	dev-libs/libsodium
 	dev-libs/libxml2
 	dev-libs/openssl
 	dev-libs/protobuf:=
@@ -42,10 +43,6 @@ DEPEND="dev-cpp/gtest
 	${BDEPEND}
 	${RDEPEND}"
 
-PATCHES=(
-	"${FILESDIR}/disable-werror.patch"
-)
-
 src_prepare() {
 	default
 	eautoreconf