diff --git a/sdk_container/.repo/manifests/version.txt b/sdk_container/.repo/manifests/version.txt
index 0c9e855733..e499f882f1 100644
--- a/sdk_container/.repo/manifests/version.txt
+++ b/sdk_container/.repo/manifests/version.txt
@@ -1,4 +1,4 @@
-FLATCAR_VERSION=3277.1.0+nightly-20220801-2100
+FLATCAR_VERSION=3277.1.0+nightly-20220802-2100
 FLATCAR_VERSION_ID=3277.1.0
-FLATCAR_BUILD_ID="nightly-20220801-2100"
+FLATCAR_BUILD_ID="nightly-20220802-2100"
 FLATCAR_SDK_VERSION=3277.0.0
diff --git a/sdk_container/src/third_party/coreos-overlay b/sdk_container/src/third_party/coreos-overlay
index 4a4d518373..32fb381d8b 160000
--- a/sdk_container/src/third_party/coreos-overlay
+++ b/sdk_container/src/third_party/coreos-overlay
@@ -1 +1 @@
-Subproject commit 4a4d518373dd6cff3fda172e11f0e7d7067b2a0e
+Subproject commit 32fb381d8bb9acee94109fad15a89ede92ad1dfa