According to a report by foreign media Carbuzz, First Brands is facing a bankruptcy crisis, with Brake Parts, Cardone, and Autolite bearing the brunt of the impact. Brake Parts covers various braking components under brands such as Vortex and Raybestos. Autolite, a former major NASCAR sponsor, produces a wide range of spark plugs, including hard-to-find original replacement parts for vehicles long out of production. Cardone, which manufactures remanufactured parts like water pumps and brake calipers, is expected to see the most significant impact.

First Brands is currently attempting to sell off assets. According to the Financial Times, the company began seeking a full or partial sale early this year in hopes of exiting bankruptcy protection. Given that First Brands is an integral part of the automotive supply chain, a total collapse would have far-reaching consequences.

Reports suggest that Ford and General Motors (GM) are in talks regarding a potential financing package to keep First Brands operational during its restructuring. This plan aims to help First Brands weather the storm by prepaying for expected parts deliveries, effectively saving the company. If First Brands successfully restructures, a new leadership team will be appointed to help revitalize the firm.

A spokesperson for GM told Reuters that they are closely monitoring the situation with First Brands and are developing contingency plans to avoid any potential disruptions to their operations.