General Motors and Chrysler are to get more loans from the US Treasury as they work on plans to make themselves viable.
The two auto companies are seeking to stave off bankruptcy. GM will receive a further 60-day, $US5 billion loan and Chrysler will get $US500 million.
They have already received a combined $US17.4 billion in aid since December.
Both face collapse as the economic downturn has prompted a slump in sales of vehicles worldwide. The US government has demanded that both companies submit viable restructuring plans before it will consider further aid.
Chrysler is seeking an alliance with Fiat to prove its ability to weather the crisis. It is under a deadline on 30 April.
GM has until 1 June to complete its restructuring or it faces being put into bankruptcy.