A plan could also halt the manufacture of airbag inflators.

Reports are coming in that airbag supplier Takata could file for bankruptcy this coming week.

According to Bloomberg, it would initiate bankruptcy procedures in both Japan and the US, where it would file for Chapter 11. The news came from a source said to be familiar with the matter, but who remained unidentified. The Tokyo Stock Exchange froze trading of Takata stock on Friday while awaiting confirmation of the news.

The bankruptcy is seen as the first step in a buyout, the article continues, that could end up with Takata owned by Michigan-based rival Key Safety Systems, which is in turn owned by Chinese parts supplier Ningbo Joyson. If the plan goes through, Takata inflators would be rebranded as Key Safety Systems inflators.

Furthermore, it has emerged that under a restructuring plan currently under consideration, Takata would quit making airbag inflators altogether. The halt would come after Takata's current contracts with various automakers expire in 2020. Defective inflators were what caused a recall of approximately 100 million units sold to various automakers, kicking off the large recall in automotive history. The defective units are linked to 16 deaths and 150 injuries around the world.