diff --git a/pkg/asset/manifests/cloudproviderconfig.go b/pkg/asset/manifests/cloudproviderconfig.go
index e3101f124ad..b2a06c2321b 100644
--- a/pkg/asset/manifests/cloudproviderconfig.go
+++ b/pkg/asset/manifests/cloudproviderconfig.go
@@ -301,6 +301,8 @@ func (cpc *CloudProviderConfig) Generate(ctx context.Context, dependencies asset
 			vpcExists = true
 		} else if vpc, err = client.GetVPCByName(ctx, vpcNameOrID); err == nil {
 			vpcExists = true
+		} else {
+			return err
 		}
 
 		vpcSubnets := installConfig.Config.PowerVS.VPCSubnets