diff --git a/apis/ec2/v1beta1/zz_vpcendpoint_terraformed.go b/apis/ec2/v1beta1/zz_vpcendpoint_terraformed.go
index 84cb42d177..90fd341b5c 100755
--- a/apis/ec2/v1beta1/zz_vpcendpoint_terraformed.go
+++ b/apis/ec2/v1beta1/zz_vpcendpoint_terraformed.go
@@ -118,6 +118,7 @@ func (tr *VPCEndpoint) LateInitialize(attrs []byte) (bool, error) {
 		return false, errors.Wrap(err, "failed to unmarshal Terraform state parameters for late-initialization")
 	}
 	opts := []resource.GenericLateInitializerOption{resource.WithZeroValueJSONOmitEmptyFilter(resource.CNameWildcard)}
+	opts = append(opts, resource.WithNameFilter("SubnetConfiguration"))
 
 	li := resource.NewGenericLateInitializer(opts...)
 	return li.LateInitialize(&tr.Spec.ForProvider, params)
diff --git a/apis/ec2/v1beta2/zz_vpcendpoint_terraformed.go b/apis/ec2/v1beta2/zz_vpcendpoint_terraformed.go
index 90091e0619..e0c3c7bbdd 100755
--- a/apis/ec2/v1beta2/zz_vpcendpoint_terraformed.go
+++ b/apis/ec2/v1beta2/zz_vpcendpoint_terraformed.go
@@ -118,6 +118,7 @@ func (tr *VPCEndpoint) LateInitialize(attrs []byte) (bool, error) {
 		return false, errors.Wrap(err, "failed to unmarshal Terraform state parameters for late-initialization")
 	}
 	opts := []resource.GenericLateInitializerOption{resource.WithZeroValueJSONOmitEmptyFilter(resource.CNameWildcard)}
+	opts = append(opts, resource.WithNameFilter("SubnetConfiguration"))
 
 	li := resource.NewGenericLateInitializer(opts...)
 	return li.LateInitialize(&tr.Spec.ForProvider, params)
diff --git a/config/ec2/config.go b/config/ec2/config.go
index ba0b4a2caf..e9c9eae023 100644
--- a/config/ec2/config.go
+++ b/config/ec2/config.go
@@ -153,6 +153,12 @@ func Configure(p *config.Provider) { //nolint:gocyclo
 		// aws_vpc_endpoint_subnet_association
 		// aws_vpc_endpoint_route_table_association
 		// aws_vpc_endpoint_security_group_association
+		r.LateInitializer = config.LateInitializer{
+			// Conflicts with VPCEndpointSubnetAssociation
+			IgnoredFields: []string{
+				"subnet_configuration",
+			},
+		}
 		config.MoveToStatus(r.TerraformResource, "subnet_ids", "security_group_ids", "route_table_ids")
 		delete(r.References, "vpc_endpoint_type")
 	})
diff --git a/examples/ec2/v1beta1/vpcendpointsubnetassociation.yaml b/examples/ec2/v1beta1/vpcendpointsubnetassociation.yaml
index 208c13b041..35c03a2b47 100644
--- a/examples/ec2/v1beta1/vpcendpointsubnetassociation.yaml
+++ b/examples/ec2/v1beta1/vpcendpointsubnetassociation.yaml
@@ -5,6 +5,8 @@
 apiVersion: ec2.aws.upbound.io/v1beta1
 kind: VPCEndpointSubnetAssociation
 metadata:
+  annotations:
+    uptest.upbound.io/disable-import: "true"
   labels:
     testing.upbound.io/example-name: sn_ec2
   name: sn-ec2