diff --git a/devito/types/dimension.py b/devito/types/dimension.py
index 784dde499e..152cf4f627 100644
--- a/devito/types/dimension.py
+++ b/devito/types/dimension.py
@@ -1342,14 +1342,16 @@ class CustomDimension(BasicDimension):
 
     is_Custom = True
 
-    __rkwargs__ = ('symbolic_min', 'symbolic_max', 'symbolic_size', 'parent')
+    __rkwargs__ = ('symbolic_min', 'symbolic_max', 'symbolic_size', 'parent',
+                   'local')
 
     def __init_finalize__(self, name, symbolic_min=None, symbolic_max=None,
-                          symbolic_size=None, parent=None, **kwargs):
+                          symbolic_size=None, parent=None, local=True, **kwargs):
         self._symbolic_min = symbolic_min
         self._symbolic_max = symbolic_max
         self._symbolic_size = symbolic_size
         self._parent = parent or BOTTOM
+        self._local = local
         super().__init_finalize__(name)
 
     @property
@@ -1382,6 +1384,10 @@ def spacing(self):
         else:
             return self._spacing
 
+    @property
+    def local(self):
+        return self._local
+
     @property
     def bound_symbols(self):
         ret = {self.symbolic_min, self.symbolic_max, self.symbolic_size}
@@ -1389,6 +1395,10 @@ def bound_symbols(self):
             ret.update(self.parent.bound_symbols)
         return frozenset(i for i in ret if i.is_Symbol)
 
+    @property
+    def _maybe_distributed(self):
+        return not self.local
+
     @cached_property
     def _defines(self):
         ret = frozenset({self})
diff --git a/tests/test_mpi.py b/tests/test_mpi.py
index 9d2032c472..8b5913fffc 100644
--- a/tests/test_mpi.py
+++ b/tests/test_mpi.py
@@ -8,7 +8,8 @@
                     Dimension, ConditionalDimension, div, solve, diag, grad,
                     SubDimension, SubDomain, Eq, Ne, Inc, NODE, Operator, norm,
                     inner, configuration, switchconfig, generic_derivative,
-                    PrecomputedSparseFunction, DefaultDimension, Buffer)
+                    PrecomputedSparseFunction, DefaultDimension, Buffer,
+                    CustomDimension)
 from devito.arch.compiler import OneapiCompiler
 from devito.data import LEFT, RIGHT
 from devito.ir.iet import (Call, Conditional, Iteration, FindNodes, FindSymbols,
@@ -1009,7 +1010,7 @@ def test_avoid_haloupdate_if_distr_but_sequential(self, mode):
         assert len(calls) == 0
 
     @pytest.mark.parallel(mode=1)
-    def test_avoid_haloupdate_with_subdims(self, mode):
+    def test_avoid_haloupdate_with_local_subdims(self, mode):
         grid = Grid(shape=(4,))
         x = grid.dimensions[0]
         t = grid.stepping_dim
@@ -1034,6 +1035,22 @@ def test_avoid_haloupdate_with_subdims(self, mode):
         calls = FindNodes(Call).visit(op)
         assert len(calls) == 1
 
+    @pytest.mark.parallel(mode=1)
+    def test_avoid_haloupdate_with_local_customdim(self, mode):
+        grid = Grid(shape=(10, 10))
+        x, y = grid.dimensions
+
+        d = CustomDimension(name='d', symbolic_min=1, symbolic_max=3, parent=y)
+
+        u = TimeFunction(name='u', grid=grid, space_order=4)
+
+        eq = Eq(u.forward.subs(y, -d), u.subs(y, d - 1) + 1)
+
+        op = Operator(eq)
+
+        calls = FindNodes(Call).visit(op)
+        assert len(calls) == 0
+
     @pytest.mark.parallel(mode=1)
     def test_avoid_haloupdate_with_constant_index(self, mode):
         grid = Grid(shape=(4,))