bug(go) AuthFailure when performing static credential rotation

**Problem**
* While adding e2e tests for AssumeRole functionality, it was noticed that some of the static credential e2e tests were flaky.
* The tests would sometimes fail with an AuthFailure.

**Solution**
* It was discovered that this error happened sometimes after a static credential rotation and that AuthFailure occurs if EC2 is invoked with the wrong credentials.
* Due to IAM's eventual consistency model, it can take some time (up to several seconds) for changes, including rotated credentials, to get propagated to all AWS services, including EC2.
* The tests were intermittently failing because sometimes the credentials would be propagated in time before invoking EC2 and other times they were not propagated in time.
* The fix is to add a retry mechanism when calling DescribeInstances. A 30 second window is defined in which the retries can take place.
* The retries happen only for AuthFailures. Any other failure will not trigger a retry.

**Testing**
* After making this change, the intermittent failures were no longer seen for the e2e tests
* The e2e tests cover updating/creating catalogs and sets as well us updating the host list. All pass.
* New unit tests were added to test the retry mechanism. Support had to be added to mock a series of DescribeInstances calls vs a single call
* New and existing unit tests passed

README.md

@@ -25,6 +25,8 @@ Credential rotation can be turned off by setting the
 This plugin will attempt to assume a role when a `role_arn` is supplied through the
 `attributes` object. More information about assume an AWS role can be found [here](https://docs.aws.amazon.com/STS/latest/APIReference/API_AssumeRole.html). This feature only works when the plugin is running on a self managed Boundary [worker](https://developer.hashicorp.com/boundary/tutorials/hcp-administration/hcp-manage-workers).
 
+To discover hosts across multiple AWS accounts, supply a `target_role_arn` in addition to `role_arn`. The plugin uses the principal credentials to assume the target role via a two-hop `AssumeRole` chain, enabling cross-account host discovery from a single worker. See [Attributes and Secrets](plugin/service/host/README.md#attributes-and-secrets) for the full list of `target_*` attributes.
+
 ### Environment Credentials
 
 This plugin will attempt to retrieve credentials from environment variables. More

go.mod

@@ -4,6 +4,7 @@ go 1.25.7
 
 require (
 	github.com/aws/aws-sdk-go-v2 v1.41.7
+	github.com/aws/aws-sdk-go-v2/credentials v1.17.46
 	github.com/aws/aws-sdk-go-v2/service/ec2 v1.254.0
 	github.com/aws/aws-sdk-go-v2/service/iam v1.47.6
 	github.com/aws/aws-sdk-go-v2/service/s3 v1.101.0
@@ -26,7 +27,6 @@ require (
 	github.com/apparentlymart/go-textseg/v15 v15.0.0 // indirect
 	github.com/aws/aws-sdk-go-v2/aws/protocol/eventstream v1.7.10 // indirect
 	github.com/aws/aws-sdk-go-v2/config v1.28.5 // indirect
-	github.com/aws/aws-sdk-go-v2/credentials v1.17.46 // indirect
 	github.com/aws/aws-sdk-go-v2/feature/ec2/imds v1.16.20 // indirect
 	github.com/aws/aws-sdk-go-v2/internal/configsources v1.4.23 // indirect
 	github.com/aws/aws-sdk-go-v2/internal/endpoints/v2 v2.7.23 // indirect

internal/credential/attributes.go

@@ -186,3 +186,63 @@ func GetCredentialAttributes(in *structpb.Struct) (*CredentialAttributes, error)
 		RoleTags:                  roleTags,
 	}, nil
 }
+
+// GetTargetCredentialAttributes parses values out of a protobuf struct input and returns a CredentialAttributes used
+// for configuring a second AWS session. target_role_arn is required when parsing target credentials.
+// A status error is returned with an InvalidArgument code when target account attributes are missing
+// required values or have invalid value types.
+func GetTargetCredentialAttributes(in *structpb.Struct) (*CredentialAttributes, error) {
+	badFields := make(map[string]string)
+
+	// Parse the role ARN of the target account to AssumeRole into.
+	targetRoleArn, err := values.GetStringValue(in, ConstTargetRoleArn, true)
+	if err != nil {
+		badFields[fmt.Sprintf("attributes.%s", ConstTargetRoleArn)] = err.Error()
+	}
+
+	// try parsing target_region, fallback to region, adds target_region to bad fields only when malformed since not required
+	targetRegion, err := values.GetStringValue(in, ConstTargetRegion, false)
+	if err != nil {
+		badFields[fmt.Sprintf("attributes.%s", ConstTargetRegion)] = err.Error()
+	}
+	if targetRegion == "" {
+		targetRegion, err = values.GetStringValue(in, ConstRegion, true) // region is required for processing
+		if err != nil {
+			badFields[fmt.Sprintf("attributes.%s", ConstRegion)] = err.Error()
+		}
+	}
+
+	// the remaining fields are optional and only raise errors when malformed
+	disableCredentialRotation, err := values.GetBoolValue(in, ConstDisableCredentialRotation, false)
+	if err != nil {
+		badFields[fmt.Sprintf("attributes.%s", ConstDisableCredentialRotation)] = err.Error()
+	}
+
+	targetRoleExternalId, err := values.GetStringValue(in, ConstTargetRoleExternalId, false)
+	if err != nil {
+		badFields[fmt.Sprintf("attributes.%s", ConstTargetRoleExternalId)] = err.Error()
+	}
+
+	targetRoleSessionName, err := values.GetStringValue(in, ConstTargetRoleSessionName, false)
+	if err != nil {
+		badFields[fmt.Sprintf("attributes.%s", ConstTargetRoleSessionName)] = err.Error()
+	}
+
+	targetRoleTags, err := values.GetMapStringString(in, ConstTargetRoleTags, false)
+	if err != nil {
+		badFields[fmt.Sprintf("attributes.%s", ConstTargetRoleTags)] = err.Error()
+	}
+
+	if len(badFields) > 0 {
+		return nil, errors.InvalidArgumentError("Error in the attributes provided", badFields)
+	}
+
+	return &CredentialAttributes{
+		Region:                    targetRegion,
+		DisableCredentialRotation: disableCredentialRotation,
+		RoleArn:                   targetRoleArn,
+		RoleExternalId:            targetRoleExternalId,
+		RoleSessionName:           targetRoleSessionName,
+		RoleTags:                  targetRoleTags,
+	}, nil
+}

internal/credential/attributes_test.go

@@ -101,6 +101,232 @@ func TestGetCredentialAttributes(t *testing.T) {
 	}
 }
 
+func TestGetTargetCredentialAttributes(t *testing.T) {
+	const targetRoleArn = "arn:aws:iam::222222222222:role/Target"
+
+	cases := []struct {
+		name                string
+		in                  map[string]any
+		expected            *CredentialAttributes
+		expectedErrContains string
+	}{
+		{
+			name: "missing target_role_arn",
+			in: map[string]any{
+				ConstRegion: "us-west-2",
+			},
+			expectedErrContains: "attributes.target_role_arn: missing required value \"target_role_arn\"",
+		},
+		{
+			name:                "missing target_role_arn and region",
+			in:                  map[string]any{},
+			expectedErrContains: "attributes.target_role_arn: missing required value \"target_role_arn\"",
+		},
+		{
+			name: "empty target_role_arn",
+			in: map[string]any{
+				ConstRegion:        "us-west-2",
+				ConstTargetRoleArn: "",
+			},
+			expectedErrContains: "attributes.target_role_arn: value \"target_role_arn\" cannot be empty",
+		},
+		{
+			name: "wrong type target_role_arn",
+			in: map[string]any{
+				ConstRegion:        "us-west-2",
+				ConstTargetRoleArn: true,
+			},
+			expectedErrContains: "attributes.target_role_arn: unexpected type for value \"target_role_arn\": want string, got bool",
+		},
+		{
+			name: "target_region without target_role_arn",
+			in: map[string]any{
+				ConstRegion:       "us-west-2",
+				ConstTargetRegion: "eu-west-1",
+			},
+			expectedErrContains: "attributes.target_role_arn: missing required value \"target_role_arn\"",
+		},
+		{
+			name: "other target fields without target_role_arn",
+			in: map[string]any{
+				ConstRegion:                "us-west-2",
+				ConstTargetRoleExternalId:  "ext",
+				ConstTargetRoleSessionName: "sess",
+				ConstTargetRoleTags:        map[string]any{"k": "v"},
+			},
+			expectedErrContains: "attributes.target_role_arn: missing required value \"target_role_arn\"",
+		},
+		{
+			name: "target_role_arn uses region when target_region omitted",
+			in: map[string]any{
+				ConstRegion:        "us-west-2",
+				ConstTargetRoleArn: targetRoleArn,
+			},
+			expected: &CredentialAttributes{
+				Region:  "us-west-2",
+				RoleArn: targetRoleArn,
+			},
+		},
+		{
+			name: "target_role_arn without target_region or region",
+			in: map[string]any{
+				ConstTargetRoleArn: targetRoleArn,
+			},
+			expectedErrContains: "missing required value \"region\"",
+		},
+		{
+			name: "target_region overrides region",
+			in: map[string]any{
+				ConstRegion:        "us-west-2",
+				ConstTargetRegion:  "eu-west-1",
+				ConstTargetRoleArn: targetRoleArn,
+			},
+			expected: &CredentialAttributes{
+				Region:  "eu-west-1",
+				RoleArn: targetRoleArn,
+			},
+		},
+		{
+			name: "empty target_region falls back to region",
+			in: map[string]any{
+				ConstRegion:        "us-west-2",
+				ConstTargetRegion:  "",
+				ConstTargetRoleArn: targetRoleArn,
+			},
+			expected: &CredentialAttributes{
+				Region:  "us-west-2",
+				RoleArn: targetRoleArn,
+			},
+		},
+		{
+			name: "all optional target fields",
+			in: map[string]any{
+				ConstRegion:                    "us-west-2",
+				ConstDisableCredentialRotation: true,
+				ConstTargetRoleArn:             targetRoleArn,
+				ConstTargetRegion:              "eu-west-1",
+				ConstTargetRoleExternalId:      "target-ext",
+				ConstTargetRoleSessionName:     "target-sess",
+				ConstTargetRoleTags:            map[string]any{"env": "target"},
+			},
+			expected: &CredentialAttributes{
+				Region:                    "eu-west-1",
+				DisableCredentialRotation: true,
+				RoleArn:                   targetRoleArn,
+				RoleExternalId:            "target-ext",
+				RoleSessionName:           "target-sess",
+				RoleTags:                  map[string]string{"env": "target"},
+			},
+		},
+		{
+			name: "optional target fields omitted do not copy principal role fields",
+			in: map[string]any{
+				ConstRegion:          "us-west-2",
+				ConstRoleArn:         "arn:aws:iam::111111111111:role/Principal",
+				ConstRoleExternalId:  "principal-ext",
+				ConstRoleSessionName: "principal-sess",
+				ConstRoleTags:        map[string]any{"env": "principal"},
+				ConstTargetRoleArn:   targetRoleArn,
+			},
+			expected: &CredentialAttributes{
+				Region:  "us-west-2",
+				RoleArn: targetRoleArn,
+			},
+		},
+		{
+			name: "disable_credential_rotation false is copied",
+			in: map[string]any{
+				ConstRegion:                    "us-west-2",
+				ConstDisableCredentialRotation: false,
+				ConstTargetRoleArn:             targetRoleArn,
+			},
+			expected: &CredentialAttributes{
+				Region:                    "us-west-2",
+				DisableCredentialRotation: false,
+				RoleArn:                   targetRoleArn,
+			},
+		},
+		{
+			name: "wrong type target_region",
+			in: map[string]any{
+				ConstRegion:        "us-west-2",
+				ConstTargetRoleArn: targetRoleArn,
+				ConstTargetRegion:  true,
+			},
+			expectedErrContains: "attributes.target_region: unexpected type for value \"target_region\": want string, got bool",
+		},
+		{
+			name: "wrong type target_role_external_id",
+			in: map[string]any{
+				ConstRegion:               "us-west-2",
+				ConstTargetRoleArn:        targetRoleArn,
+				ConstTargetRoleExternalId: true,
+			},
+			expectedErrContains: "attributes.target_role_external_id: unexpected type for value \"target_role_external_id\": want string, got bool",
+		},
+		{
+			name: "wrong type target_role_session_name",
+			in: map[string]any{
+				ConstRegion:                "us-west-2",
+				ConstTargetRoleArn:         targetRoleArn,
+				ConstTargetRoleSessionName: true,
+			},
+			expectedErrContains: "attributes.target_role_session_name: unexpected type for value \"target_role_session_name\": want string, got bool",
+		},
+		{
+			name: "wrong type target_role_tags",
+			in: map[string]any{
+				ConstRegion:         "us-west-2",
+				ConstTargetRoleArn:  targetRoleArn,
+				ConstTargetRoleTags: true,
+			},
+			expectedErrContains: "attributes.target_role_tags: unexpected type for value \"target_role_tags\": want map[string]string, got bool",
+		},
+		{
+			name: "wrong type target_role_tag value",
+			in: map[string]any{
+				ConstRegion:        "us-west-2",
+				ConstTargetRoleArn: targetRoleArn,
+				ConstTargetRoleTags: map[string]any{
+					"env": true,
+				},
+			},
+			expectedErrContains: `unexpected type for value in map["env"]: want string, got bool`,
+		},
+		{
+			name: "wrong type disable_credential_rotation",
+			in: map[string]any{
+				ConstRegion:                    "us-west-2",
+				ConstTargetRoleArn:             targetRoleArn,
+				ConstDisableCredentialRotation: "sure",
+			},
+			expectedErrContains: "attributes.disable_credential_rotation: unexpected type for value \"disable_credential_rotation\": want bool, got string",
+		},
+	}
+
+	for _, tc := range cases {
+		tc := tc
+		t.Run(tc.name, func(t *testing.T) {
+			require := require.New(t)
+
+			input, err := structpb.NewStruct(tc.in)
+			require.NoError(err)
+
+			actual, err := GetTargetCredentialAttributes(input)
+			if tc.expectedErrContains != "" {
+				require.Error(err)
+				require.Nil(actual)
+				require.Contains(err.Error(), tc.expectedErrContains)
+				require.Equal(codes.InvalidArgument, status.Code(err))
+				return
+			}
+
+			require.NoError(err)
+			require.Equal(tc.expected, actual)
+		})
+	}
+}
+
 func TestGetCredentialsConfig(t *testing.T) {
 	cases := []struct {
 		name                string

internal/credential/const.go

@@ -4,10 +4,10 @@
 package credential
 
 const (
-	// ConstAccessKey is the key for the region in the aws credentials.
+	// ConstRegion is the key for the region in the aws credentials.
 	ConstRegion = "region"
 
-	// ConstAccessKey is the key for the access key id in the aws credentials.
+	// ConstAccessKeyId is the key for the access key id in the aws credentials.
 	ConstAccessKeyId = "access_key_id"
 
 	// ConstSecretAccessKey is the key for the secret access key in the aws credentials.
@@ -30,4 +30,19 @@ const (
 
 	// ConstRoleTags is the key for the tags used for assuming a IAM role.
 	ConstRoleTags = "role_tags"
+
+	// ConstTargetRegion is the key for the region of the target account in the aws credentials.
+	ConstTargetRegion = "target_region"
+
+	// ConstTargetRoleArn is the key for assuming a IAM role for the target account.
+	ConstTargetRoleArn = "target_role_arn"
+
+	// ConstTargetRoleExternalId is the key for the external id used for assuming a IAM role for the target account.
+	ConstTargetRoleExternalId = "target_role_external_id"
+
+	// ConstTargetRoleSessionName is the key for the session name used for assuming a IAM role of the target account.
+	ConstTargetRoleSessionName = "target_role_session_name"
+
+	// ConstTargetRoleTags is the key for the tags used for assuming a IAM role of the target account.
+	ConstTargetRoleTags = "target_role_tags"
 )

internal/errors/error.go

@@ -23,6 +23,11 @@ import (
 )
 
 const (
+	// AwsErrorAuthFailure is returned by EC2 when credentials exist in IAM
+	// but have not yet propagated to EC2. This is a transient eventual
+	// consistency issue that can resolve itself by retrying the request.
+	AwsErrorAuthFailure = "AuthFailure"
+
 	// awsErrorAccessDenied is returned when the credentials do not have
 	// the required permissions to do a specific action on a resource.
 	// This error will persist until the IAM Role Policy is updated by

plugin/service/host/README.md

@@ -109,13 +109,23 @@ The following `attributes` are valid on an AWS host catalog resource:
 - `region` (string): The region to configure the host catalog for. All host sets
   in this catalog will be configured for this region.
 - `role_arn` (string): The AWS Role ARN used for `AssumeRole` authentication. If
-  provided, `disable_credential_rotation` must be also set to `true.
+  provided, `disable_credential_rotation` must be also set to `true`.
-- `role_external_id` (string):  The external id configured for the `AssumeRole`
+- `role_external_id` (string): The external ID configured for the principal `AssumeRole`
   provider.
-- `role_session_name` (string): The session name configured for the `AssumeRole`
+- `role_session_name` (string): The session name configured for the principal `AssumeRole`
   provider.
-- `role_tags` (object): The key-value pair tags configured for the `AssumeRole`
+- `role_tags` (object): The key-value pair tags configured for the principal `AssumeRole`
   provider.
+- `target_role_arn` (string): The AWS role ARN of the target IAM role to assume for
+  cross-account discovery. Required if any other `target_*` attributes are configured.
+- `target_region` (string): The region where the target hosts reside. Defaults to the
+  principal account `region` if omitted.
+- `target_role_external_id` (string): The external ID configured for the target
+  `AssumeRole` provider.
+- `target_role_session_name` (string): The session name configured for the target
+  `AssumeRole` provider.
+- `target_role_tags` (object): The key-value pair tags configured for the target
+  `AssumeRole` provider.
 
 The following `secrets` are required on an AWS host catalog resource:
 

plugin/service/host/attributes.go

@@ -20,6 +20,9 @@ import (
 type CatalogAttributes struct {
 	*cred.CredentialAttributes
 
+	// TargetAccount optionally holds the credentials used to AssumeRole into a second, affiliated account when provided.
+	TargetAccount *cred.CredentialAttributes
+
 	// DualStack is used for configuring how the aws client will resolve requests.
 	DualStack bool
 
@@ -39,6 +42,14 @@ func getCatalogAttributes(in *structpb.Struct) (*CatalogAttributes, error) {
 		return nil, err
 	}
 
+	var targetCredAttributes *cred.CredentialAttributes
+	if hasTargetAccountAttributes(in) {
+		targetCredAttributes, err = cred.GetTargetCredentialAttributes(in)
+		if err != nil {
+			return nil, err
+		}
+	}
+
 	dualStack, err := values.GetBoolValue(in, ConstAwsDualStack, false)
 	if err != nil {
 		badFields[fmt.Sprintf("attributes.%s", ConstAwsDualStack)] = err.Error()
@@ -66,6 +77,16 @@ func getCatalogAttributes(in *structpb.Struct) (*CatalogAttributes, error) {
 			continue
 		case cred.ConstRoleTags:
 			continue
+		case cred.ConstTargetRegion:
+			continue
+		case cred.ConstTargetRoleArn:
+			continue
+		case cred.ConstTargetRoleExternalId:
+			continue
+		case cred.ConstTargetRoleSessionName:
+			continue
+		case cred.ConstTargetRoleTags:
+			continue
 		default:
 			badFields[fmt.Sprintf("attributes.%s", s)] = "unrecognized field"
 		}
@@ -77,6 +98,7 @@ func getCatalogAttributes(in *structpb.Struct) (*CatalogAttributes, error) {
 
 	return &CatalogAttributes{
 		CredentialAttributes:  credAttributes,
+		TargetAccount:         targetCredAttributes,
 		DualStack:             dualStack,
 		InstanceAddressesOnly: instanceAddressesOnly,
 	}, nil
@@ -121,3 +143,19 @@ func getSetAttributes(in *structpb.Struct) (*SetAttributes, error) {
 
 	return &setAttrs, nil
 }
+
+func hasTargetAccountAttributes(in *structpb.Struct) bool {
+	fields := in.GetFields()
+
+	_, hasTargetRegion := fields[cred.ConstTargetRegion]
+	_, hasTargetRoleArn := fields[cred.ConstTargetRoleArn]
+	_, hasTargetRoleExternalID := fields[cred.ConstTargetRoleExternalId]
+	_, hasTargetRoleSessionName := fields[cred.ConstTargetRoleSessionName]
+	_, hasTargetRoleTags := fields[cred.ConstTargetRoleTags]
+
+	return hasTargetRegion ||
+		hasTargetRoleArn ||
+		hasTargetRoleExternalID ||
+		hasTargetRoleSessionName ||
+		hasTargetRoleTags
+}

plugin/service/host/attributes_test.go

@@ -118,6 +118,170 @@ func TestGetCatalogAttributes(t *testing.T) {
 				},
 			},
 		},
+		{
+			name: "target_region without target_role_arn",
+			in: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					"region":        structpb.NewStringValue("us-west-2"),
+					"target_region": structpb.NewStringValue("eu-west-1"),
+				},
+			},
+			expectedErrContains: "attributes.target_role_arn: missing required value \"target_role_arn\"",
+		},
+		{
+			name: "target role field without target_role_arn",
+			in: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					"region":                  structpb.NewStringValue("us-west-2"),
+					"target_role_external_id": structpb.NewStringValue("target-ext"),
+				},
+			},
+			expectedErrContains: "attributes.target_role_arn: missing required value \"target_role_arn\"",
+		},
+		{
+			name: "other target role fields without target_role_arn",
+			in: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					"region":                   structpb.NewStringValue("us-west-2"),
+					"target_role_session_name": structpb.NewStringValue("target-session"),
+					"target_role_tags": structpb.NewStructValue(&structpb.Struct{
+						Fields: map[string]*structpb.Value{
+							"env": structpb.NewStringValue("target"),
+						},
+					}),
+				},
+			},
+			expectedErrContains: "attributes.target_role_arn: missing required value \"target_role_arn\"",
+		},
+		{
+			name: "empty target_role_arn with target_region",
+			in: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					"region":          structpb.NewStringValue("us-west-2"),
+					"target_role_arn": structpb.NewStringValue(""),
+					"target_region":   structpb.NewStringValue("eu-west-1"),
+				},
+			},
+			expectedErrContains: "attributes.target_role_arn: value \"target_role_arn\" cannot be empty",
+		},
+		{
+			name: "target_role_arn without target_region uses region; principal sts fields are not copied",
+			in: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					"region":                      structpb.NewStringValue("us-west-2"),
+					"disable_credential_rotation": structpb.NewBoolValue(true),
+					"role_arn":                    structpb.NewStringValue("arn:aws:iam::111111111111:role/Principal"),
+					"role_external_id":            structpb.NewStringValue("principal-ext"),
+					"role_session_name":           structpb.NewStringValue("principal-sess"),
+					"role_tags": structpb.NewStructValue(&structpb.Struct{
+						Fields: map[string]*structpb.Value{
+							"env": structpb.NewStringValue("principal"),
+						},
+					}),
+					"target_role_arn": structpb.NewStringValue("arn:aws:iam::222222222222:role/Target"),
+				},
+			},
+			expected: &CatalogAttributes{
+				CredentialAttributes: &cred.CredentialAttributes{
+					Region:                    "us-west-2",
+					DisableCredentialRotation: true,
+					RoleArn:                   "arn:aws:iam::111111111111:role/Principal",
+					RoleExternalId:            "principal-ext",
+					RoleSessionName:           "principal-sess",
+					RoleTags: map[string]string{
+						"env": "principal",
+					},
+				},
+				TargetAccount: &cred.CredentialAttributes{
+					Region:                    "us-west-2",
+					DisableCredentialRotation: true,
+					RoleArn:                   "arn:aws:iam::222222222222:role/Target",
+				},
+			},
+		},
+		{
+			name: "target attributes are independent of principal",
+			in: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					"region":                      structpb.NewStringValue("us-west-2"),
+					"disable_credential_rotation": structpb.NewBoolValue(true),
+					"role_arn":                    structpb.NewStringValue("arn:aws:iam::111111111111:role/Principal"),
+					"role_external_id":            structpb.NewStringValue("principal-ext"),
+					"role_session_name":           structpb.NewStringValue("principal-sess"),
+					"role_tags": structpb.NewStructValue(&structpb.Struct{
+						Fields: map[string]*structpb.Value{
+							"env": structpb.NewStringValue("principal"),
+						},
+					}),
+					"target_role_arn":          structpb.NewStringValue("arn:aws:iam::222222222222:role/Target"),
+					"target_region":            structpb.NewStringValue("eu-west-1"),
+					"target_role_external_id":  structpb.NewStringValue("target-ext"),
+					"target_role_session_name": structpb.NewStringValue("target-sess"),
+					"target_role_tags": structpb.NewStructValue(&structpb.Struct{
+						Fields: map[string]*structpb.Value{
+							"env": structpb.NewStringValue("target"),
+						},
+					}),
+				},
+			},
+			expected: &CatalogAttributes{
+				CredentialAttributes: &cred.CredentialAttributes{
+					Region:                    "us-west-2",
+					DisableCredentialRotation: true,
+					RoleArn:                   "arn:aws:iam::111111111111:role/Principal",
+					RoleExternalId:            "principal-ext",
+					RoleSessionName:           "principal-sess",
+					RoleTags: map[string]string{
+						"env": "principal",
+					},
+				},
+				TargetAccount: &cred.CredentialAttributes{
+					Region:                    "eu-west-1",
+					DisableCredentialRotation: true,
+					RoleArn:                   "arn:aws:iam::222222222222:role/Target",
+					RoleExternalId:            "target-ext",
+					RoleSessionName:           "target-sess",
+					RoleTags: map[string]string{
+						"env": "target",
+					},
+				},
+			},
+		},
+		{
+			name: "catalog dual_stack and instance_addresses_only with target",
+			in: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					"region":                  structpb.NewStringValue("us-west-2"),
+					"dual_stack":              structpb.NewBoolValue(true),
+					"instance_addresses_only": structpb.NewBoolValue(true),
+					"target_role_arn":         structpb.NewStringValue("arn:aws:iam::222222222222:role/Target"),
+				},
+			},
+			expected: &CatalogAttributes{
+				CredentialAttributes: &credential.CredentialAttributes{
+					Region:                    "us-west-2",
+					DisableCredentialRotation: false,
+				},
+				TargetAccount: &cred.CredentialAttributes{
+					Region:                    "us-west-2",
+					DisableCredentialRotation: false,
+					RoleArn:                   "arn:aws:iam::222222222222:role/Target",
+				},
+				DualStack:             true,
+				InstanceAddressesOnly: true,
+			},
+		},
+		{
+			name: "unknown field with target_role_arn",
+			in: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					"region":          structpb.NewStringValue("us-west-2"),
+					"target_role_arn": structpb.NewStringValue("arn:aws:iam::222222222222:role/Target"),
+					"foo":             structpb.NewBoolValue(true),
+				},
+			},
+			expectedErrContains: "attributes.foo: unrecognized field",
+		},
 	}
 
 	for _, tc := range cases {

plugin/service/host/plugin.go

@@ -5,12 +5,18 @@ package host
 
 import (
 	"context"
+	goerrors "errors"
 	"fmt"
 	"strings"
+	"time"
 
 	"github.com/aws/aws-sdk-go-v2/aws"
+	"github.com/aws/aws-sdk-go-v2/credentials/stscreds"
 	"github.com/aws/aws-sdk-go-v2/service/ec2"
 	"github.com/aws/aws-sdk-go-v2/service/ec2/types"
+	"github.com/aws/aws-sdk-go-v2/service/sts"
+	stsTypes "github.com/aws/aws-sdk-go-v2/service/sts/types"
+	"github.com/aws/smithy-go"
 	"github.com/hashicorp/boundary-plugin-aws/internal/credential"
 	"github.com/hashicorp/boundary-plugin-aws/internal/errors"
 	pb "github.com/hashicorp/boundary/sdk/pbs/plugin"
@@ -32,6 +38,16 @@ type HostPlugin struct {
 	testCatalogStateOpts []awsCatalogPersistedStateOption
 }
 
+type hostSetQuery struct {
+	Id          string
+	Input       *ec2.DescribeInstancesInput
+	Output      *ec2.DescribeInstancesOutput
+	OutputHosts []*pb.ListHostsResponseHost
+}
+
+const defaultSessionName = "boundary-default"
+const dryRunOperationErrorCode = "DryRunOperation"
+
 // Ensure that we are implementing HostPluginServiceServer
 var _ pb.HostPluginServiceServer = (*HostPlugin)(nil)
 
@@ -495,13 +511,6 @@ func (p *HostPlugin) ListHosts(ctx context.Context, req *pb.ListHostsRequest) (*
 	}
 
 	// Build all the queries in advance.
-	type hostSetQuery struct {
-		Id          string
-		Input       *ec2.DescribeInstancesInput
-		Output      *ec2.DescribeInstancesOutput
-		OutputHosts []*pb.ListHostsResponseHost
-	}
-
 	queries := make([]hostSetQuery, len(sets))
 	for i, set := range sets {
 		// Validate Id since we use it in output
@@ -531,20 +540,22 @@ func (p *HostPlugin) ListHosts(ctx context.Context, req *pb.ListHostsRequest) (*
 	if catalogAttributes.DualStack {
 		opts = append(opts, WithDualStack(catalogAttributes.DualStack))
 	}
-	ec2Client, err := catalogState.EC2Client(ctx, opts...)
-	if err != nil {
-		return nil, errors.BadRequestStatusf("error getting EC2 client: %s", err)
-	}
 
 	// Run all queries now and assemble output.
 	var maxLen int
 	for i, query := range queries {
-		output, err := ec2Client.DescribeInstances(ctx, query.Input)
+		output, err := checkHosts(ctx, catalogState, query.Input, opts, catalogAttributes.TargetAccount)
 		if err != nil {
-			return nil, errors.BadRequestStatusf("error running DescribeInstances for host set id %q: %s", query.Id, err)
+			if catalogAttributes.TargetAccount != nil {
+				return nil, errors.BadRequestStatusf("unable to list hosts for host set %q: %s", query.Id, err)
+			}
+			return nil, errors.BadRequestStatusf("error retrieving host results for host set id %q: %s", query.Id, err)
 		}
 
 		queries[i].Output = output
+		if output == nil {
+			continue
+		}
 
 		// Process the output here, we will normalize this into a single
 		// set of hosts afterwards (possibly removing duplicates).
@@ -707,10 +718,129 @@ func awsInstanceToHost(instance types.Instance, catalogAttributes *CatalogAttrib
 	return result, nil
 }
 
+func checkHosts(ctx context.Context,
+	principalCatalogState *awsCatalogPersistedState,
+	input *ec2.DescribeInstancesInput,
+	opts []ec2Option,
+	target *credential.CredentialAttributes,
+) (*ec2.DescribeInstancesOutput, error) {
+	if principalCatalogState == nil {
+		return nil, fmt.Errorf("unable to create EC2 client from catalog state")
+	}
+
+	var ec2Client EC2API
+	var err error
+	if target == nil {
+		// use the principal account to execute the DescribeInstances command
+		ec2Client, err = principalCatalogState.EC2Client(ctx, opts...)
+		if err != nil {
+			return nil, err
+		}
+	} else {
+		// use the target account to execute the DescribeInstances command
+		ec2Client, err = ec2ClientForTarget(ctx, principalCatalogState, target, opts)
+		if err != nil {
+			return nil, fmt.Errorf("EC2 client setup failed for target account: %w", err)
+		}
+	}
+
+	output, err := ec2Client.DescribeInstances(ctx, input)
+	if err != nil {
+		var awsErr smithy.APIError
+		ok := goerrors.As(err, &awsErr)
+		if ok && awsErr.ErrorCode() == dryRunOperationErrorCode {
+			// successful DryRun validation, no response necessary, no error thrown
+			return nil, nil
+		}
+
+		if target != nil {
+			return nil, fmt.Errorf("EC2 DescribeInstances failed for target account: %w", err)
+		}
+		return nil, err
+	}
+
+	return output, nil
+}
+
+// ec2ClientForTarget builds an EC2 client to query the target account.
+// The hop is a continuation of the principal session: STS AssumeRole is called
+// as the principal to get to the target, then EC2 uses the resulting temporary credentials.
+// This is not a second worker-level credential chain on the target attributes.
+func ec2ClientForTarget(
+	ctx context.Context,
+	principalCatalogState *awsCatalogPersistedState,
+	target *credential.CredentialAttributes,
+	opts []ec2Option) (EC2API, error) {
+	// Reuse the principal SDK config (HTTP client, retries, logger, and the
+	// principal identity).
+	principalCfg, err := principalCatalogState.GenerateCredentialChain(ctx)
+	if err != nil {
+		return nil, fmt.Errorf("principal AWS configuration could not be loaded: %w", err)
+	}
+	if principalCfg == nil {
+		return nil, fmt.Errorf("nil principal AWS configuration while configuring EC2 client for target account")
+	}
+
+	// STS must run as the principal so the target role's trust policy sees that
+	// identity, not the worker's. Session name, external ID, and tags are
+	// forwarded from attrs when set so the AssumeRole matches the target role's configuration.
+	stsClient := sts.NewFromConfig(*principalCfg)
+	provider := stscreds.NewAssumeRoleProvider(stsClient, target.RoleArn, func(o *stscreds.AssumeRoleOptions) {
+		if target.RoleSessionName != "" {
+			o.RoleSessionName = target.RoleSessionName
+		} else {
+			// STS may reject the AssumeRole request if session name is not provided.
+			o.RoleSessionName = defaultSessionName
+		}
+		if target.RoleExternalId != "" {
+			o.ExternalID = &target.RoleExternalId
+		}
+		for k, v := range target.RoleTags {
+			o.Tags = append(o.Tags, stsTypes.Tag{
+				Key:   aws.String(k),
+				Value: aws.String(v),
+			})
+		}
+	})
+
+	// Same worker SDK environment as the principal; only identity and region change.
+	targetCfg := principalCfg.Copy()
+	targetCfg.Credentials = aws.NewCredentialsCache(provider)
+	if target.Region != "" {
+		targetCfg.Region = target.Region
+	}
+
+	parsed, err := getOpts(opts...)
+	if err != nil {
+		return nil, fmt.Errorf("EC2 client options are invalid: %w", err)
+	}
+	// Dual-stack is the worker's path to AWS endpoints, not per-account. Apply
+	// it on the hopped client the same way EC2Client does for the principal.
+	var ec2Opts []func(*ec2.Options)
+	if parsed.withDualStack {
+		ec2Opts = append(ec2Opts, ec2.WithEndpointResolverV2(&endpointResolver{
+			dualStack: parsed.withDualStack,
+		}))
+	}
+
+	if principalCatalogState.testEC2APIFunc != nil {
+		return principalCatalogState.testEC2APIFunc(targetCfg)
+	}
+	return ec2.NewFromConfig(targetCfg, ec2Opts...), nil
+}
+
+// dryRunValidationTimeout is the maximum time to wait for credentials to
+// propagate across AWS services after rotation before giving up.
+const dryRunValidationTimeout = 30 * time.Second
+
 // dryRunValidation performs an AWS DescribeInstances call to verify the state's
 // credentials, the host listing functionality as well as the filters, if any
 // are passed in. This function can therefore be used for both host catalog and
 // host set validation.
+//
+// After credential rotation, IAM keys may be valid for STS (GetCallerIdentity)
+// but not yet propagated to EC2. This function retries on AuthFailure to
+// tolerate that eventual consistency window.
 func dryRunValidation(ctx context.Context, state *awsCatalogPersistedState, ec2Opts []ec2Option, filters ...types.Filter) *status.Status {
 	if state == nil {
 		return status.New(codes.InvalidArgument, "persisted state is required")
@@ -721,12 +851,34 @@ func dryRunValidation(ctx context.Context, state *awsCatalogPersistedState, ec2O
 		return status.New(codes.InvalidArgument, fmt.Sprintf("error getting EC2 client: %s", err))
 	}
 
-	_, err = ec2Client.DescribeInstances(ctx, &ec2.DescribeInstancesInput{Filters: filters})
+	deadline := time.Now().Add(dryRunValidationTimeout)
-	if err != nil {
+	delay := time.Second
-		return status.New(codes.FailedPrecondition, fmt.Sprintf("aws describe instances failed: %s", err))
+	for {
-	}
+		_, err = ec2Client.DescribeInstances(ctx, &ec2.DescribeInstancesInput{Filters: filters})
+		if err == nil {
+			return nil
+		}
 
-	return nil
+		// AuthFailure indicates the credentials exist but haven't propagated
+		// to EC2 yet — a transient eventual consistency issue after rotation.
+		// Retry until the deadline.
+		if strings.Contains(err.Error(), errors.AwsErrorAuthFailure) && time.Now().Before(deadline) {
+			select {
+			case <-time.After(delay):
+				// Wait before retrying to give credentials time to propagate.
+			case <-ctx.Done():
+				// The caller cancelled — break out of the select.
+				break
+			}
+			if ctx.Err() != nil {
+				break
+			}
+			continue
+		}
+
+		break
+	}
+	return status.New(codes.FailedPrecondition, fmt.Sprintf("aws describe instances failed: %s", err))
 }
 
 // appendDistinct will append the elements to the slice

plugin/service/host/plugin_test.go

@@ -18,6 +18,7 @@ import (
 	iamTypes "github.com/aws/aws-sdk-go-v2/service/iam/types"
 	"github.com/google/go-cmp/cmp"
 	"github.com/hashicorp/boundary-plugin-aws/internal/credential"
+	pluginErrors "github.com/hashicorp/boundary-plugin-aws/internal/errors"
 	"github.com/hashicorp/boundary/sdk/pbs/controller/api/resources/hostcatalogs"
 	"github.com/hashicorp/boundary/sdk/pbs/controller/api/resources/hostsets"
 	pb "github.com/hashicorp/boundary/sdk/pbs/plugin"
@@ -1849,6 +1850,162 @@ func TestPluginOnUpdateSetErr(t *testing.T) {
 	}
 }
 
+func testListHostsSet(id, filter string) *hostsets.HostSet {
+	return &hostsets.HostSet{
+		Id: id,
+		Attrs: &hostsets.HostSet_Attributes{
+			Attributes: &structpb.Struct{
+				Fields: map[string]*structpb.Value{
+					ConstDescribeInstancesFilters: structpb.NewListValue(
+						&structpb.ListValue{
+							Values: []*structpb.Value{
+								structpb.NewStringValue(filter),
+							},
+						},
+					),
+				},
+			},
+		},
+	}
+}
+
+func testListHostsPersisted() *pb.HostCatalogPersisted {
+	return &pb.HostCatalogPersisted{
+		Secrets: &structpb.Struct{
+			Fields: map[string]*structpb.Value{
+				credential.ConstAccessKeyId:     structpb.NewStringValue("AKIA_foobar"),
+				credential.ConstSecretAccessKey: structpb.NewStringValue("bazqux"),
+			},
+		},
+	}
+}
+
+func testExpectedDescribeInput(filterKey, filterValue string) *ec2.DescribeInstancesInput {
+	return &ec2.DescribeInstancesInput{
+		DryRun: aws.Bool(false),
+		Filters: []types.Filter{
+			{
+				Name:   aws.String(filterKey),
+				Values: []string{filterValue},
+			},
+			{
+				Name:   aws.String("instance-state-name"),
+				Values: []string{string(types.InstanceStateNameRunning)},
+			},
+		},
+	}
+}
+
+func TestPluginListHosts(t *testing.T) {
+	describeOutput := &ec2.DescribeInstancesOutput{
+		Reservations: []types.Reservation{
+			{
+				Instances: []types.Instance{
+					{
+						InstanceId:       aws.String("i-shared"),
+						PrivateIpAddress: aws.String("10.0.0.1"),
+					},
+				},
+			},
+		},
+	}
+
+	cases := []struct {
+		name             string
+		catalogFields    map[string]*structpb.Value
+		sets             []*hostsets.HostSet
+		expectedRegion   string
+		expectedHosts    []*pb.ListHostsResponseHost
+		expectedInputs   []*ec2.DescribeInstancesInput
+		expectedDescribe int
+	}{
+		{
+			name: "principal account lists hosts",
+			catalogFields: map[string]*structpb.Value{
+				credential.ConstRegion: structpb.NewStringValue("us-west-2"),
+			},
+			sets: []*hostsets.HostSet{
+				testListHostsSet("set-1", "tag-key=foo"),
+			},
+			expectedRegion: "us-west-2",
+			expectedHosts: []*pb.ListHostsResponseHost{
+				{
+					ExternalId: "i-shared",
+					SetIds:     []string{"set-1"},
+				},
+			},
+			expectedInputs: []*ec2.DescribeInstancesInput{
+				testExpectedDescribeInput("tag-key", "foo"),
+			},
+			expectedDescribe: 1,
+		},
+		{
+			name: "target account lists hosts without querying principal",
+			catalogFields: map[string]*structpb.Value{
+				credential.ConstRegion:        structpb.NewStringValue("us-west-2"),
+				credential.ConstTargetRoleArn: structpb.NewStringValue("arn:aws:iam::222222222222:role/Target"),
+				credential.ConstTargetRegion:  structpb.NewStringValue("eu-west-1"),
+			},
+			sets: []*hostsets.HostSet{
+				testListHostsSet("set-1", "tag-key=foo"),
+				testListHostsSet("set-2", "tag-key=bar"),
+			},
+			expectedRegion: "eu-west-1",
+			expectedHosts: []*pb.ListHostsResponseHost{
+				{
+					ExternalId: "i-shared",
+					SetIds:     []string{"set-1", "set-2"},
+				},
+			},
+			expectedInputs: []*ec2.DescribeInstancesInput{
+				testExpectedDescribeInput("tag-key", "foo"),
+				testExpectedDescribeInput("tag-key", "bar"),
+			},
+			expectedDescribe: 2,
+		},
+	}
+
+	for _, tc := range cases {
+		tc := tc
+		t.Run(tc.name, func(t *testing.T) {
+			require := require.New(t)
+			state := &testMockEC2State{}
+			p := &HostPlugin{
+				testCatalogStateOpts: []awsCatalogPersistedStateOption{
+					withTestEC2APIFunc(newTestMockEC2(
+						state,
+						testMockEC2WithDescribeInstancesOutput(describeOutput),
+					)),
+				},
+			}
+
+			resp, err := p.ListHosts(context.Background(), &pb.ListHostsRequest{
+				Catalog: &hostcatalogs.HostCatalog{
+					Attrs: &hostcatalogs.HostCatalog_Attributes{
+						Attributes: &structpb.Struct{Fields: tc.catalogFields},
+					},
+				},
+				Persisted: testListHostsPersisted(),
+				Sets:      tc.sets,
+			})
+			require.NoError(err)
+			require.NotNil(resp)
+			require.Len(resp.GetHosts(), len(tc.expectedHosts))
+			for i, expected := range tc.expectedHosts {
+				require.Equal(expected.ExternalId, resp.Hosts[i].ExternalId)
+				require.Equal(expected.SetIds, resp.Hosts[i].SetIds)
+			}
+
+			require.Equal(tc.expectedDescribe, state.DescribeInstancesCallCount)
+			require.Len(state.ClientRegions, tc.expectedDescribe)
+			for _, region := range state.ClientRegions {
+				require.Equal(tc.expectedRegion, region)
+			}
+			require.Equal(tc.expectedInputs, state.DescribeInstancesInputs)
+		})
+	}
+}
+
 func TestPluginListHostsErr(t *testing.T) {
 	cases := []struct {
 		name                string
@@ -2130,7 +2287,101 @@ func TestPluginListHostsErr(t *testing.T) {
 					testMockEC2WithDescribeInstancesError(errors.New(testDescribeInstancesError)),
 				)),
 			},
-			expectedErrContains: fmt.Sprintf("error running DescribeInstances for host set id \"foobar\": %s", testDescribeInstancesError),
+			expectedErrContains: fmt.Sprintf("error retrieving host results for host set id \"foobar\": %s", testDescribeInstancesError),
+			expectedErrCode:     codes.InvalidArgument,
+		},
+		{
+			name: "target attributes missing target_role_arn",
+			req: &pb.ListHostsRequest{
+				Catalog: &hostcatalogs.HostCatalog{
+					Attrs: &hostcatalogs.HostCatalog_Attributes{
+						Attributes: &structpb.Struct{
+							Fields: map[string]*structpb.Value{
+								credential.ConstRegion:       structpb.NewStringValue("us-west-2"),
+								credential.ConstTargetRegion: structpb.NewStringValue("eu-west-1"),
+							},
+						},
+					},
+				},
+			},
+			expectedErrContains: "attributes.target_role_arn: missing required value \"target_role_arn\"",
+			expectedErrCode:     codes.InvalidArgument,
+		},
+		{
+			name: "target EC2 client error",
+			req: &pb.ListHostsRequest{
+				Catalog: &hostcatalogs.HostCatalog{
+					Attrs: &hostcatalogs.HostCatalog_Attributes{
+						Attributes: &structpb.Struct{
+							Fields: map[string]*structpb.Value{
+								credential.ConstRegion:        structpb.NewStringValue("us-west-2"),
+								credential.ConstTargetRoleArn: structpb.NewStringValue("arn:aws:iam::222222222222:role/Target"),
+							},
+						},
+					},
+				},
+				Persisted: &pb.HostCatalogPersisted{
+					Secrets: &structpb.Struct{
+						Fields: map[string]*structpb.Value{
+							credential.ConstAccessKeyId:          structpb.NewStringValue("AKIA_foobar"),
+							credential.ConstSecretAccessKey:      structpb.NewStringValue("bazqux"),
+							credential.ConstCredsLastRotatedTime: structpb.NewStringValue("2006-01-02T15:04:05+07:00"),
+						},
+					},
+				},
+				Sets: []*hostsets.HostSet{
+					{
+						Id: "foobar",
+						Attrs: &hostsets.HostSet_Attributes{
+							Attributes: &structpb.Struct{
+								Fields: map[string]*structpb.Value{
+									ConstDescribeInstancesFilters: structpb.NewListValue(
+										&structpb.ListValue{
+											Values: []*structpb.Value{
+												structpb.NewStringValue("tag-key=foo"),
+											},
+										},
+									),
+								},
+							},
+						},
+					},
+				},
+			},
+			catalogOpts: []awsCatalogPersistedStateOption{
+				withTestEC2APIFunc(func(...aws.Config) (EC2API, error) {
+					return nil, errors.New("test EC2 client error")
+				}),
+			},
+			expectedErrContains: "unable to list hosts for host set \"foobar\": EC2 client setup failed for target account: test EC2 client error",
+			expectedErrCode:     codes.InvalidArgument,
+		},
+		{
+			name: "target DescribeInstances error",
+			req: &pb.ListHostsRequest{
+				Catalog: &hostcatalogs.HostCatalog{
+					Attrs: &hostcatalogs.HostCatalog_Attributes{
+						Attributes: &structpb.Struct{
+							Fields: map[string]*structpb.Value{
+								credential.ConstRegion:        structpb.NewStringValue("us-west-2"),
+								credential.ConstTargetRoleArn: structpb.NewStringValue("arn:aws:iam::222222222222:role/Target"),
+								credential.ConstTargetRegion:  structpb.NewStringValue("eu-west-1"),
+							},
+						},
+					},
+				},
+				Persisted: testListHostsPersisted(),
+				Sets: []*hostsets.HostSet{
+					testListHostsSet("foobar", "tag-key=foo"),
+				},
+			},
+			catalogOpts: []awsCatalogPersistedStateOption{
+				withTestEC2APIFunc(newTestMockEC2(
+					nil,
+					testMockEC2WithDescribeInstancesError(errors.New(testDescribeInstancesError)),
+				)),
+			},
+			expectedErrContains: "unable to list hosts for host set \"foobar\": EC2 DescribeInstances failed for target account: DescribeInstances error",
 			expectedErrCode:     codes.InvalidArgument,
 		},
 		{
@@ -2871,4 +3122,66 @@ func TestDryRunValidation(t *testing.T) {
 		}, []ec2Option{})
 		require.Nil(t, st)
 	})
+
+	t.Run("authFailureThenSuccess", func(t *testing.T) {
+		// Simulates the IAM eventual consistency window: EC2 returns AuthFailure
+		// twice before the credentials propagate and the call succeeds.
+		state := &testMockEC2State{}
+		st := dryRunValidation(context.Background(), &awsCatalogPersistedState{
+			AwsCredentialPersistedState: &credential.AwsCredentialPersistedState{
+				CredentialsConfig: &awsutil.CredentialsConfig{
+					AccessKey: "AKIAfoo",
+					SecretKey: "baz",
+				},
+			},
+			testEC2APIFunc: newTestMockEC2(state,
+				testMockEC2WithDescribeInstancesErrorSequence(
+					fmt.Errorf("%s: credentials not yet propagated", pluginErrors.AwsErrorAuthFailure),
+					fmt.Errorf("%s: credentials not yet propagated", pluginErrors.AwsErrorAuthFailure),
+				),
+				testMockEC2WithDescribeInstancesOutput(&ec2.DescribeInstancesOutput{}),
+			),
+		}, []ec2Option{})
+		require.Nil(t, st)
+		require.Equal(t, 3, state.DescribeInstancesCallCount)
+	})
+
+	t.Run("authFailureContextCancelled", func(t *testing.T) {
+		// If the context is cancelled while waiting to retry, the function should
+		// return a FailedPrecondition error immediately rather than hanging.
+		ctx, cancel := context.WithCancel(context.Background())
+		cancel() // cancel immediately so the first retry select hits ctx.Done()
+		st := dryRunValidation(ctx, &awsCatalogPersistedState{
+			AwsCredentialPersistedState: &credential.AwsCredentialPersistedState{
+				CredentialsConfig: &awsutil.CredentialsConfig{
+					AccessKey: "AKIAfoo",
+					SecretKey: "baz",
+				},
+			},
+			testEC2APIFunc: newTestMockEC2(nil,
+				testMockEC2WithDescribeInstancesError(fmt.Errorf("%s: credentials not yet propagated", pluginErrors.AwsErrorAuthFailure)),
+			),
+		}, []ec2Option{})
+		require.NotNil(t, st)
+		require.Equal(t, codes.FailedPrecondition.String(), st.Code().String())
+	})
+
+	t.Run("nonAuthFailureNoRetry", func(t *testing.T) {
+		// A non-AuthFailure error should fail immediately without retrying.
+		state := &testMockEC2State{}
+		st := dryRunValidation(context.Background(), &awsCatalogPersistedState{
+			AwsCredentialPersistedState: &credential.AwsCredentialPersistedState{
+				CredentialsConfig: &awsutil.CredentialsConfig{
+					AccessKey: "AKIAfoo",
+					SecretKey: "baz",
+				},
+			},
+			testEC2APIFunc: newTestMockEC2(state,
+				testMockEC2WithDescribeInstancesError(fmt.Errorf("UnauthorizedOperation: access denied")),
+			),
+		}, []ec2Option{})
+		require.NotNil(t, st)
+		require.Equal(t, codes.FailedPrecondition.String(), st.Code().String())
+		require.Equal(t, 1, state.DescribeInstancesCallCount)
+	})
 }

plugin/service/host/testing.go

@@ -22,11 +22,17 @@ const (
 type testMockEC2State struct {
 	DescribeInstancesCalled      bool
 	DescribeInstancesInputParams *ec2.DescribeInstancesInput
+	DescribeInstancesCallCount   int
+	DescribeInstancesInputs      []*ec2.DescribeInstancesInput
+	ClientRegions                []string
 }
 
 func (s *testMockEC2State) Reset() {
 	s.DescribeInstancesCalled = false
 	s.DescribeInstancesInputParams = nil
+	s.DescribeInstancesCallCount = 0
+	s.DescribeInstancesInputs = nil
+	s.ClientRegions = nil
 }
 
 type testMockEC2 struct {
@@ -37,6 +43,10 @@ type testMockEC2 struct {
 
 	DescribeInstancesOutput *ec2.DescribeInstancesOutput
 	DescribeInstancesError  error
+
+	// DescribeInstancesErrorSequence, if set, returns each error in order on
+	// successive calls. Once exhausted, DescribeInstancesOutput is returned.
+	DescribeInstancesErrorSequence []error
 }
 
 type testMockEC2Option func(m *testMockEC2) error
@@ -55,6 +65,16 @@ func testMockEC2WithDescribeInstancesError(e error) testMockEC2Option {
 	}
 }
 
+// testMockEC2WithDescribeInstancesErrorSequence sets a sequence of errors to
+// return on successive DescribeInstances calls. Once the sequence is exhausted,
+// the mock returns DescribeInstancesOutput (nil error).
+func testMockEC2WithDescribeInstancesErrorSequence(errs ...error) testMockEC2Option {
+	return func(m *testMockEC2) error {
+		m.DescribeInstancesErrorSequence = errs
+		return nil
+	}
+}
+
 func newTestMockEC2(state *testMockEC2State, opts ...testMockEC2Option) ec2APIFunc {
 	return func(cfgs ...aws.Config) (EC2API, error) {
 		m := &testMockEC2{
@@ -72,7 +92,10 @@ func newTestMockEC2(state *testMockEC2State, opts ...testMockEC2Option) ec2APIFu
 			if cfg.Region != "" {
 				m.Region = cfg.Region
 			}
+		}
 
+		if state != nil {
+			state.ClientRegions = append(state.ClientRegions, m.Region)
 		}
 
 		return m, nil
@@ -83,6 +106,14 @@ func (m *testMockEC2) DescribeInstances(ctx context.Context, input *ec2.Describe
 	if m.State != nil {
 		m.State.DescribeInstancesCalled = true
 		m.State.DescribeInstancesInputParams = input
+		m.State.DescribeInstancesCallCount++
+		m.State.DescribeInstancesInputs = append(m.State.DescribeInstancesInputs, input)
+	}
+
+	if len(m.DescribeInstancesErrorSequence) > 0 {
+		err := m.DescribeInstancesErrorSequence[0]
+		m.DescribeInstancesErrorSequence = m.DescribeInstancesErrorSequence[1:]
+		return nil, err
 	}
 
 	if m.DescribeInstancesError != nil {