Local state behavior in Terraform - Step-by-Step Execution

Process Flow - Local state behavior

Terraform Init

↓

First terraform apply

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Local State File Created

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Subsequent Runs Read Local State

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Detect Changes & Plan

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Apply Changes & Update State

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Repeat

Terraform initializes with 'terraform init'. The first 'terraform apply' creates the local state file. Subsequent runs read and update this file locally to detect changes and plan updates.

Execution Sample

Terraform

terraform init
terraform apply
terraform apply

Initialize Terraform, apply resources creating local state, then apply again to detect no changes.

Process Table

Step	Action	State File Exists?	State Content	Result
1	terraform init	No	None	Terraform initialized (.terraform directory created), no state file created
2	terraform apply (first)	No	None	Resources created, state file created with resource info
3	terraform apply (second)	Yes	Has resource info	No changes detected, nothing applied

💡 No changes detected on second apply, so execution stops.

Status Tracker

Variable	Start	After Step 1	After Step 2	After Step 3
local_state_file	None	None	Created with resource data	Unchanged, contains resource data

Key Moments - 2 Insights

Why does Terraform not recreate resources on the second apply?

Because the local state file already has the resource info from the first apply (see execution_table step 3), Terraform knows the resources exist and skips creation.

What happens if the local state file is deleted before the second apply?

Terraform will think no resources exist and try to recreate them, since it has no local record (local_state_file variable would be None).

Visual Quiz - 3 Questions

Look at the execution table, what is the state content after the first terraform apply?

A None

B Has resource info

C Empty

D Corrupted

💡 Hint

Check the 'State Content' column in row 2 of the execution_table.

At which step does the local state file get created?

A Step 3

B Step 1

C Step 2

D Before Step 1

💡 Hint

Look at the 'State File Exists?' column in the execution_table for step 2.

If the local state file is deleted after step 2, what will happen on the next apply?

A Terraform will detect no changes and do nothing

B Terraform will recreate all resources

C Terraform will fail with an error

D Terraform will update the state file without changes

💡 Hint

Refer to key_moments explanation about missing local state file.

Concept Snapshot

Terraform local state behavior:
- terraform init initializes working directory
- First terraform apply creates local state file with resource info
- Subsequent applies read local state to detect changes
- No changes means no resource recreation
- Deleting local state causes Terraform to lose track of resources

Full Transcript

Terraform uses a local state file to keep track of resources it manages. 'terraform init' initializes the working directory but does not create the state file. The first 'terraform apply' creates resources and the local state file with their details. On the second 'terraform apply', Terraform reads the local state file, sees the resources already exist, and detects no changes, so it does nothing. If the local state file is deleted, Terraform will think no resources exist and try to recreate them on the next apply.