diff --git a/cloudmock/aws/mockec2/vpcs.go b/cloudmock/aws/mockec2/vpcs.go
index e5f621e50f..b3b7fd6155 100644
--- a/cloudmock/aws/mockec2/vpcs.go
+++ b/cloudmock/aws/mockec2/vpcs.go
@@ -30,6 +30,18 @@ type vpcInfo struct {
 	attributes ec2.DescribeVpcAttributeOutput
 }
 
+func (m *MockEC2) FindVpc(id string) *ec2.Vpc {
+	vpc := m.Vpcs[id]
+	if vpc == nil {
+		return nil
+	}
+
+	copy := vpc.main
+	copy.Tags = m.getTags(ec2.ResourceTypeVpc, *vpc.main.VpcId)
+
+	return &copy
+}
+
 func (m *MockEC2) CreateVpcRequest(*ec2.CreateVpcInput) (*request.Request, *ec2.CreateVpcOutput) {
 	panic("Not implemented")
 	return nil, nil
@@ -46,6 +58,7 @@ func (m *MockEC2) CreateVpc(request *ec2.CreateVpcInput) (*ec2.CreateVpcOutput,
 		main: ec2.Vpc{
 			VpcId:     s(id),
 			CidrBlock: request.CidrBlock,
+			IsDefault: aws.Bool(false),
 		},
 		attributes: ec2.DescribeVpcAttributeOutput{
 			EnableDnsHostnames: &ec2.AttributeBooleanValue{Value: aws.Bool(false)},
diff --git a/upup/pkg/fi/cloudup/awstasks/elastic_ip_test.go b/upup/pkg/fi/cloudup/awstasks/elastic_ip_test.go
index 4d298cd1d0..aea166b4e9 100644
--- a/upup/pkg/fi/cloudup/awstasks/elastic_ip_test.go
+++ b/upup/pkg/fi/cloudup/awstasks/elastic_ip_test.go
@@ -96,23 +96,27 @@ func TestElasticIPCreate(t *testing.T) {
 
 	{
 		allTasks := buildTasks()
-
-		target := fi.NewDryRunTarget(os.Stderr)
-		context, err := fi.NewContext(target, cloud, nil, nil, nil, true, allTasks)
-		if err != nil {
-			t.Fatalf("error building context: %v", err)
-		}
-
-		if err := context.RunTasks(defaultDeadline); err != nil {
-			t.Fatalf("unexpected error during Run: %v", err)
-		}
-
-		if target.HasChanges() {
-			var b bytes.Buffer
-			if err := target.PrintReport(allTasks, &b); err != nil {
-				t.Fatalf("error building report: %v", err)
-			}
-			t.Fatalf("Target had changes after executing: %v", b.String())
-		}
+		checkNoChanges(t, cloud, allTasks)
 	}
 }
+
+func checkNoChanges(t *testing.T, cloud fi.Cloud, allTasks map[string]fi.Task) {
+	target := fi.NewDryRunTarget(os.Stderr)
+	context, err := fi.NewContext(target, cloud, nil, nil, nil, true, allTasks)
+	if err != nil {
+		t.Fatalf("error building context: %v", err)
+	}
+
+	if err := context.RunTasks(defaultDeadline); err != nil {
+		t.Fatalf("unexpected error during Run: %v", err)
+	}
+
+	if target.HasChanges() {
+		var b bytes.Buffer
+		if err := target.PrintReport(allTasks, &b); err != nil {
+			t.Fatalf("error building report: %v", err)
+		}
+		t.Fatalf("Target had changes after executing: %v", b.String())
+	}
+
+}
diff --git a/upup/pkg/fi/cloudup/awstasks/vpc_test.go b/upup/pkg/fi/cloudup/awstasks/vpc_test.go
new file mode 100644
index 0000000000..fd78e30e2c
--- /dev/null
+++ b/upup/pkg/fi/cloudup/awstasks/vpc_test.go
@@ -0,0 +1,103 @@
+/*
+Copyright 2016 The Kubernetes Authors.
+
+Licensed under the Apache License, Version 2.0 (the "License");
+you may not use this file except in compliance with the License.
+You may obtain a copy of the License at
+
+    http://www.apache.org/licenses/LICENSE-2.0
+
+Unless required by applicable law or agreed to in writing, software
+distributed under the License is distributed on an "AS IS" BASIS,
+WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+See the License for the specific language governing permissions and
+limitations under the License.
+*/
+
+package awstasks
+
+import (
+	"github.com/aws/aws-sdk-go/aws"
+	"github.com/aws/aws-sdk-go/service/ec2"
+	"k8s.io/kops/cloudmock/aws/mockec2"
+	"k8s.io/kops/upup/pkg/fi"
+	"k8s.io/kops/upup/pkg/fi/cloudup/awsup"
+	"reflect"
+	"testing"
+)
+
+func TestVPCCreate(t *testing.T) {
+	cloud := awsup.BuildMockAWSCloud("us-east-1", "abc")
+	c := &mockec2.MockEC2{}
+	cloud.MockEC2 = c
+
+	// We define a function so we can rebuild the tasks, because we modify in-place when running
+	buildTasks := func() map[string]fi.Task {
+		vpc1 := &VPC{
+			Name: s("vpc1"),
+			CIDR: s("172.21.0.0/16"),
+		}
+		return map[string]fi.Task{
+			"vpc1": vpc1,
+		}
+	}
+
+	{
+		allTasks := buildTasks()
+		vpc1 := allTasks["vpc1"].(*VPC)
+
+		target := &awsup.AWSAPITarget{
+			Cloud: cloud,
+		}
+
+		context, err := fi.NewContext(target, cloud, nil, nil, nil, true, allTasks)
+		if err != nil {
+			t.Fatalf("error building context: %v", err)
+		}
+
+		if err := context.RunTasks(defaultDeadline); err != nil {
+			t.Fatalf("unexpected error during Run: %v", err)
+		}
+
+		if fi.StringValue(vpc1.ID) == "" {
+			t.Fatalf("ID not set after create")
+		}
+
+		if len(c.Vpcs) != 1 {
+			t.Fatalf("Expected exactly one Vpc; found %v", c.Vpcs)
+		}
+
+		expected := &ec2.Vpc{
+			CidrBlock: s("172.21.0.0/16"),
+			IsDefault: fi.Bool(false),
+			VpcId:     vpc1.ID,
+			Tags: buildTags(map[string]string{
+				"Name": "vpc1",
+			}),
+		}
+		actual := c.FindVpc(*vpc1.ID)
+		if actual == nil {
+			t.Fatalf("VPC created but then not found")
+		}
+		if !reflect.DeepEqual(actual, expected) {
+			t.Fatalf("Unexpected VPC: expected=%v actual=%v", expected, actual)
+		}
+	}
+
+	{
+		allTasks := buildTasks()
+
+		checkNoChanges(t, cloud, allTasks)
+	}
+}
+
+func buildTags(tags map[string]string) []*ec2.Tag {
+	var t []*ec2.Tag
+	for k, v := range tags {
+		t = append(t, &ec2.Tag{
+			Key:   aws.String(k),
+			Value: aws.String(v),
+		})
+	}
+	return t
+}