diff --git a/Vagrantfile b/Vagrantfile
index 57bcc1b413b..25977d77ded 100644
--- a/Vagrantfile
+++ b/Vagrantfile
@@ -108,6 +108,14 @@ $vm_master_mem = (ENV['KUBERNETES_MASTER_MEMORY'] || ENV['KUBERNETES_MEMORY'] ||
 $vm_node_mem = (ENV['KUBERNETES_NODE_MEMORY'] || ENV['KUBERNETES_MEMORY'] || 1024).to_i
 
 Vagrant.configure(VAGRANTFILE_API_VERSION) do |config|
+  if Vagrant.has_plugin?("vagrant-proxyconf")
+    $http_proxy = ENV['KUBERNETES_HTTP_PROXY'] || ""
+    $https_proxy = ENV['KUBERNETES_HTTPS_PROXY'] || ""
+    $no_proxy = ENV['KUBERNETES_NO_PROXY'] || "127.0.0.1"
+    config.proxy.http     = $http_proxy
+    config.proxy.https    = $https_proxy
+    config.proxy.no_proxy = $no_proxy
+  end
   def setvmboxandurl(config, provider)
     if ENV['KUBERNETES_BOX_NAME'] then
       config.vm.box = ENV['KUBERNETES_BOX_NAME']
diff --git a/build/README.md b/build/README.md
index 586ceabc6cb..8b53783f5ea 100644
--- a/build/README.md
+++ b/build/README.md
@@ -76,15 +76,16 @@ When building final release tars, they are first staged into `_output/release-st
 If you are behind a proxy, you need to export proxy settings for kubernetes build, the following environment variables should be defined.
 
 ```
-export KUBE_BUILD_HTTP_PROXY=http://username:password@proxyaddr:proxyport
-export KUBE_BUILD_HTTPS_PROXY=http://username:password@proxyaddr:proxyport
+export KUBERNETES_HTTP_PROXY=http://username:password@proxyaddr:proxyport
+export KUBERNETES_HTTPS_PROXY=https://username:password@proxyaddr:proxyport
 ```
 
 Optionally, you can specify addresses of no proxy for kubernetes build, for example
 
 ```
-export KUBE_BUILD_NO_PROXY=127.0.0.1
+export KUBERNETES_NO_PROXY=127.0.0.1
 ```
+
 If you are using sudo to make kubernetes build for example make quick-release, you need run `sudo -E make quick-release` to pass the environment variables.
 
 ## TODOs
diff --git a/build/build-image/Dockerfile b/build/build-image/Dockerfile
index 91cc721149e..6e648357728 100644
--- a/build/build-image/Dockerfile
+++ b/build/build-image/Dockerfile
@@ -15,10 +15,6 @@
 # This file creates a standard build environment for building Kubernetes
 FROM gcr.io/google_containers/kube-cross:KUBE_BUILD_IMAGE_CROSS_TAG
 
-ENV http_proxy=KUBE_BUILD_HTTP_PROXY \
-  https_proxy=KUBE_BUILD_HTTPS_PROXY \
-  no_proxy=KUBE_BUILD_NO_PROXY
-
 # Mark this as a kube-build container
 RUN touch /kube-build-image
 
diff --git a/build/common.sh b/build/common.sh
index 328f813997e..2953a92f0f3 100755
--- a/build/common.sh
+++ b/build/common.sh
@@ -193,9 +193,9 @@ function kube::build::prepare_docker_machine() {
   docker-machine inspect "${DOCKER_MACHINE_NAME}" >/dev/null || {
     kube::log::status "Creating a machine to build Kubernetes"
     docker-machine create --driver "${DOCKER_MACHINE_DRIVER}" \
-      --engine-env HTTP_PROXY="${KUBE_BUILD_HTTP_PROXY:-}" \
-      --engine-env HTTPS_PROXY="${KUBE_BUILD_HTTPS_PROXY:-}" \
-      --engine-env NO_PROXY="${KUBE_BUILD_NO_PROXY:-127.0.0.1}" \
+      --engine-env HTTP_PROXY="${KUBERNETES_HTTP_PROXY:-}" \
+      --engine-env HTTPS_PROXY="${KUBERNETES_HTTPS_PROXY:-}" \
+      --engine-env NO_PROXY="${KUBERNETES_NO_PROXY:-127.0.0.1}" \
       "${DOCKER_MACHINE_NAME}" > /dev/null || {
       kube::log::error "Something went wrong creating a machine."
       kube::log::error "Try the following: "
@@ -242,14 +242,11 @@ function kube::build::is_osx() {
 
 function kube::build::update_dockerfile() {
   if kube::build::is_osx; then
-    sed_opts=("-i ''")
+    sed_opts=(-i '')
   else
     sed_opts=(-i)
   fi
-  sed ${sed_opts[@]} "s/KUBE_BUILD_IMAGE_CROSS_TAG/${KUBE_BUILD_IMAGE_CROSS_TAG}/" "${LOCAL_OUTPUT_BUILD_CONTEXT}/Dockerfile"
-  sed ${sed_opts[@]} "s#KUBE_BUILD_HTTP_PROXY#${KUBE_BUILD_HTTP_PROXY:-\"\"}#" "${LOCAL_OUTPUT_BUILD_CONTEXT}/Dockerfile"
-  sed ${sed_opts[@]} "s#KUBE_BUILD_HTTPS_PROXY#${KUBE_BUILD_HTTPS_PROXY:-\"\"}#" "${LOCAL_OUTPUT_BUILD_CONTEXT}/Dockerfile"
-  sed ${sed_opts[@]} "s#KUBE_BUILD_NO_PROXY#${KUBE_BUILD_NO_PROXY:-127.0.0.1}#" "${LOCAL_OUTPUT_BUILD_CONTEXT}/Dockerfile"
+  sed "${sed_opts[@]}" "s/KUBE_BUILD_IMAGE_CROSS_TAG/${KUBE_BUILD_IMAGE_CROSS_TAG}/" "${LOCAL_OUTPUT_BUILD_CONTEXT}/Dockerfile"
 }
 
 function kube::build::ensure_docker_in_path() {