diff --git a/cmd/kubeadm/app/phases/addons/BUILD b/cmd/kubeadm/app/phases/addons/BUILD
index ef170f28cc7..65a295a2e9d 100644
--- a/cmd/kubeadm/app/phases/addons/BUILD
+++ b/cmd/kubeadm/app/phases/addons/BUILD
@@ -21,6 +21,7 @@ go_library(
         "//cmd/kubeadm/app/images:go_default_library",
         "//cmd/kubeadm/app/util:go_default_library",
         "//pkg/api:go_default_library",
+        "//plugin/pkg/scheduler/algorithm:go_default_library",
         "//vendor/k8s.io/api/core/v1:go_default_library",
         "//vendor/k8s.io/api/extensions/v1beta1:go_default_library",
         "//vendor/k8s.io/apimachinery/pkg/api/errors:go_default_library",
diff --git a/cmd/kubeadm/app/phases/addons/addons.go b/cmd/kubeadm/app/phases/addons/addons.go
index 28d1387257e..dd78e2e7378 100644
--- a/cmd/kubeadm/app/phases/addons/addons.go
+++ b/cmd/kubeadm/app/phases/addons/addons.go
@@ -32,6 +32,7 @@ import (
 	"k8s.io/kubernetes/cmd/kubeadm/app/images"
 	kubeadmutil "k8s.io/kubernetes/cmd/kubeadm/app/util"
 	"k8s.io/kubernetes/pkg/api"
+	"k8s.io/kubernetes/plugin/pkg/scheduler/algorithm"
 )
 
 // CreateEssentialAddons creates the kube-proxy and kube-dns addons
@@ -44,10 +45,11 @@ func CreateEssentialAddons(cfg *kubeadmapi.MasterConfiguration, client *clientse
 		return fmt.Errorf("error when parsing kube-proxy configmap template: %v", err)
 	}
 
-	proxyDaemonSetBytes, err := kubeadmutil.ParseTemplate(KubeProxyDaemonSet, struct{ Image, ClusterCIDR, MasterTaintKey string }{
+	proxyDaemonSetBytes, err := kubeadmutil.ParseTemplate(KubeProxyDaemonSet, struct{ Image, ClusterCIDR, MasterTaintKey, CloudTaintKey string }{
 		Image:          images.GetCoreImage("proxy", cfg, cfg.UnifiedControlPlaneImage),
 		ClusterCIDR:    getClusterCIDR(cfg.Networking.PodSubnet),
 		MasterTaintKey: kubeadmconstants.LabelNodeRoleMaster,
+		CloudTaintKey:  algorithm.TaintExternalCloudProvider,
 	})
 	if err != nil {
 		return fmt.Errorf("error when parsing kube-proxy daemonset template: %v", err)
diff --git a/cmd/kubeadm/app/phases/addons/addons_test.go b/cmd/kubeadm/app/phases/addons/addons_test.go
index f1189859c21..82227632267 100644
--- a/cmd/kubeadm/app/phases/addons/addons_test.go
+++ b/cmd/kubeadm/app/phases/addons/addons_test.go
@@ -54,10 +54,11 @@ func TestCompileManifests(t *testing.T) {
 		},
 		{
 			manifest: KubeProxyDaemonSet,
-			data: struct{ Image, ClusterCIDR, MasterTaintKey string }{
+			data: struct{ Image, ClusterCIDR, MasterTaintKey, CloudTaintKey string }{
 				Image:          "foo",
 				ClusterCIDR:    "foo",
 				MasterTaintKey: "foo",
+				CloudTaintKey:  "foo",
 			},
 			expected: true,
 		},
diff --git a/cmd/kubeadm/app/phases/addons/manifests.go b/cmd/kubeadm/app/phases/addons/manifests.go
index a9425ed6f2b..339fbd83b14 100644
--- a/cmd/kubeadm/app/phases/addons/manifests.go
+++ b/cmd/kubeadm/app/phases/addons/manifests.go
@@ -88,6 +88,9 @@ spec:
       tolerations:
       - key: {{ .MasterTaintKey }}
         effect: NoSchedule
+      - key: {{ .CloudTaintKey }}
+        value: "true"
+        effect: NoSchedule
       volumes:
       - name: kube-proxy
         configMap: