Terraform Stacks
Terraform Stacks simplify infrastructure provisioning and management at scale by providing a configuration layer above traditional Terraform modules. Stacks enable declarative orchestration of multiple components across environments, regions, and cloud accounts.
Core Concepts
Stack: A complete unit of infrastructure composed of components and deployments that can be managed together.
Component: An abstraction around a Terraform module that defines infrastructure pieces. Each component specifies a source module, inputs, and providers.
Deployment: An instance of all components in a stack with specific input values. Use deployments for different environments (dev/staging/prod), regions, or cloud accounts.
Stack Language: A separate HCL-based language (not regular Terraform HCL) with distinct blocks and file extensions.
File Structure
Terraform Stacks use specific file extensions:
- Component configuration:
.tfcomponent.hcl - Deployment configuration:
.tfdeploy.hcl - Provider lock file:
.terraform.lock.hcl(generated by CLI)
All configuration files must be at the root level of the Stack repository. HCP Terraform processes all files in dependency order.
Recommended File Organization
Note: The modules/ directory is only required when using local module sources. Components can reference modules from:
- Local file paths:
./modules/vpc - Public registry:
terraform-aws-modules/vpc/aws - Private registry:
app.terraform.io/<org-name>/vpc/aws - Git:
git::https://github.com/org/repo.git//path?ref=v1.0.0
HCP Terraform processes all .tfcomponent.hcl and .tfdeploy.hcl files in dependency order.
Required Terraform version (.terraform-version)
Use Terraform v1.13.x or later to access the Stacks CLI plugin and to run terraform stacks CLI commands. Begin by adding a .terraform-version file to your Stack's root directory to specify the Terraform version required for your Stack. For example, the following file specifies Terraform v1.14.5:
Component Configuration (.tfcomponent.hcl)
Variable Block
Declare input variables for the Stack configuration. Variables must define a type field and do not support the validation argument.
Important: Use ephemeral = true for credentials and tokens (identity tokens, API keys, passwords) to prevent them from persisting in state files. Use stable for longer-lived values like license keys that need to persist across runs.
Required Providers Block
Provider Block
Provider blocks differ from traditional Terraform:
- Support
for_eachmeta-argument - Define aliases in the block header (not as an argument)
- Accept configuration through a
configblock
Single Provider Configuration:
Multiple Provider Configurations with for_each:
Authentication Best Practice: Use workload identity (OIDC) as the preferred authentication method for Stacks. This approach:
- Avoids long-lived static credentials
- Provides temporary, scoped credentials per deployment run
- Integrates with cloud provider IAM (AWS IAM Roles, Azure Managed Identities, GCP Service Accounts)
- Eliminates need for platform-managed environment variables
Configure workload identity using identity_token blocks and assume_role_with_web_identity in provider configuration. For detailed setup instructions for AWS, Azure, and GCP, see: https://developer.hashicorp.com/terraform/cloud-docs/dynamic-provider-credentials
Component Block
Each Stack requires at least one component block. Add a component for each module to include in the Stack. Components reference modules from local paths, registries, or Git.
See references/component-blocks.md for examples of dependencies, for_each, public registry modules, Git sources, and more.
Key Points:
- Reference outputs:
component.<name>.<output>orcomponent.<name>[key].<output>for for_each - Dependencies inferred automatically from component references
- Aggregate with for expressions:
[for x in component.s3 : x.bucket_name] - For components with
for_each, reference specific instances:component.<name>[each.value].<output> - Provider references are normal values:
provider.<type>.<alias>orprovider.<type>.<alias>[each.value]
Output Block
Outputs require a type argument and do not support preconditions:
Locals Block
Locals blocks work the same in both .tfcomponent.hcl and .tfdeploy.hcl files:
Removed Block
Use to safely remove components from a Stack. HCP Terraform requires the component's providers to remove it.
Deployment Configuration (.tfdeploy.hcl)
Identity Token Block
Generate JWT tokens for OIDC authentication with cloud providers:
Reference tokens in deployments using identity_token.<name>.jwt
Store Block
Access HCP Terraform variable sets within Stack deployments:
Use to centralize credentials and share variables across Stacks. See references/deployment-blocks.md for details.
Deployment Block
Define deployment instances (minimum 1, maximum 20 per Stack):
To destroy a deployment: Set destroy = true, upload configuration, approve destroy run, then remove the deployment block. See references/deployment-blocks.md for details.
Deployment Group Block
Group deployments together for shared settings (HCP Terraform Premium tier feature). Free/standard tiers use default groups named {deployment-name}_default.
Multiple deployments can reference the same group. See references/deployment-blocks.md for details.
Deployment Auto-Approve Block
Define rules to automatically approve deployment plans (HCP Terraform Premium tier feature):
Available context variables: context.plan.applyable, context.plan.changes.add/change/remove/total, context.success
Note: orchestrate blocks are deprecated. Use deployment_group and deployment_auto_approve instead.
See references/deployment-blocks.md for all context variables and patterns.
Publish Output and Upstream Input Blocks
Link Stacks together by publishing outputs from one Stack and consuming them in another:
See references/linked-stacks.md for complete documentation and examples.
Terraform Stacks CLI
Note: Terraform Stacks is Generally Available (GA) as of Terraform CLI v1.13+. Stacks now count toward Resources Under Management (RUM) for HCP Terraform billing.
Initialize and Validate
Deployment Workflow
Important: No plan or apply commands. Upload configuration triggers deployment runs automatically.
Configuration Management
Other Commands
Monitoring Deployments with HCP Terraform API
For programmatic monitoring in automation, CI/CD, or non-interactive environments (like AI agents), use the HCP Terraform API instead of CLI watch commands. The API provides endpoints for:
- Configuration status and validation
- Deployment group summaries
- Deployment run status
- Deployment step details (plan/apply)
- Error diagnostics with file locations and code snippets
- Stack outputs via artifacts endpoint
Key points:
- CLI watch commands stream indefinitely and don't work in automation
- Use artifacts endpoint to retrieve Stack outputs:
GET /api/v2/stack-deployment-steps/{step-id}/artifacts?name=apply-description - Diagnostics endpoint requires
stack_deployment_step_idquery parameter - Artifacts endpoint returns HTTP 307 redirect (use
curl -L)
For complete API workflow, authentication, polling best practices, and example scripts, see references/api-monitoring.md.
Common Patterns
Component Dependencies: Dependencies are automatically inferred when one component references another's output (e.g., subnet_ids = component.vpc.private_subnet_ids).
Multi-Region Deployment: Use for_each on providers and components to deploy across multiple regions. Each region gets its own provider configuration and component instances.
Deferred Changes: Stacks support deferred changes to handle dependencies where values are only known after apply. This enables complex multi-component deployments where some resources depend on runtime values from other components (cluster endpoints, generated passwords, etc.).
For complete examples including multi-region deployments, component dependencies, deferred changes patterns, and linked Stacks, see references/examples.md.
Best Practices
- Component Granularity: Create components for logical infrastructure units that share a lifecycle
- Module Compatibility:
- Modules used with Stacks cannot include provider blocks (configure providers in Stack configuration)
- Test public registry modules before using in production Stacks - some modules may have compatibility issues
- Consider using raw resources for critical infrastructure if module compatibility is uncertain
- Example: Some terraform-aws-modules versions have been found to have compatibility issues with Stacks (e.g., ALB and ECS modules)
- State Isolation: Each deployment has its own isolated state
- Input Variables: Use variables for values that differ across deployments; use locals for shared values
- Provider Lock Files: Always generate and commit
.terraform.lock.hclto version control - Naming Conventions: Use descriptive names for components and deployments
- Deployment Groups: You can organize deployments into deployment groups. Deployment groups enable auto-approval rules, logical organization, and provide a foundation for scaling. Deployment groups are an HCP Terraform Premium tier feature
- Testing: Test Stack configurations in dev/staging deployments before production
Troubleshooting
Circular Dependencies: Refactor to break circular references or use intermediate components.
Deployment Destruction: Cannot destroy from UI. Set destroy = true in deployment block, upload configuration, and HCP Terraform creates a destroy run.
Empty Diagnostics: Add required stack_deployment_step_id query parameter to diagnostics API requests.
Module Compatibility: Test public registry modules before production use. Some modules may have compatibility issues with Stacks.
References
For detailed documentation, see:
references/component-blocks.md- Complete component block reference with all arguments and syntaxreferences/deployment-blocks.md- Complete deployment block reference with all configuration optionsreferences/linked-stacks.md- Publish outputs and upstream inputs for linking Stacks togetherreferences/examples.md- Complete working examples for multi-region and component dependenciesreferences/api-monitoring.md- Full API workflow for programmatic monitoring and automationreferences/troubleshooting.md- Detailed troubleshooting guide for common issues and solutions


