Is there an existing issue for this?

• I have searched the existing issues

Version

equal or higher than v1.17.5 and lower than v1.18.0

What happened?

When Cilium is running on Talos, it's not replying to ARP requests.
I have configured Cilium to do L2 announcements and enabled the ingress controller.
After setting up a CiliumLoadBalancerIPPool and CiliumL2AnnouncementPolicy, the ingress controller service is getting assigned an IP address in the range, but arping is not able to get a response from my machine.

How can we reproduce the issue?

Install Cilium with the following helm values:

ipam:
  mode: kubernetes

kubeProxyReplacement: true

operator:
  replicas: 1

securityContext:
  capabilities:
    ciliumAgent:
      - CHOWN
      - KILL
      - NET_ADMIN
      - NET_RAW
      - IPC_LOCK
      - SYS_ADMIN
      - SYS_RESOURCE
      - DAC_OVERRIDE
      - FOWNER
      - SETGID
      - SETUID
    cleanCiliumState:
      - NET_ADMIN
      - SYS_ADMIN
      - SYS_RESOURCE

cgroup:
  autoMount:
    enabled: false
  hostRoot: /sys/fs/cgroup

l2announcements:
  enabled: true

externalIPs:
  enabled: true

ingressController:
  enabled: true

k8sServiceHost: localhost
k8sServicePort: 7445

Cilium Version

cilium-cli: v0.18.3 compiled with go1.24.2 on linux/amd64
cilium image (default): v1.17.2
cilium image (stable): v1.17.5
cilium image (running): 1.17.5

Kernel Version

Unsure, running Talos v1.10.4

Kubernetes Version

Client Version: v1.32.2
Kustomize Version: v5.5.0
Server Version: v1.33.1

Regression

No response

Sysdump

cilium-sysdump-20250708-184649.zip

Relevant log output

Anything else?

No response

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