[deathanatos]

TF makes API calls to the underlying cloud. If those hang, you'll have to wait for them to time out.

Whether TF can update the state & release its locks would depend on where those were hosted. If they're in the downed AZ, then ofc. it can't do that, and manual intervention will be required afterwards. I forget if you can make those objects regional when stored in AWS or not. (You can in some other storages.)

… what would you expect to happen here?

[mdaniel]

Fun fact, for a lot of providers, it'll hang on any error, not just cloud ones. I presume it's due to the gRPC communication mechanism and the terraform binary blocking until the provider answers "yes or no" to the request