This issue occurs when 1 or more of the following conditions are met:
This is fixed in ESXi 6.7 U2 or the patch referenced in PR 2221818
Workaround:
There are two different workarounds available:
esxcli system settings kernel set -s "netVSSUseEtherswitch" -v true
esxcli system settings kernel list -o "netVSSUseEtherswitch"
Name Type Configured Runtime Default Description
-------------------- ---- ---------- ------- ------- --------------------------------------------------------------------------
netVSSUseEtherswitch Bool true TRUE FALSE Use etherswitch instead of cswitch to back the virtual standard switch.