One or more transport nodes appear in a Degraded state when viewed in the NSX UI under Fabric > Hosts.
The hosts in the Degraded state may display the "Out of Sync" error:
The hosts in the Degraded state may also display an Alarm for "TEP Health":
The tunnel status is displayed as down towards one of the Edge nodes or another ESXi transport node.
Packet captures confirm that the host is transmitting BFD packets towards the other node.
However, packet captures on the Edge uplinks/other node show that no packets are being received from the affected host.
No port block conditions were observed on either the Edge or the ESXi host.
Environment
VMware NSX
Resolution
Verify whether any underlying physical infrastructure issues are present when packets appear to be exiting from the ESXi host.
Validate the status of the remote transport node towards which the tunnels are down and ensure the other node is in UP state.
In scenarios where the issue spans multiple ESXi hosts but is isolated to a single Edge, consider performing a reboot of the affected Edge.
Review any third-party firewalls positioned between the impacted ESXi host and the Edge to ensure that there are no blocks or restrictions on BFD ports.