When attempting to upgrade ESXi hosts via SDDC Manager, a previously imported ESXi image is not available for selection in the target version drop-down menu.
VMware SDDC Manager
This is expected behavior.
In a VMware Cloud Foundation (VCF) environment, the minimum allowable target version for an ESXi upgrade is dictated by the Bill of Materials (BOM) for the target VCF release. SDDC Manager restricts the selection of any ESXi version that is lower than the base version specified in the BOM.
For example, if the BOM for VCF 5.2.3 specifies ESXi 8.0 U3i as the base version, an older patch release such as ESXi 8.0 U3g cannot be selected as an upgrade target, even if the image was successfully imported.
To proceed with the upgrade, ensure that you import and select an ESXi image version that is equal to or higher than the minimum version listed in the BOM for your VCF release.