diff --git a/pimd/pim_vxlan.c b/pimd/pim_vxlan.c
index 95b108ba67..cce6cfd793 100644
--- a/pimd/pim_vxlan.c
+++ b/pimd/pim_vxlan.c
@@ -1158,3 +1158,8 @@ void pim_vxlan_exit(struct pim_instance *pim)
 		pim->vxlan.sg_hash = NULL;
 	}
 }
+
+void pim_vxlan_terminate(void)
+{
+	pim_vxlan_work_timer_setup(false);
+}
diff --git a/pimd/pim_vxlan.h b/pimd/pim_vxlan.h
index 198d1c3281..18f1b74175 100644
--- a/pimd/pim_vxlan.h
+++ b/pimd/pim_vxlan.h
@@ -148,4 +148,6 @@ extern bool pim_vxlan_do_mlag_reg(void);
 extern void pim_vxlan_inherit_mlag_flags(struct pim_instance *pim,
 		struct pim_upstream *up, bool inherit);
 
+/* Shutdown of PIM stop the thread */
+extern void pim_vxlan_terminate(void);
 #endif /* PIM_VXLAN_H */
diff --git a/pimd/pimd.c b/pimd/pimd.c
index a2af66fdc7..f008109ebf 100644
--- a/pimd/pimd.c
+++ b/pimd/pimd.c
@@ -39,6 +39,7 @@
 #include "pim_static.h"
 #include "pim_rp.h"
 #include "pim_ssm.h"
+#include "pim_vxlan.h"
 #include "pim_zlookup.h"
 #include "pim_zebra.h"
 
@@ -133,6 +134,7 @@ void pim_terminate(void)
 	prefix_list_delete_hook(NULL);
 	prefix_list_reset();
 
+	pim_vxlan_terminate();
 	pim_vrf_terminate();
 
 	zclient = pim_zebra_zclient_get();