diff --git a/Dockerfile b/Dockerfile
index fd7db80f2..f0f1f92fa 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -100,7 +100,6 @@ ARG DPSERVICE_FEATURES=""
 RUN meson setup release_build $DPSERVICE_FEATURES --buildtype=release && ninja -C release_build
 RUN CC=clang CXX=clang++ meson setup clang_build $DPSERVICE_FEATURES && ninja -C clang_build
 RUN meson setup xtratest_build $DPSERVICE_FEATURES -Denable_tests=true && ninja -C xtratest_build
-RUN meson setup pf1_proxy_build $DPSERVICE_FEATURES -Denable_pf1_proxy=true && ninja -C pf1_proxy_build
 
 
 # Test-image to run pytest
diff --git a/docs/deployment/help_dpservice-bin.md b/docs/deployment/help_dpservice-bin.md
index b28e0ade0..960fb61e0 100644
--- a/docs/deployment/help_dpservice-bin.md
+++ b/docs/deployment/help_dpservice-bin.md
@@ -6,8 +6,6 @@
 | -v, --version | None | display version and exit |  |
 | --pf0 | IFNAME | first physical interface (e.g. eth0) |  |
 | --pf1 | IFNAME | second physical interface (e.g. eth1) |  |
-| --pf1-proxy | IFNAME | VF representor to use as a proxy for pf1 packets |  |
-| --pf1-proxy-vf | IFNAME | VF interface of the pf1-proxy VF representor |  |
 | --ipv6 | ADDR6 | IPv6 underlay address |  |
 | --vf-pattern | PATTERN | virtual interface name pattern (e.g. 'eth1vf') |  |
 | --dhcp-mtu | SIZE | set the mtu field in DHCP responses (68 - 1500) |  |
diff --git a/docs/deployment/mellanox.md b/docs/deployment/mellanox.md
index 2c6103360..f0c595f4f 100644
--- a/docs/deployment/mellanox.md
+++ b/docs/deployment/mellanox.md
@@ -43,9 +43,11 @@ For this mode to be functional, an additional firmware setting `LAG_RESOURCE_ALL
 
 In some cases (looks like a nic/switch combination) performance is severly affected when VM traffic is happening. This has been observed to be fixed by setting `ROCE_CONTROL=1` (this means "disabled", the default is `2` meaning "enabled"). The actual cause of this is yet to be discovered.
 
+> For this to work, kernal has to have "TC recirculation support" (CONFIG_NET_TC_SKB_EXT) enabled. This is not the default for Debian.
+
 
 ## Dp-service setup
 Either `prepare.sh` script or `preparedp.service` systemd unit needs to be run before dp-service can work properly. This should already be done automatically if using the Docker image provided. Make sure this does not produce any errors.
 
 ### Multiport-eswitch
-The `prepare.sh` script supports `--multiport-eswitch` argument to set the card up in multiport-eswitch mode. There is an additional `--pf1-proxy` argument to also create a VF on PF1 for proxying PF1 traffic. Currently both arguments are needed to properly run dpservice in multiport-eswitch mode due to a (suspected) driver bug.
+The `prepare.sh` script supports `--multiport-eswitch` argument to set the card up in multiport-eswitch mode.
diff --git a/docs/development/running.md b/docs/development/running.md
index 69b976b28..22b36c409 100644
--- a/docs/development/running.md
+++ b/docs/development/running.md
@@ -80,10 +80,3 @@ In this mode, only the PF0 (which is bonded with PF1) needs to be specified:
 ```bash
 ./dpservice-bin -a 0000:03:00.0,class=rxq_cqe_comp_en=0,rx_vec_en=1,dv_flow_en=2,dv_esw_en=1,fdb_def_rule_en=1,representor=pf[0-1]vf[0-5] -l 0,1 -- --pf0=enp59s0f1 --pf1=enp59s0f1 --vf-pattern=enp59s0f0_ --ipv6=2a10:afc0:e01f:209:: --no-stats --no-offload --multiport-eswitch
 ```
-
-#### PF1-proxy
-In multiport-eswitch mode, currently PF1 is not usable (suspected driver problem), so dpservice provides a way to proxy the communication over a separate VF on PF1.
-```bash
-./dpservice-bin -a 0000:03:00.0,class=rxq_cqe_comp_en=0,rx_vec_en=1,dv_flow_en=2,dv_esw_en=1,fdb_def_rule_en=1,representor=pf[0-1]vf[0-5] -l 0,1 -- --pf0=enp59s0f1 --pf1=enp59s0f1 --vf-pattern=enp59s0f0_ --ipv6=2a10:afc0:e01f:209:: --no-stats --no-offload --multiport-eswitch --pf1-proxy enp59s0f1npf1vf0 --pf1-proxy-vf enp59s0f1v0
-```
-The `--pf1-proxy` is the representor used by dpservice for proxying packets. The `--pf1-proxy-vf` is the VF used by the Linux kernel to receive packets, i.e. the replacement for PF1. Without `--pf1-proxy-vf` dpservice is unable to determine the MAC address to use for host-host overlay traffic.
diff --git a/docs/sys_design/README.md b/docs/sys_design/README.md
index 1d07e49a6..4e693a0dc 100644
--- a/docs/sys_design/README.md
+++ b/docs/sys_design/README.md
@@ -5,14 +5,6 @@ This is the graph topology for packets handled by dpservice. Offloaded packets n
 
 Note that every graph node actually has one other edge to it that leads to a **"Drop"** node, but for clarity this is omitted. As the name suggests, that node has no other edge and is simply dropping the packets without sending them anywhere.
 
-## PF1-proxy
-When using a (conditionally compiled-in) pf1-proxy feature, all traffic for the host (i.e. not underlay traffic for dpservice) needs to be forwarded to a special VF on PF1 called "pf1-proxy" and back.
-
-### Traffic from proxy to PF1
-Since **all packets** without exception need to be forwarded directly to PF1, an rte-rule is installed to do just that, so all packets are offloaded and never enter the graph.
-
-### Traffic from PF1 to proxy
-Only non-underlay IPv6 packets, i.e. IPv6 packets with destination IP matching the host's IP (`--ipv6` command-line argument) are directly forwarded by offloading via an rte-rule. The remaining packets enter dpservice normally and if they are classified as "unusable" (i.e. should be dropped by "Classify" node), they are instead forwarded to pf1-proxy. See the dashed graph edge above.
 
 ## Virtual services
 If virtual services are compiled-in, there is another path for packets to take. Packets going from a virtual IPv4 and TCP/UDP port to a specific web-service (i.e. specific IPv6 and TCP/UDP port) undergo an IP header replacement (from IPv4 to IPv6 and back) to enable VMs to contact IPv6 web-services without the use of NAT. This is useful for services that are heavily used by many connections, like DNS, k8s api-servers, etc.
diff --git a/hack/dp_conf.json b/hack/dp_conf.json
index 75387ee4d..c4c3c40c7 100644
--- a/hack/dp_conf.json
+++ b/hack/dp_conf.json
@@ -19,24 +19,6 @@
       "type": "char",
       "array_size": "IF_NAMESIZE"
     },
-    {
-      "lgopt": "pf1-proxy",
-      "arg": "IFNAME",
-      "help": "VF representor to use as a proxy for pf1 packets",
-      "var": "pf1_proxy",
-      "type": "char",
-      "array_size": "IF_NAMESIZE",
-      "ifdef": "ENABLE_PF1_PROXY"
-    },
-    {
-      "lgopt": "pf1-proxy-vf",
-      "arg": "IFNAME",
-      "help": "VF interface of the pf1-proxy VF representor",
-      "var": "pf1_proxy_vf",
-      "type": "char",
-      "array_size": "IF_NAMESIZE",
-      "ifdef": "ENABLE_PF1_PROXY"
-    },
     {
       "lgopt": "ipv6",
       "arg": "ADDR6",
diff --git a/hack/prepare.sh b/hack/prepare.sh
index 54bf807b1..640bf0833 100755
--- a/hack/prepare.sh
+++ b/hack/prepare.sh
@@ -10,7 +10,6 @@ set -Eeuo pipefail
 #
 
 OPT_MULTIPORT=false
-OPT_PF1_PROXY=false
 
 BLUEFIELD_IDENTIFIERS=("MT_0000000543", "MT_0000000541")
 MAX_NUMVFS_POSSIBLE=126
@@ -166,10 +165,6 @@ function create_vf() {
 	# plus we don't need to unbind them before enabling switchdev mode
 	log "disabling automatic binding of VFs on pf0 '$pf0'"
 	echo 0 > /sys/bus/pci/devices/$pf0/sriov_drivers_autoprobe
-	if [[ "$OPT_PF1_PROXY" == "true" ]]; then
-		log "enabling automatic binding of VFs on pf1 '$pf1'"
-		echo 1 > /sys/bus/pci/devices/$pf1/sriov_drivers_autoprobe
-	fi
 
 	if [[ "$IS_X86_WITH_MLX" == "true" ]]; then
 		# enable switchdev mode, this operation takes most time
@@ -193,20 +188,6 @@ function create_vf() {
 	actualvfs=$((NUMVFS_DESIRED<totalvfs ? NUMVFS_DESIRED : totalvfs))
 	log "creating $actualvfs virtual functions"
 	echo $actualvfs > /sys/bus/pci/devices/$pf0/sriov_numvfs
-	if [[ "$OPT_PF1_PROXY" == "true" ]]; then
-		log "creating pf1-proxy virtual function"
-		echo 1 > /sys/bus/pci/devices/$pf1/sriov_numvfs
-		log "configuring pf1-proxy"
-		local pf1proxy=$(get_pf1_proxy $pf1)
-		ip link set $pf1proxy mtu 9100
-		ip link set $pf1proxy up
-		local pf1_name=$(get_ifname 1)
-		local pf1_mac=$(cat /sys/class/net/$pf1_name/address)
-		local pf1proxy_vf=$(get_pf1_proxy_vf)
-		ip link set $pf1proxy_vf mtu 9100
-		ip link set $pf1proxy_vf address $pf1_mac
-		ip link set $pf1proxy_vf up
-	fi
 }
 
 function get_pattern() {
@@ -220,27 +201,6 @@ function get_pattern() {
 	echo "$pattern"
 }
 
-function get_pf1_proxy() {
-	local dev=$1
-	proxy=$(devlink port | grep pci/$dev/ | grep "virtual\|pcivf" | awk '{print $5}' | uniq)
-	if [ -z "$proxy" ]; then
-		err "can't determine the pf1-proxy vf for $dev"
-	elif [ $(wc -l <<< "$proxy") -ne 1 ]; then
-		err "multiple pf1-proxy devices found for $dev"
-	fi
-	echo "$proxy"
-}
-
-function get_pf1_proxy_vf() {
-	vf=$(devlink port | grep auxiliary/mlx5_core.eth.2/ | grep virtual | awk '{print $5}' | uniq)
-	if [ -z "$vf" ]; then
-		err "can't determine the pf1-proxy vf"
-	elif [ $(wc -l <<< "$vf") -ne 1 ]; then
-		err "multiple pf1-proxy vfs found"
-	fi
-	echo "$vf"
-}
-
 function get_ifname() {
 	local port=$1
 	devlink port | grep "physical port $port" | awk '{ print $5}'
@@ -268,10 +228,6 @@ function make_config() {
 	conf_pf1="$(get_ifname 1)"
 	conf_vf_pattern="$(get_pattern ${devs[0]})"
 	conf_ipv6="$(get_ipv6)"
-	if [[ "$OPT_MULTIPORT" == "true" ]]; then
-		conf_pf1_proxy="$(get_pf1_proxy ${devs[1]})"
-		conf_pf1_proxy_vf="$(get_pf1_proxy_vf)"
-	fi
 
 	{ echo "# This has been generated by prepare.sh"
 	echo "no-stats"
@@ -281,10 +237,6 @@ function make_config() {
 	echo "ipv6 $conf_ipv6"
 	if [[ "$OPT_MULTIPORT" == "true" ]]; then
 		echo "a-pf0 ${devs[0]},class=rxq_cqe_comp_en=0,rx_vec_en=1,dv_flow_en=2,dv_esw_en=1,fdb_def_rule_en=1,representor=pf[0-1]vf[0-$[$actualvfs-1]]"
-		if [[ "$OPT_PF1_PROXY" == "true" ]]; then
-			echo "pf1-proxy $conf_pf1_proxy"
-			echo "pf1-proxy-vf $conf_pf1_proxy_vf"
-		fi
 		echo "multiport-eswitch"
 	else
 		echo "a-pf0 ${devs[0]},class=rxq_cqe_comp_en=0,rx_vec_en=1,representor=pf[0]vf[0-$[$actualvfs-1]]"
@@ -293,9 +245,6 @@ function make_config() {
 
 	if [[ "$OPT_MULTIPORT" == "true" ]]; then
 		log "dpservice configured in multiport-eswitch mode"
-		if [[ "$OPT_PF1_PROXY" == "true" ]]; then
-			log "dpservice will create a pf1-proxy"
-		fi
 	else
 		log "dpservice configured in normal mode"
 	fi
@@ -312,9 +261,6 @@ while [[ $# -gt 0 ]]; do
 		--multiport-eswitch)
 			OPT_MULTIPORT=true
 			;;
-		--pf1-proxy)
-			OPT_PF1_PROXY=true
-			;;
 		--force)
 			CONFIG_EXISTS=false
 			;;
diff --git a/include/dp_conf.h b/include/dp_conf.h
index 318b8e412..4526a05e7 100644
--- a/include/dp_conf.h
+++ b/include/dp_conf.h
@@ -48,10 +48,6 @@ const union dp_ipv6 *dp_conf_get_underlay_ip(void);
 const struct dp_conf_dhcp_dns *dp_conf_get_dhcp_dns(void);
 const struct dp_conf_dhcp_dns *dp_conf_get_dhcpv6_dns(void);
 
-#ifdef ENABLE_PF1_PROXY
-bool dp_conf_is_pf1_proxy_enabled(void);
-#endif
-
 #ifdef ENABLE_VIRTSVC
 const struct dp_conf_virtual_services *dp_conf_get_virtual_services(void);
 #endif
diff --git a/include/dp_conf_opts.h b/include/dp_conf_opts.h
index a7c0b2dd1..33d9f8260 100644
--- a/include/dp_conf_opts.h
+++ b/include/dp_conf_opts.h
@@ -27,12 +27,6 @@ enum dp_conf_log_format {
 
 const char *dp_conf_get_pf0_name(void);
 const char *dp_conf_get_pf1_name(void);
-#ifdef ENABLE_PF1_PROXY
-const char *dp_conf_get_pf1_proxy(void);
-#endif
-#ifdef ENABLE_PF1_PROXY
-const char *dp_conf_get_pf1_proxy_vf(void);
-#endif
 const char *dp_conf_get_vf_pattern(void);
 int dp_conf_get_dhcp_mtu(void);
 int dp_conf_get_wcmp_perc(void);
diff --git a/include/dp_port.h b/include/dp_port.h
index 74886899e..793ce45a9 100644
--- a/include/dp_port.h
+++ b/include/dp_port.h
@@ -58,10 +58,6 @@ struct dp_port_async_template {
 
 enum dp_port_async_template_type {
 	DP_PORT_ASYNC_TEMPLATE_PF_ISOLATION,
-#ifdef ENABLE_PF1_PROXY
-	DP_PORT_ASYNC_TEMPLATE_PF1_FROM_PROXY,
-	DP_PORT_ASYNC_TEMPLATE_PF1_TO_PROXY,
-#endif
 #ifdef ENABLE_VIRTSVC
 	DP_PORT_ASYNC_TEMPLATE_VIRTSVC_TCP_ISOLATION,
 	DP_PORT_ASYNC_TEMPLATE_VIRTSVC_UDP_ISOLATION,
@@ -72,10 +68,6 @@ enum dp_port_async_template_type {
 enum dp_port_async_flow_type {
 	DP_PORT_ASYNC_FLOW_ISOLATE_IPIP,
 	DP_PORT_ASYNC_FLOW_ISOLATE_IPV6,
-#ifdef ENABLE_PF1_PROXY
-	DP_PORT_ASYNC_FLOW_PF1_FROM_PROXY,
-	DP_PORT_ASYNC_FLOW_PF1_TO_PROXY,
-#endif
 	DP_PORT_ASYNC_FLOW_COUNT,
 };
 
@@ -120,9 +112,6 @@ struct dp_ports {
 // hidden structures for inline functions to access
 extern struct dp_port *_dp_port_table[DP_MAX_PORTS];
 extern struct dp_port *_dp_pf_ports[DP_MAX_PF_PORTS];
-#ifdef ENABLE_PF1_PROXY
-extern struct dp_port _dp_pf1_proxy_port;
-#endif
 extern struct dp_ports _dp_ports;
 
 
@@ -134,9 +123,6 @@ void dp_ports_free(void);
 
 int dp_start_port(struct dp_port *port);
 int dp_start_pf_port(uint16_t index);
-#ifdef ENABLE_PF1_PROXY
-int dp_start_pf1_proxy_port(void);
-#endif
 int dp_stop_port(struct dp_port *port);
 
 void dp_start_acquiring_neigh_mac(struct dp_port *port);
@@ -210,14 +196,6 @@ struct dp_port *dp_get_port_by_pf_index(uint16_t index)
 	return index < RTE_DIM(_dp_pf_ports) ? _dp_pf_ports[index] : NULL;
 }
 
-#ifdef ENABLE_PF1_PROXY
-static __rte_always_inline
-const struct dp_port *dp_get_pf1_proxy(void)
-{
-	return &_dp_pf1_proxy_port;
-}
-#endif
-
 #ifdef __cplusplus
 }
 #endif
diff --git a/include/dpdk_layer.h b/include/dpdk_layer.h
index df0010825..0af00de62 100644
--- a/include/dpdk_layer.h
+++ b/include/dpdk_layer.h
@@ -14,11 +14,7 @@ extern "C" {
 
 #define DP_MAX_PF_PORTS 2
 #define DP_MAX_VF_PORTS 126
-#ifdef ENABLE_PF1_PROXY
-#define DP_MAX_PORTS    (DP_MAX_PF_PORTS + DP_MAX_VF_PORTS + 1)
-#else
 #define DP_MAX_PORTS    (DP_MAX_PF_PORTS + DP_MAX_VF_PORTS)
-#endif
 
 #define DP_NR_STD_RX_QUEUES		1
 #define DP_NR_STD_TX_QUEUES		1
@@ -47,17 +43,8 @@ extern "C" {
 // max Ether MTU 1500 + frame header 14 + frame footer 4 + IPv6 tunnel header 40
 #define DP_MBUF_BUF_SIZE	(1558 + RTE_PKTMBUF_HEADROOM)
 
-#ifdef ENABLE_PF1_PROXY
-#define DP_JUMBO_MBUF_POOL_SIZE	(50*1024)
-// max Jumbo Ether MTU 9100 + frame header 14 + frame footer 4
-#define DP_JUMBO_MBUF_BUF_SIZE	(9118 + RTE_PKTMBUF_HEADROOM)
-#endif
-
 struct dp_dpdk_layer {
 	struct rte_mempool	*rte_mempool;
-#ifdef ENABLE_PF1_PROXY
-	struct rte_mempool	*rte_jumbo_mempool;
-#endif
 	struct rte_ring		*grpc_tx_queue;
 	struct rte_ring		*grpc_rx_queue;
 	struct rte_ring		*periodic_msg_queue;
diff --git a/include/nodes/cls_node.h b/include/nodes/cls_node.h
deleted file mode 100644
index 04ca2f57c..000000000
--- a/include/nodes/cls_node.h
+++ /dev/null
@@ -1,20 +0,0 @@
-// SPDX-FileCopyrightText: 2023 SAP SE or an SAP affiliate company and IronCore contributors
-// SPDX-License-Identifier: Apache-2.0
-
-#ifndef __INCLUDE_CLS_NODE_H__
-#define __INCLUDE_CLS_NODE_H__
-
-#include <stdint.h>
-
-#ifdef __cplusplus
-extern "C" {
-#endif
-
-#ifdef ENABLE_PF1_PROXY
-int cls_node_append_tx(uint16_t port_id, const char *tx_node_name);
-#endif
-
-#ifdef __cplusplus
-}
-#endif
-#endif
diff --git a/include/rte_flow/dp_rte_async_flow_pf1_proxy.h b/include/rte_flow/dp_rte_async_flow_pf1_proxy.h
deleted file mode 100644
index cf9cd1efe..000000000
--- a/include/rte_flow/dp_rte_async_flow_pf1_proxy.h
+++ /dev/null
@@ -1,24 +0,0 @@
-// SPDX-FileCopyrightText: 2023 SAP SE or an SAP affiliate company and IronCore contributors
-// SPDX-License-Identifier: Apache-2.0
-
-#ifndef __INCLUDE_DP_RTE_FLOW_ASYNC_FLOW_PF1_PROXY_H__
-#define __INCLUDE_DP_RTE_FLOW_ASYNC_FLOW_PF1_PROXY_H__
-
-#define DP_PF1_PROXY_RULE_COUNT 2
-
-#ifdef __cplusplus
-extern "C" {
-#endif
-
-#include "dp_port.h"
-
-int dp_create_pf_async_from_proxy_templates(struct dp_port *port);
-int dp_create_pf_async_to_proxy_templates(struct dp_port *port);
-
-uint16_t dp_create_pf1_proxy_async_isolation_rules(struct dp_port *port);
-
-#ifdef __cplusplus
-}
-#endif
-
-#endif
diff --git a/include/rte_flow/dp_rte_flow_helpers.h b/include/rte_flow/dp_rte_flow_helpers.h
index 0953c97c0..7061a2975 100644
--- a/include/rte_flow/dp_rte_flow_helpers.h
+++ b/include/rte_flow/dp_rte_flow_helpers.h
@@ -38,12 +38,6 @@ union dp_flow_item_l4 {
 	struct rte_flow_item_icmp6 icmp6;
 };
 
-#ifdef ENABLE_PF1_PROXY
-static const struct rte_flow_item_ethdev dp_flow_item_ethdev_mask = {
-	.port_id = 0xffff,
-};
-#endif
-
 static const struct rte_flow_item_eth dp_flow_item_eth_mask = {
 	.hdr.ether_type = 0xffff,
 };
@@ -75,11 +69,6 @@ static const struct rte_flow_item_ipv6 dp_flow_item_ipv6_src_dst_mask = {
 	.hdr.proto = 0xff,
 };
 #endif
-#ifdef ENABLE_PF1_PROXY
-static const struct rte_flow_item_ipv6 dp_flow_item_ipv6_dst_only_mask = {
-	.hdr.dst_addr = "\xff\xff\xff\xff\xff\xff\xff\xff\xff\xff\xff\xff\xff\xff\xff\xff",
-};
-#endif
 
 static const struct rte_flow_item_ipv4 dp_flow_item_ipv4_dst_mask = {
 	.hdr.dst_addr = 0xffffffff,
diff --git a/meson.build b/meson.build
index e5665970d..ed92177cc 100644
--- a/meson.build
+++ b/meson.build
@@ -56,9 +56,6 @@ endif
 if get_option('enable_tests')
   add_global_arguments('-DENABLE_PYTEST', language: ['c', 'cpp'])
 endif
-if get_option('enable_pf1_proxy')
-  add_global_arguments('-DENABLE_PF1_PROXY', language: ['c', 'cpp'])
-endif
 
 dpdk_dep = dependency('libdpdk', version: '>=21.11.0')
 proto_dep = dependency('protobuf')
diff --git a/meson_options.txt b/meson_options.txt
index c236b51a4..c8f35c1c3 100644
--- a/meson_options.txt
+++ b/meson_options.txt
@@ -10,6 +10,3 @@ option('compiler_suggestions', type: 'boolean', value: false, description:
        'Show various compiler suggestions (warnings)')
 option('build_dpservice_cli', type: 'boolean', value: false, description:
        'Enable building of dpservice-cli golang gRPC client')
-option('enable_pf1_proxy', type: 'boolean', value: false, description:
-       'Enable the workaround solution to allow PF1 to communicate with the outside world')
-
diff --git a/src/dp_conf.c b/src/dp_conf.c
index 2e6767d34..2081345a4 100644
--- a/src/dp_conf.c
+++ b/src/dp_conf.c
@@ -38,13 +38,6 @@ static struct dp_conf_dhcp_dns dhcpv6_dns = {0};
 static struct dp_conf_virtual_services virtual_services = {0};
 #endif
 
-#ifdef ENABLE_PF1_PROXY
-bool dp_conf_is_pf1_proxy_enabled(void)
-{
-	return *pf1_proxy;
-}
-#endif
-
 int dp_conf_is_wcmp_enabled(void)
 {
 	return wcmp_perc < 100;
diff --git a/src/dp_conf_opts.c b/src/dp_conf_opts.c
index a06d718cd..a2ef668cf 100644
--- a/src/dp_conf_opts.c
+++ b/src/dp_conf_opts.c
@@ -20,12 +20,6 @@ enum {
 _OPT_SHOPT_MAX = 255,
 	OPT_PF0,
 	OPT_PF1,
-#ifdef ENABLE_PF1_PROXY
-	OPT_PF1_PROXY,
-#endif
-#ifdef ENABLE_PF1_PROXY
-	OPT_PF1_PROXY_VF,
-#endif
 	OPT_IPV6,
 	OPT_VF_PATTERN,
 	OPT_DHCP_MTU,
@@ -62,12 +56,6 @@ static const struct option dp_conf_longopts[] = {
 	{ "version", 0, 0, OPT_VERSION },
 	{ "pf0", 1, 0, OPT_PF0 },
 	{ "pf1", 1, 0, OPT_PF1 },
-#ifdef ENABLE_PF1_PROXY
-	{ "pf1-proxy", 1, 0, OPT_PF1_PROXY },
-#endif
-#ifdef ENABLE_PF1_PROXY
-	{ "pf1-proxy-vf", 1, 0, OPT_PF1_PROXY_VF },
-#endif
 	{ "ipv6", 1, 0, OPT_IPV6 },
 	{ "vf-pattern", 1, 0, OPT_VF_PATTERN },
 	{ "dhcp-mtu", 1, 0, OPT_DHCP_MTU },
@@ -117,12 +105,6 @@ static const char *log_format_choices[] = {
 
 static char pf0_name[IF_NAMESIZE];
 static char pf1_name[IF_NAMESIZE];
-#ifdef ENABLE_PF1_PROXY
-static char pf1_proxy[IF_NAMESIZE];
-#endif
-#ifdef ENABLE_PF1_PROXY
-static char pf1_proxy_vf[IF_NAMESIZE];
-#endif
 static char vf_pattern[IF_NAMESIZE];
 static int dhcp_mtu = 1500;
 static int wcmp_perc = 100;
@@ -152,20 +134,6 @@ const char *dp_conf_get_pf1_name(void)
 	return pf1_name;
 }
 
-#ifdef ENABLE_PF1_PROXY
-const char *dp_conf_get_pf1_proxy(void)
-{
-	return pf1_proxy;
-}
-
-#endif
-#ifdef ENABLE_PF1_PROXY
-const char *dp_conf_get_pf1_proxy_vf(void)
-{
-	return pf1_proxy_vf;
-}
-
-#endif
 const char *dp_conf_get_vf_pattern(void)
 {
 	return vf_pattern;
@@ -262,12 +230,6 @@ static inline void dp_argparse_help(const char *progname, FILE *outfile)
 		" -v, --version                          display version and exit\n"
 		"     --pf0=IFNAME                       first physical interface (e.g. eth0)\n"
 		"     --pf1=IFNAME                       second physical interface (e.g. eth1)\n"
-#ifdef ENABLE_PF1_PROXY
-		"     --pf1-proxy=IFNAME                 VF representor to use as a proxy for pf1 packets\n"
-#endif
-#ifdef ENABLE_PF1_PROXY
-		"     --pf1-proxy-vf=IFNAME              VF interface of the pf1-proxy VF representor\n"
-#endif
 		"     --ipv6=ADDR6                       IPv6 underlay address\n"
 		"     --vf-pattern=PATTERN               virtual interface name pattern (e.g. 'eth1vf')\n"
 		"     --dhcp-mtu=SIZE                    set the mtu field in DHCP responses (68 - 1500)\n"
@@ -306,14 +268,6 @@ static int dp_conf_parse_arg(int opt, const char *arg)
 		return dp_argparse_string(arg, pf0_name, ARRAY_SIZE(pf0_name));
 	case OPT_PF1:
 		return dp_argparse_string(arg, pf1_name, ARRAY_SIZE(pf1_name));
-#ifdef ENABLE_PF1_PROXY
-	case OPT_PF1_PROXY:
-		return dp_argparse_string(arg, pf1_proxy, ARRAY_SIZE(pf1_proxy));
-#endif
-#ifdef ENABLE_PF1_PROXY
-	case OPT_PF1_PROXY_VF:
-		return dp_argparse_string(arg, pf1_proxy_vf, ARRAY_SIZE(pf1_proxy_vf));
-#endif
 	case OPT_IPV6:
 		return dp_argparse_opt_ipv6(arg);
 	case OPT_VF_PATTERN:
diff --git a/src/dp_graph.c b/src/dp_graph.c
index 76c28e454..0af56663f 100644
--- a/src/dp_graph.c
+++ b/src/dp_graph.c
@@ -10,7 +10,6 @@
 #include "dp_timers.h"
 #include "monitoring/dp_graphtrace.h"
 #include "nodes/arp_node.h"
-#include "nodes/cls_node.h"
 #include "nodes/dhcp_node.h"
 #include "nodes/dhcpv6_node.h"
 #include "nodes/ipip_encap_node.h"
@@ -121,37 +120,6 @@ static rte_graph_t dp_graph_create(unsigned int lcore_id)
 	return graph_id;
 }
 
-#ifdef ENABLE_PF1_PROXY
-static int dp_graph_init_pf1_proxy(void)
-{
-	char name[RTE_NODE_NAMESIZE];
-	uint16_t port_id;
-
-	if (!dp_conf_is_pf1_proxy_enabled())
-		return DP_OK;
-
-	// pf1-proxy is not part of dp_ports list
-	// so create a separate Tx and wire Tx to CLS node
-	port_id = dp_get_pf1_proxy()->port_id;
-
-	// Note that there is no Rx node since all pf1-proxy -> pf1 packets are offloaded
-	if (DP_FAILED(tx_node_create(port_id)))
-		return DP_ERROR;
-
-	snprintf(name, sizeof(name), "tx-%u", port_id);
-	if (DP_FAILED(cls_node_append_tx(port_id, name)))
-		return DP_ERROR;
-
-	// also wire the PF1 Tx for return path
-	port_id = dp_get_pf1()->port_id;
-	snprintf(name, sizeof(name), "tx-%u", port_id);
-	if (DP_FAILED(cls_node_append_tx(port_id, name)))
-		return DP_ERROR;
-
-	return DP_OK;
-}
-#endif
-
 static int dp_graph_init_nodes(void)
 {
 	char name[RTE_NODE_NAMESIZE];
@@ -203,11 +171,6 @@ int dp_graph_init(void)
 	if (DP_FAILED(dp_graph_init_nodes()))
 		return DP_ERROR;
 
-#ifdef ENABLE_PF1_PROXY
-	if (DP_FAILED(dp_graph_init_pf1_proxy()))
-		return DP_ERROR;
-#endif
-
 	// find the right core(s) to run on
 	// start from second core, first core is for main loop, not graph
 	for (unsigned int lcore_id = 1; lcore_id < RTE_MAX_LCORE; ++lcore_id) {
diff --git a/src/dp_port.c b/src/dp_port.c
index 0f42c1192..0176be84d 100644
--- a/src/dp_port.c
+++ b/src/dp_port.c
@@ -17,7 +17,6 @@
 #include "nodes/rx_node.h"
 #include "rte_flow/dp_rte_async_flow.h"
 #include "rte_flow/dp_rte_async_flow_isolation.h"
-#include "rte_flow/dp_rte_async_flow_pf1_proxy.h"
 #include "rte_flow/dp_rte_async_flow_template.h"
 #include "rte_flow/dp_rte_flow.h"
 #include "rte_flow/dp_rte_flow_capture.h"
@@ -26,9 +25,6 @@
 #define DP_PORT_INIT_PF true
 #define DP_PORT_INIT_VF false
 
-#define DP_PORT_PROXIED true
-#define DP_PORT_NORMAL false
-
 #define DP_PORT_NEIGHMAC_INITIAL_PERIOD 1
 #define DP_PORT_NEIGHMAC_BACKOFF_COEF 2
 #define DP_PORT_NEIGHMAC_MAX_PERIOD 60
@@ -61,9 +57,6 @@ static const struct rte_meter_srtcm_params dp_srtcm_params_base = {
 
 struct dp_port *_dp_port_table[DP_MAX_PORTS];
 struct dp_port *_dp_pf_ports[DP_MAX_PF_PORTS];
-#ifdef ENABLE_PF1_PROXY
-struct dp_port _dp_pf1_proxy_port;
-#endif
 struct dp_ports _dp_ports;
 
 static int dp_port_register_pf(struct dp_port *port)
@@ -102,7 +95,6 @@ static int dp_port_init_ethdev(struct dp_port *port, struct rte_eth_dev_info *de
 	struct rte_eth_rxconf rxq_conf;
 	struct rte_eth_conf port_conf = port_conf_default;
 	uint16_t nr_hairpin_queues;
-	struct rte_mempool *mempool;
 	int ret;
 
 	/* Default config */
@@ -129,15 +121,10 @@ static int dp_port_init_ethdev(struct dp_port *port, struct rte_eth_dev_info *de
 
 	/* RX and TX queues config */
 	for (uint16_t i = 0; i < DP_NR_STD_RX_QUEUES; ++i) {
-		mempool = dp_layer->rte_mempool;
-#ifdef ENABLE_PF1_PROXY
-		if (dp_conf_is_pf1_proxy_enabled() && (port == dp_get_pf1() || port == dp_get_pf1_proxy()))
-			mempool = dp_layer->rte_jumbo_mempool;
-#endif
 		ret = rte_eth_rx_queue_setup(port->port_id, i, 1024,
 									 port->socket_id,
 									 &rxq_conf,
-									 mempool);
+									 dp_layer->rte_mempool);
 		if (DP_FAILED(ret)) {
 			DPS_LOG_ERR("Rx queue setup failed", DP_LOG_PORT(port), DP_LOG_RET(ret));
 			return DP_ERROR;
@@ -221,7 +208,7 @@ static int dp_get_port_socket_id(uint16_t port_id)
 	return socket_id;
 }
 
-static struct dp_port *dp_port_init_interface(uint16_t port_id, struct rte_eth_dev_info *dev_info, bool is_pf, bool is_proxied)
+static struct dp_port *dp_port_init_interface(uint16_t port_id, struct rte_eth_dev_info *dev_info, bool is_pf)
 {
 	static int last_pf1_hairpin_tx_rx_queue_offset = 1;
 	struct dp_port *port;
@@ -232,11 +219,9 @@ static struct dp_port *dp_port_init_interface(uint16_t port_id, struct rte_eth_d
 	if (DP_FAILED(socket_id) && socket_id != SOCKET_ID_ANY)
 		return NULL;
 
-	if (is_pf && !is_proxied) {
-		if (dp_conf_get_nic_type() != DP_CONF_NIC_TYPE_TAP)
-			if (DP_FAILED(dp_port_flow_isolate(port_id)))
-				return NULL;
-	}
+	if (is_pf && dp_conf_get_nic_type() != DP_CONF_NIC_TYPE_TAP)
+		if (DP_FAILED(dp_port_flow_isolate(port_id)))
+			return NULL;
 
 	// oveflow check done by liming the number of calls to this function
 	port = _dp_ports.end++;
@@ -275,38 +260,6 @@ static struct dp_port *dp_port_init_interface(uint16_t port_id, struct rte_eth_d
 	return port;
 }
 
-#ifdef ENABLE_PF1_PROXY
-static struct dp_port *dp_port_init_pf1_proxy_interface(uint16_t port_id, struct rte_eth_dev_info *dev_info)
-{
-	struct dp_port *port;
-	uint32_t if_index;
-	int socket_id;
-
-	socket_id = dp_get_port_socket_id(port_id);
-	if (DP_FAILED(socket_id) && socket_id != SOCKET_ID_ANY)
-		return NULL;
-
-	if_index = if_nametoindex(dp_conf_get_pf1_proxy_vf());
-	if (if_index == 0) {
-		DPS_LOG_ERR("Cannot get pf1-proxy vf interface index", DP_LOG_IFACE(dp_conf_get_pf1_proxy_vf()));
-		return NULL;
-	}
-
-	port = &_dp_pf1_proxy_port;
-	port->is_pf = false;
-	port->port_id = port_id;
-	port->socket_id = socket_id;
-	port->if_index = if_index;
-	rte_timer_init(&port->neighmac_timer);
-	_dp_port_table[port_id] = port;
-
-	if (DP_FAILED(dp_port_init_ethdev(port, dev_info)))
-		return NULL;
-
-	return port;
-}
-#endif
-
 static int dp_port_set_up_hairpins(void)
 {
 	const struct dp_port *pf0 = dp_get_pf0();
@@ -345,18 +298,12 @@ static int dp_port_init_pf(const char *pf_name)
 	uint16_t port_id;
 	struct rte_eth_dev_info dev_info;
 	struct dp_port *port;
-	bool proxied;
 
 	if (DP_FAILED(dp_find_port(pf_name, &port_id, &dev_info)))
 		return DP_ERROR;
 
 	DPS_LOG_INFO("INIT initializing PF port", DP_LOG_PORTID(port_id), DP_LOG_IFNAME(pf_name));
-#ifdef ENABLE_PF1_PROXY
-	proxied = dp_conf_is_pf1_proxy_enabled() && !strcmp(pf_name, dp_conf_get_pf1_name());
-#else
-	proxied = false;
-#endif
-	port = dp_port_init_interface(port_id, &dev_info, DP_PORT_INIT_PF, proxied);
+	port = dp_port_init_interface(port_id, &dev_info, DP_PORT_INIT_PF);
 	if (!port)
 		return DP_ERROR;
 
@@ -364,29 +311,6 @@ static int dp_port_init_pf(const char *pf_name)
 	return DP_OK;
 }
 
-#ifdef ENABLE_PF1_PROXY
-static int dp_port_init_pf1_proxy(const char *pf1_proxy_name)
-{
-	uint16_t port_id;
-	struct rte_eth_dev_info dev_info;
-	struct dp_port *port;
-
-	if (!dp_conf_is_pf1_proxy_enabled())
-		return DP_OK;
-
-	if (DP_FAILED(dp_find_port(pf1_proxy_name, &port_id, &dev_info)))
-		return DP_ERROR;
-
-	DPS_LOG_INFO("INIT initializing PF1 proxy port", DP_LOG_PORTID(port_id), DP_LOG_IFNAME(pf1_proxy_name));
-	port = dp_port_init_pf1_proxy_interface(port_id, &dev_info);
-	if (!port)
-		return DP_ERROR;
-
-	snprintf(port->port_name, sizeof(port->port_name), "%s", pf1_proxy_name);
-	return DP_OK;
-}
-#endif
-
 static int dp_port_init_vfs(const char *vf_pattern, int num_of_vfs)
 {
 	uint16_t port_id;
@@ -400,7 +324,7 @@ static int dp_port_init_vfs(const char *vf_pattern, int num_of_vfs)
 			return DP_ERROR;
 		if (strstr(ifname, vf_pattern) && ++vf_count <= num_of_vfs) {
 			DPS_LOG_INFO("INIT initializing VF port", DP_LOG_PORTID(port_id), DP_LOG_IFNAME(ifname));
-			port = dp_port_init_interface(port_id, &dev_info, DP_PORT_INIT_VF, DP_PORT_NORMAL);
+			port = dp_port_init_interface(port_id, &dev_info, DP_PORT_INIT_VF);
 			if (!port)
 				return DP_ERROR;
 			snprintf(port->port_name, sizeof(port->port_name), "%s", vf_pattern);
@@ -432,9 +356,6 @@ int dp_ports_init(void)
 	// these need to be done in order
 	if (DP_FAILED(dp_port_init_pf(dp_conf_get_pf0_name()))
 		|| DP_FAILED(dp_port_init_pf(dp_conf_get_pf1_name()))
-#ifdef ENABLE_PF1_PROXY
-		|| DP_FAILED(dp_port_init_pf1_proxy(dp_conf_get_pf1_proxy()))
-#endif
 		|| DP_FAILED(dp_port_init_vfs(dp_conf_get_vf_pattern(), num_of_vfs)))
 		return DP_ERROR;
 
@@ -481,11 +402,6 @@ void dp_ports_stop(void)
 	// in multiport-mode, PF0 needs to be stopped last
 	struct dp_port *pf0 = dp_get_port_by_pf_index(0);
 
-#ifdef ENABLE_PF1_PROXY
-	if (_dp_pf1_proxy_port.allocated)
-		dp_stop_eth_port(&_dp_pf1_proxy_port);
-#endif
-
 	// without stopping started ports, DPDK complains
 	DP_FOREACH_PORT(&_dp_ports, port) {
 		if (port->allocated && port != pf0)
@@ -554,17 +470,6 @@ static int dp_port_create_default_pf_async_templates(struct dp_port *port)
 		DPS_LOG_ERR("Failed to create pf async isolation templates", DP_LOG_PORT(port));
 		return DP_ERROR;
 	}
-#ifdef ENABLE_PF1_PROXY
-	// Even though this is PF1 linking to VF on PF1, the rules need to be created in PF0 (multiport-eswitch mode)
-	if (dp_conf_is_pf1_proxy_enabled() && port == dp_get_pf0()) {
-		if (DP_FAILED(dp_create_pf_async_from_proxy_templates(port))
-			|| DP_FAILED(dp_create_pf_async_to_proxy_templates(port))
-		) {
-			DPS_LOG_ERR("Failed to create pf async proxy templates", DP_LOG_PORT(port));
-			return DP_ERROR;
-		}
-	}
-#endif
 #ifdef ENABLE_VIRTSVC
 	if (DP_FAILED(dp_create_virtsvc_async_isolation_templates(port, IPPROTO_TCP))
 		|| DP_FAILED(dp_create_virtsvc_async_isolation_templates(port, IPPROTO_UDP))
@@ -607,30 +512,18 @@ static void dp_acquire_neigh_mac(struct dp_port *port)
 		return;
 	}
 
-#ifdef ENABLE_PF1_PROXY
-	if (dp_conf_is_pf1_proxy_enabled() && port == dp_get_pf1_proxy())
-		port = dp_get_port_by_pf_index(1);
-#endif
 	if (DP_FAILED(dp_send_event_neighmac_msg(port->port_id, &pf_neigh_mac)))
 		DPS_LOG_WARNING("Cannot send neigboring router mac to worker thread");
 }
 
 void dp_start_acquiring_neigh_mac(struct dp_port *port)
 {
-#ifdef ENABLE_PF1_PROXY
-	if (dp_conf_is_pf1_proxy_enabled() && port == dp_get_pf1())
-		port = &_dp_pf1_proxy_port;
-#endif
 	port->neighmac_period = DP_PORT_NEIGHMAC_INITIAL_PERIOD;
 	dp_acquire_neigh_mac(port);
 }
 
 void dp_stop_acquiring_neigh_mac(struct dp_port *port)
 {
-#ifdef ENABLE_PF1_PROXY
-	if (dp_conf_is_pf1_proxy_enabled() && port == dp_get_pf1())
-		port = &_dp_pf1_proxy_port;
-#endif
 	rte_timer_stop_sync(&port->neighmac_timer);
 }
 
@@ -661,13 +554,9 @@ static int dp_init_port(struct dp_port *port)
 
 	if (port->is_pf) {
 		if (dp_conf_is_multiport_eswitch()) {
-			// no isolation on proxied PF
-#ifdef ENABLE_PF1_PROXY
-			if (port == dp_get_pf0() || !dp_conf_is_pf1_proxy_enabled())
-#endif
-				if (DP_FAILED(dp_port_create_default_pf_async_templates(port))
-					|| DP_FAILED(dp_port_install_async_isolated_mode(port)))
-					return DP_ERROR;
+			if (DP_FAILED(dp_port_create_default_pf_async_templates(port))
+				|| DP_FAILED(dp_port_install_async_isolated_mode(port)))
+				return DP_ERROR;
 		} else
 			if (DP_FAILED(dp_port_install_sync_isolated_mode(port->port_id)))
 				return DP_ERROR;
@@ -734,34 +623,11 @@ int dp_start_pf_port(uint16_t index)
 	DPS_LOG_INFO("Received initial PF link state", DP_LOG_LINKSTATE(port->link_status), DP_LOG_PORT(port));
 
 	if (port->link_status == RTE_ETH_LINK_UP)
-#ifdef ENABLE_PF1_PROXY
-		// Do not use PF1 in pf1-proxy mode as Linux does not use it then (thus the mac will never be there)
-		if (!dp_conf_is_pf1_proxy_enabled() || port != dp_get_pf1())
-#endif
-			dp_start_acquiring_neigh_mac(port);
+		dp_start_acquiring_neigh_mac(port);
 
 	return DP_OK;
 }
 
-#ifdef ENABLE_PF1_PROXY
-int dp_start_pf1_proxy_port(void)
-{
-	int ret;
-
-	ret = rte_eth_dev_start(_dp_pf1_proxy_port.port_id);
-	if (DP_FAILED(ret)) {
-		DPS_LOG_ERR("Cannot start ethernet port", DP_LOG_PORT(&_dp_pf1_proxy_port), DP_LOG_RET(ret));
-		return ret;
-	}
-
-	if (dp_get_pf1()->link_status == RTE_ETH_LINK_UP)
-		dp_start_acquiring_neigh_mac(&_dp_pf1_proxy_port);
-
-	_dp_pf1_proxy_port.allocated = true;
-	return DP_OK;
-}
-#endif
-
 int dp_stop_port(struct dp_port *port)
 {
 	if (DP_FAILED(dp_destroy_default_flow(port)))
diff --git a/src/dp_service.c b/src/dp_service.c
index 5b58aa33a..c0309221e 100644
--- a/src/dp_service.c
+++ b/src/dp_service.c
@@ -166,12 +166,6 @@ static int init_interfaces(void)
 	if (DP_FAILED(dp_start_pf_port(1)))
 		return DP_ERROR;
 
-#ifdef ENABLE_PF1_PROXY
-	if (dp_conf_is_pf1_proxy_enabled()
-		&& DP_FAILED(dp_start_pf1_proxy_port()))
-		return DP_ERROR;
-#endif
-
 	// VFs are started by GRPC later
 
 	if (DP_FAILED(dp_flow_init(pf0_socket_id))
@@ -241,21 +235,6 @@ static int run_service(void)
 			DP_EARLY_ERR("HW offloading is currently not supported for multi-port eswitch mode");
 			return DP_ERROR;
 		}
-#ifdef ENABLE_PF1_PROXY
-		if (dp_conf_is_pf1_proxy_enabled()) {
-			if (*dp_conf_get_pf1_proxy_vf() == '\0') {
-				DP_EARLY_ERR("PF1-proxy also requires --pf1-proxy-vf argument to be set");
-				return DP_ERROR;
-			}
-		}
-#endif
-	} else {
-#ifdef ENABLE_PF1_PROXY
-		if (dp_conf_is_pf1_proxy_enabled()) {
-			DP_EARLY_ERR("PF1-proxy is only supported for multiport-eswitch mode");
-			return DP_ERROR;
-		}
-#endif
 	}
 
 	if (DP_FAILED(dp_log_init()))
diff --git a/src/dpdk_layer.c b/src/dpdk_layer.c
index be4b87283..366063172 100644
--- a/src/dpdk_layer.c
+++ b/src/dpdk_layer.c
@@ -43,19 +43,6 @@ static int dp_dpdk_layer_init_unsafe(void)
 		return DP_ERROR;
 	}
 
-#ifdef ENABLE_PF1_PROXY
-	if (dp_conf_is_pf1_proxy_enabled()) {
-		dp_layer.rte_jumbo_mempool = rte_pktmbuf_pool_create("jumbo_mbuf_pool", DP_JUMBO_MBUF_POOL_SIZE,
-															 DP_MEMPOOL_CACHE_SIZE, DP_MBUF_PRIV_DATA_SIZE,
-															 DP_JUMBO_MBUF_BUF_SIZE,
-															 rte_socket_id());
-		if (!dp_layer.rte_jumbo_mempool) {
-			DPS_LOG_ERR("Cannot create jumbo mbuf pool", DP_LOG_RET(rte_errno));
-			return DP_ERROR;
-		}
-	}
-#endif
-
 	dp_layer.num_of_vfs = dp_get_num_of_vfs();
 	if (DP_FAILED(dp_layer.num_of_vfs))
 		return DP_ERROR;
@@ -94,9 +81,6 @@ void dp_dpdk_layer_free(void)
 	ring_free(dp_layer.periodic_msg_queue);
 	ring_free(dp_layer.grpc_rx_queue);
 	ring_free(dp_layer.grpc_tx_queue);
-#ifdef ENABLE_PF1_PROXY
-	rte_mempool_free(dp_layer.rte_jumbo_mempool);
-#endif
 	rte_mempool_free(dp_layer.rte_mempool);
 }
 
diff --git a/src/meson.build b/src/meson.build
index 80d523ae4..8efd0e4a3 100644
--- a/src/meson.build
+++ b/src/meson.build
@@ -73,11 +73,6 @@ if get_option('enable_virtual_services')
     'dp_virtsvc.c',
   ]
 endif
-if get_option('enable_pf1_proxy')
-  dp_sources += [
-    'rte_flow/dp_rte_async_flow_pf1_proxy.c',
-  ]
-endif
 
 exe = executable('dpservice-bin',
   sources: [ dp_sources, grpc_generated, version_h ],
diff --git a/src/monitoring/dp_graphtrace.c b/src/monitoring/dp_graphtrace.c
index 1ec95920b..79b7b74ad 100644
--- a/src/monitoring/dp_graphtrace.c
+++ b/src/monitoring/dp_graphtrace.c
@@ -40,11 +40,7 @@ static int dp_graphtrace_init_memory(void)
 	graphtrace.mempool = rte_pktmbuf_pool_create(DP_GRAPHTRACE_MEMPOOL_NAME, DP_GRAPHTRACE_RINGBUF_SIZE-1,
 												 DP_MEMPOOL_CACHE_SIZE,
 												 DP_MBUF_PRIV_DATA_SIZE + sizeof(struct dp_graphtrace_pktinfo),
-#ifdef ENABLE_PF1_PROXY
-												 DP_JUMBO_MBUF_BUF_SIZE,
-#else
 												 DP_MBUF_BUF_SIZE,
-#endif
 												 rte_socket_id());
 	if (!graphtrace.mempool) {
 		DPS_LOG_ERR("Cannot allocate graphtrace pool", DP_LOG_RET(rte_errno));
diff --git a/src/nodes/cls_node.c b/src/nodes/cls_node.c
index aa9588475..4e1179fed 100644
--- a/src/nodes/cls_node.c
+++ b/src/nodes/cls_node.c
@@ -1,7 +1,6 @@
 // SPDX-FileCopyrightText: 2023 SAP SE or an SAP affiliate company and IronCore contributors
 // SPDX-License-Identifier: Apache-2.0
 
-#include "nodes/cls_node.h"
 #include <rte_common.h>
 #include <rte_ethdev.h>
 #include <rte_graph.h>
@@ -33,19 +32,8 @@
 
 DP_NODE_REGISTER(CLS, cls, NEXT_NODES);
 
-#ifdef ENABLE_PF1_PROXY
-static bool pf1_proxy_enabled = false;
-static uint16_t pf1_port_id;
-static uint16_t pf1_proxy_port_id;
-#endif
-
 static int cls_node_init(__rte_unused const struct rte_graph *graph, __rte_unused struct rte_node *node)
 {
-#ifdef ENABLE_PF1_PROXY
-	pf1_proxy_enabled = dp_conf_is_pf1_proxy_enabled();
-	pf1_port_id = dp_get_pf1()->port_id;
-	pf1_proxy_port_id = dp_get_pf1_proxy()->port_id;
-#endif
 #ifdef ENABLE_VIRTSVC
 	virtsvc_present = dp_virtsvc_get_count() > 0;
 	virtsvc_ipv4_tree = dp_virtsvc_get_ipv4_tree();
@@ -54,15 +42,6 @@ static int cls_node_init(__rte_unused const struct rte_graph *graph, __rte_unuse
 	return DP_OK;
 }
 
-#ifdef ENABLE_PF1_PROXY
-static uint16_t next_tx_index[DP_MAX_PORTS];
-
-int cls_node_append_tx(uint16_t port_id, const char *tx_node_name)
-{
-	return dp_node_append_tx(DP_NODE_GET_SELF(cls), next_tx_index, port_id, tx_node_name);
-}
-#endif
-
 static __rte_always_inline int is_arp(const struct rte_ether_hdr *ether_hdr)
 {
 	const struct rte_arp_hdr *arp_hdr = (const struct rte_arp_hdr *)(ether_hdr + 1);
@@ -150,8 +129,6 @@ static __rte_always_inline rte_edge_t get_next_index(__rte_unused struct rte_nod
 	struct dp_virtsvc *virtsvc;
 #endif
 
-	// this is where pf1-proxy -> pf1 should happen, but that is done via rte_flow rule
-
 	if (unlikely((m->packet_type & RTE_PTYPE_L2_MASK) != RTE_PTYPE_L2_ETHER))
 		return CLS_NEXT_DROP;
 
@@ -228,19 +205,6 @@ static __rte_always_inline rte_edge_t get_next_index(__rte_unused struct rte_nod
 	return CLS_NEXT_DROP;
 }
 
-#ifdef ENABLE_PF1_PROXY
-static __rte_always_inline rte_edge_t get_next_index_proxy(struct rte_node *node, struct rte_mbuf *m)
-{
-	rte_edge_t next = get_next_index(node, m);
-
-	if (next == CLS_NEXT_DROP && pf1_proxy_enabled && m->port == pf1_port_id)
-		return next_tx_index[pf1_proxy_port_id];
-
-	return next;
-}
-#define get_next_index get_next_index_proxy
-#endif
-
 static uint16_t cls_node_process(struct rte_graph *graph,
 								 struct rte_node *node,
 								 void **objs,
diff --git a/src/rte_flow/dp_rte_async_flow_isolation.c b/src/rte_flow/dp_rte_async_flow_isolation.c
index ad118c5f5..82b54d0ad 100644
--- a/src/rte_flow/dp_rte_async_flow_isolation.c
+++ b/src/rte_flow/dp_rte_async_flow_isolation.c
@@ -8,9 +8,6 @@
 #include "dp_virtsvc.h"
 #endif
 #include "rte_flow/dp_rte_async_flow.h"
-#ifdef ENABLE_PF1_PROXY
-#include "rte_flow/dp_rte_async_flow_pf1_proxy.h"
-#endif
 #include "rte_flow/dp_rte_async_flow_template.h"
 #include "rte_flow/dp_rte_flow_helpers.h"
 
@@ -231,14 +228,6 @@ int dp_create_pf_async_isolation_rules(struct dp_port *port)
 		rule_count++;
 	}
 
-#ifdef ENABLE_PF1_PROXY
-	if (dp_conf_is_pf1_proxy_enabled() && port == dp_get_pf0()) {
-		rules_required += DP_PF1_PROXY_RULE_COUNT;
-		rule_count += dp_create_pf1_proxy_async_isolation_rules(port);
-		// cannot return, need to push all previous rules and then return error
-	}
-#endif
-
 #ifdef ENABLE_VIRTSVC
 	rules_required += dp_virtsvc_get_count();
 	rule_count += dp_create_virtsvc_async_isolation_rules(port->port_id,
diff --git a/src/rte_flow/dp_rte_async_flow_pf1_proxy.c b/src/rte_flow/dp_rte_async_flow_pf1_proxy.c
deleted file mode 100644
index 0d70a7650..000000000
--- a/src/rte_flow/dp_rte_async_flow_pf1_proxy.c
+++ /dev/null
@@ -1,207 +0,0 @@
-// SPDX-FileCopyrightText: 2023 SAP SE or an SAP affiliate company and IronCore contributors
-// SPDX-License-Identifier: Apache-2.0
-
-#include "rte_flow/dp_rte_async_flow_pf1_proxy.h"
-#include "rte_flow/dp_rte_async_flow.h"
-#include "rte_flow/dp_rte_async_flow_template.h"
-#include "rte_flow/dp_rte_flow_helpers.h"
-
-// having MAX equal to actual number of rules impacts throughput (for unknown reason)
-#define DP_PF1_DEFAULT_TABLE_MAX_RULES (DP_PF1_PROXY_RULE_COUNT+1)
-
-enum dp_pf1_proxy_pattern_type {
-	DP_PF1_PROXY_PATTERN_REPR_PORT,
-	DP_PF1_PROXY_PATTERN_COUNT,
-};
-
-enum dp_pf1_proxy_actions_type {
-	DP_PF1_PROXY_ACTIONS_REPR_PORT,
-	DP_PF1_PROXY_ACTIONS_COUNT,
-};
-
-static const struct rte_flow_pattern_template_attr transfer_pattern_template_attr = {
-	.transfer = 1
-};
-
-static const struct rte_flow_actions_template_attr transfer_actions_template_attr = {
-	.transfer = 1
-};
-
-static const struct rte_flow_template_table_attr pf_transfer_template_table_attr = {
-	.flow_attr = {
-		.group = 0,
-		.transfer = 1,
-	},
-	.nb_flows = DP_PF1_DEFAULT_TABLE_MAX_RULES,
-};
-
-
-int dp_create_pf_async_from_proxy_templates(struct dp_port *port)
-{
-	struct dp_port_async_template *tmpl;
-
-	tmpl = dp_alloc_async_template(DP_PF1_PROXY_PATTERN_COUNT, DP_PF1_PROXY_ACTIONS_COUNT);
-	if (!tmpl)
-		return DP_ERROR;
-
-	port->default_async_rules.default_templates[DP_PORT_ASYNC_TEMPLATE_PF1_FROM_PROXY] = tmpl;
-
-	static const struct rte_flow_item pattern[] = {
-		{	.type = RTE_FLOW_ITEM_TYPE_REPRESENTED_PORT,
-			.mask = &dp_flow_item_ethdev_mask,
-		},
-		{	.type = RTE_FLOW_ITEM_TYPE_END },
-	};
-	tmpl->pattern_templates[DP_PF1_PROXY_PATTERN_REPR_PORT]
-		= dp_create_async_pattern_template(port->port_id, &transfer_pattern_template_attr, pattern);
-
-	static const struct rte_flow_action actions[] = {
-		{	.type = RTE_FLOW_ACTION_TYPE_REPRESENTED_PORT, },
-		{	.type = RTE_FLOW_ACTION_TYPE_END, },
-	};
-	tmpl->actions_templates[DP_PF1_PROXY_ACTIONS_REPR_PORT]
-		= dp_create_async_actions_template(port->port_id, &transfer_actions_template_attr, actions, actions);
-
-	tmpl->table_attr = &pf_transfer_template_table_attr;
-
-	return dp_init_async_template(port->port_id, tmpl);
-}
-
-int dp_create_pf_async_to_proxy_templates(struct dp_port *port)
-{
-	struct dp_port_async_template *tmpl;
-
-	tmpl = dp_alloc_async_template(DP_PF1_PROXY_PATTERN_COUNT, DP_PF1_PROXY_ACTIONS_COUNT);
-	if (!tmpl)
-		return DP_ERROR;
-
-	port->default_async_rules.default_templates[DP_PORT_ASYNC_TEMPLATE_PF1_TO_PROXY] = tmpl;
-
-	static const struct rte_flow_item pattern[] = {
-		{	.type = RTE_FLOW_ITEM_TYPE_REPRESENTED_PORT,
-			.mask = &dp_flow_item_ethdev_mask,
-		},
-		{	.type = RTE_FLOW_ITEM_TYPE_ETH,
-			.mask = &dp_flow_item_eth_mask,
-		},
-		{	.type = RTE_FLOW_ITEM_TYPE_IPV6,
-			.mask = &dp_flow_item_ipv6_dst_only_mask,
-		},
-		{	.type = RTE_FLOW_ITEM_TYPE_END },
-	};
-	tmpl->pattern_templates[DP_PF1_PROXY_PATTERN_REPR_PORT]
-		= dp_create_async_pattern_template(port->port_id, &transfer_pattern_template_attr, pattern);
-
-	static const struct rte_flow_action actions[] = {
-		{	.type = RTE_FLOW_ACTION_TYPE_REPRESENTED_PORT, },
-		{	.type = RTE_FLOW_ACTION_TYPE_END, },
-	};
-	tmpl->actions_templates[DP_PF1_PROXY_ACTIONS_REPR_PORT]
-		= dp_create_async_actions_template(port->port_id, &transfer_actions_template_attr, actions, actions);
-
-	tmpl->table_attr = &pf_transfer_template_table_attr;
-
-	return dp_init_async_template(port->port_id, tmpl);
-}
-
-
-static struct rte_flow *dp_create_pf_async_from_proxy_rule(uint16_t port_id,
-														   uint16_t src_port_id, uint16_t dst_port_id,
-														   struct rte_flow_template_table *template_table)
-{
-	const struct rte_flow_item_ethdev src_port_pattern = {
-		.port_id = src_port_id,
-	};
-	const struct rte_flow_item pattern[] = {
-		{	.type = RTE_FLOW_ITEM_TYPE_REPRESENTED_PORT,
-			.spec = &src_port_pattern,
-		},
-		{	.type = RTE_FLOW_ITEM_TYPE_END },
-	};
-
-	const struct rte_flow_item_ethdev dst_port_action = {
-		.port_id = dst_port_id,
-	};
-	const struct rte_flow_action actions[] = {
-		{	.type = RTE_FLOW_ACTION_TYPE_REPRESENTED_PORT,
-			.conf = &dst_port_action,
-		},
-		{	.type = RTE_FLOW_ACTION_TYPE_END },
-	};
-
-	return dp_create_async_rule(port_id, template_table,
-								pattern, DP_PF1_PROXY_PATTERN_REPR_PORT,
-								actions, DP_PF1_PROXY_ACTIONS_REPR_PORT);
-}
-
-static struct rte_flow *dp_create_pf_async_to_proxy_rule(uint16_t port_id,
-														 uint16_t src_port_id, uint16_t dst_port_id,
-														 struct rte_flow_template_table *template_table)
-{
-	const struct rte_flow_item_ethdev src_port_pattern = {
-		.port_id = src_port_id,
-	};
-	const struct rte_flow_item_eth eth_ipv6_pattern = {
-		.type = htons(RTE_ETHER_TYPE_IPV6),
-	};
-	const struct rte_flow_item_ipv6 ipv6_dst_pattern = {
-		.hdr.dst_addr = DP_INIT_FROM_IPV6(dp_conf_get_underlay_ip()),
-	};
-	const struct rte_flow_item pattern[] = {
-		{	.type = RTE_FLOW_ITEM_TYPE_REPRESENTED_PORT,
-			.spec = &src_port_pattern,
-		},
-		{	.type = RTE_FLOW_ITEM_TYPE_ETH,
-			.spec = &eth_ipv6_pattern,
-		},
-		{	.type = RTE_FLOW_ITEM_TYPE_IPV6,
-			.spec = &ipv6_dst_pattern,
-		},
-		{	.type = RTE_FLOW_ITEM_TYPE_END },
-	};
-
-	const struct rte_flow_item_ethdev dst_port_action = {
-		.port_id = dst_port_id,
-	};
-	const struct rte_flow_action actions[] = {
-		{	.type = RTE_FLOW_ACTION_TYPE_REPRESENTED_PORT,
-			.conf = &dst_port_action,
-		},
-		{	.type = RTE_FLOW_ACTION_TYPE_END },
-	};
-
-	return dp_create_async_rule(port_id, template_table,
-								pattern, DP_PF1_PROXY_PATTERN_REPR_PORT,
-								actions, DP_PF1_PROXY_ACTIONS_REPR_PORT);
-}
-
-uint16_t dp_create_pf1_proxy_async_isolation_rules(struct dp_port *port)
-{
-	uint16_t pf1_port_id = dp_get_pf1()->port_id;
-	uint16_t proxy_port_id = dp_get_pf1_proxy()->port_id;
-	struct dp_port_async_template **templates = port->default_async_rules.default_templates;
-	struct rte_flow *flow;
-	uint16_t rule_count = 0;
-
-	flow = dp_create_pf_async_from_proxy_rule(port->port_id, proxy_port_id, pf1_port_id,
-											  templates[DP_PORT_ASYNC_TEMPLATE_PF1_FROM_PROXY]->template_table);
-	if (!flow) {
-		DPS_LOG_ERR("Failed to install PF async pf1 from proxy rule", DP_LOG_PORT(port));
-		return rule_count;
-	}
-
-	port->default_async_rules.default_flows[DP_PORT_ASYNC_FLOW_PF1_FROM_PROXY] = flow;
-	rule_count++;
-
-	flow = dp_create_pf_async_to_proxy_rule(port->port_id, pf1_port_id, proxy_port_id,
-											templates[DP_PORT_ASYNC_TEMPLATE_PF1_TO_PROXY]->template_table);
-	if (!flow) {
-		DPS_LOG_ERR("Failed to install PF async pf1 to proxy rule", DP_LOG_PORT(port));
-		return rule_count;
-	}
-
-	port->default_async_rules.default_flows[DP_PORT_ASYNC_FLOW_PF1_TO_PROXY] = flow;
-	rule_count++;
-
-	return rule_count;
-}
diff --git a/test/local/dp_service.py b/test/local/dp_service.py
index e376c4645..51d0bf5db 100755
--- a/test/local/dp_service.py
+++ b/test/local/dp_service.py
@@ -125,8 +125,6 @@ def reconfigure_tests(self, cfgfile):
 					PF0.tap = value
 				elif key == "pf1":
 					PF1.tap = value
-				elif key == "pf1-proxy":
-					PF1.tap = "pf1-tap" # TODO works for now, but make better
 				elif key == "vf-pattern":
 					# MACs cannot be changed for VFs, use actual values
 					VM1.mac = get_if_hwaddr(f"{value}0")
diff --git a/test/local/tcp_tester.py b/test/local/tcp_tester.py
index ff654d3a6..b14a8bdbb 100644
--- a/test/local/tcp_tester.py
+++ b/test/local/tcp_tester.py
@@ -224,7 +224,7 @@ def __init__(self, client_vm, client_port, pf_spec, server_ip, server_port, clie
 	# Virtual-service communication, no tunnel, replace header with IPv6
 	def get_server_l3_reply(self, pkt):
 		return (Ether(dst=pkt[Ether].src, src=pkt[Ether].dst, type=0x86DD) /
-				IPv6(dst=router_ul_ipv6, src=pkt[IPv6].dst, nh=6))
+				IPv6(dst=pkt[IPv6].src, src=pkt[IPv6].dst, nh=6))
 
 class TCPTesterPublic(_TCPTester):
 	def __init__(self, client_vm, client_port, nat_ul_ipv6, pf_spec, server_ip, server_port, client_pkt_check=None, server_pkt_check=None):
diff --git a/test/local/test_telemetry.py b/test/local/test_telemetry.py
index cc615452b..ee97e05a3 100644
--- a/test/local/test_telemetry.py
+++ b/test/local/test_telemetry.py
@@ -27,7 +27,6 @@
 HW_IFACE_STATS = (
 	'rx_broadcast_bytes', 'rx_broadcast_packets', 'tx_broadcast_bytes', 'tx_broadcast_packets',
 	'rx_multicast_bytes', 'rx_multicast_packets', 'tx_multicast_bytes', 'tx_multicast_packets',
-	'rx_out_of_buffer',
 	'rx_phy_bytes', 'rx_phy_crc_errors', 'rx_phy_discard_packets', 'rx_phy_in_range_len_errors', 'rx_phy_packets', 'rx_phy_symbol_errors',
 	'tx_phy_bytes', 'tx_phy_discard_packets', 'tx_phy_errors', 'tx_phy_packets',
 	'rx_prio0_buf_discard_packets', 'rx_prio0_cong_discard_packets',
@@ -41,7 +40,7 @@
 	'rx_unicast_bytes', 'rx_unicast_packets', 'tx_unicast_bytes', 'tx_unicast_packets',
 	'rx_vport_bytes', 'rx_vport_packets', 'tx_vport_bytes', 'tx_vport_packets',
 	'rx_wqe_errors',
-	'tx_pp_clock_queue_errors', 'tx_pp_jitter', 'tx_pp_missed_interrupt_errors', 'tx_pp_rearm_queue_errors', 'tx_pp_sync_lost', 'tx_pp_timestamp_future_errors', 'tx_pp_timestamp_order_errors', 'tx_pp_timestamp_past_errors', 'tx_pp_wander',
+	'tx_pp_clock_queue_errors', 'tx_pp_missed_interrupt_errors', 'tx_pp_rearm_queue_errors', 'tx_pp_timestamp_future_errors', 'tx_pp_timestamp_order_errors', 'tx_pp_timestamp_past_errors',
 )
 HW_PF1_IFACE_STATS = (
 	'rx_q1_bytes', 'rx_q1_errors', 'rx_q1_packets', 'tx_q1_bytes', 'tx_q1_packets',
@@ -152,8 +151,6 @@ def test_telemetry_exporter(request, prepare_ifaces, start_exporter):
 		graph_nodes += ('virtsvc',)
 	if request.config.getoption("--hw"):
 		iface_stats += HW_IFACE_STATS
-		if PF1.tap == "pf1-tap":
-			graph_nodes += ('tx-6',)
 	if 'rx_q1_bytes' in ethdev_stats:
 		iface_stats += HW_PF1_IFACE_STATS
 	assert graph_stats == set(graph_nodes), \
diff --git a/test/local/test_virtsvc.py b/test/local/test_virtsvc.py
index 379b9a5e8..884693854 100644
--- a/test/local/test_virtsvc.py
+++ b/test/local/test_virtsvc.py
@@ -23,7 +23,7 @@ def reply_udp(pf_name):
 	udp_used_port = pkt[UDP].sport
 
 	reply_pkt = (Ether(dst=pkt[Ether].src, src=pkt[Ether].dst, type=0x86DD) /
-				 IPv6(dst=router_ul_ipv6, src=pkt[IPv6].dst, nh=17) /
+				 IPv6(dst=pkt[IPv6].src, src=pkt[IPv6].dst, nh=17) /
 				 UDP(dport=pkt[UDP].sport, sport=pkt[UDP].dport))
 	delayed_sendp(reply_pkt, pf_name)
 
@@ -47,16 +47,11 @@ def test_virtsvc_udp(request, prepare_ipv4, port_redundancy):
 	if not request.config.getoption("--virtsvc"):
 		pytest.skip("Virtual services not enabled")
 	# port numbers chosen so that they cause the right redirection
-	# (port numbers are part of the hash here, so pf1-proxy changes everything)
 	pf0_ports = [ 12345, 12346, 12347, 12349, 12350 ]
-	if request.config.getoption("--hw") and PF1.tap != "pf1-tap":
-		pf0_ports = [ 12352, 12355, 12360, 12361, 12362 ]
 	for port in pf0_ports:
 		request_udp(port, PF0.tap)
 	if port_redundancy:
 		pf1_ports = [ 12348, 12351, 12354, 12355, 12357 ]
-		if request.config.getoption("--hw") and PF1.tap != "pf1-tap":
-			pf1_ports = [ 12345, 12346, 12347, 12348, 12349 ]
 		for port in pf1_ports:
 			request_udp(port, PF1.tap)
 
@@ -71,7 +66,7 @@ def test_virtsvc_tcp(request, prepare_ipv4, port_redundancy):
 	if not request.config.getoption("--virtsvc"):
 		pytest.skip("Virtual services not enabled")
 
-	port = 12352 if request.config.getoption("--hw") and PF1.tap != "pf1-tap" else 12345
+	port = 12345
 	tester = TCPTesterVirtsvc(VM1, port, PF0, virtsvc_tcp_virtual_ip, virtsvc_tcp_virtual_port, server_pkt_check=tcp_server_virtsvc_pkt_check)
 	tester.communicate()