diff --git a/tests/test_smoke.py b/tests/test_smoke.py
index 95b7c8972c3..664469e641e 100644
--- a/tests/test_smoke.py
+++ b/tests/test_smoke.py
@@ -1165,7 +1165,13 @@ def test_docker_storage_mounts(generic_cloud: str, image_id: str):
     template_str = pathlib.Path(
         'tests/test_yamls/test_storage_mounting.yaml.j2').read_text()
     template = jinja2.Template(template_str)
-    content = template.render(storage_name=storage_name)
+    # ubuntu 18.04 does not support fuse3, and blobfuse2 depends on fuse3.
+    azure_mount_unsupported_ubuntu_version = '18.04'
+    if azure_mount_unsupported_ubuntu_version in image_id:
+        content = template.render(storage_name=storage_name,
+                                  include_azure_mount=False)
+    else:
+        content = template.render(storage_name=storage_name,)
     with tempfile.NamedTemporaryFile(suffix='.yaml', mode='w') as f:
         f.write(content)
         f.flush()
diff --git a/tests/test_yamls/test_storage_mounting.yaml.j2 b/tests/test_yamls/test_storage_mounting.yaml.j2
index f53586afbc6..c61250bae14 100644
--- a/tests/test_yamls/test_storage_mounting.yaml.j2
+++ b/tests/test_yamls/test_storage_mounting.yaml.j2
@@ -9,10 +9,12 @@ file_mounts:
     source: gs://gcp-public-data-sentinel-2
     mode: MOUNT
 
+  {% if include_azure_mount | default(True) %}
   # Mounting public buckets for Azure
   /mount_public_azure:
     source: https://azureopendatastorage.blob.core.windows.net/nyctlc
     mode: MOUNT
+  {% endif %}
 
   # Mounting private buckets in COPY mode with a source dir
   /mount_private_copy:
@@ -38,8 +40,10 @@ run: |
   # Check public bucket contents
   ls -ltr /mount_public_s3/corpora
   ls -ltr /mount_public_gcp/tiles
+  {% if include_azure_mount | default(True) %}
   ls -ltr /mount_public_azure/green
-  
+  {% endif %}
+
   # Check private bucket contents
   ls -ltr /mount_private_copy/foo
   ls -ltr /mount_private_copy/tmp\ file