diff --git a/arch/x86/virt/vmx/tdx/tdx.c b/arch/x86/virt/vmx/tdx/tdx.c
index 3fe01b546fb8..37e52cd4a389 100644
--- a/arch/x86/virt/vmx/tdx/tdx.c
+++ b/arch/x86/virt/vmx/tdx/tdx.c
@@ -1279,6 +1279,7 @@ int tdx_module_shutdown(void)
 	struct tdx_sys_info_handoff handoff = {};
 	struct tdx_module_args args = {};
 	int ret;
+	int cpu;
 
 	ret = get_tdx_sys_info_handoff(&handoff);
 	/*
@@ -1294,7 +1295,21 @@ int tdx_module_shutdown(void)
 	 */
 	args.rcx = handoff.module_hv;
 
-	return seamcall_prerr(TDH_SYS_SHUTDOWN, &args);
+	ret = seamcall_prerr(TDH_SYS_SHUTDOWN, &args);
+	if (ret)
+		return ret;
+
+	/*
+	 * Clear global and per-CPU initialization flags so the new module
+	 * can be fully re-initialized after a successful update.
+	 *
+	 * No locks needed as no concurrent accesses can occur here.
+	 */
+	memset(&tdx_module_state, 0, sizeof(tdx_module_state));
+	for_each_possible_cpu(cpu)
+		per_cpu(tdx_lp_initialized, cpu) = false;
+
+	return 0;
 }
 
 static bool is_pamt_page(unsigned long phys)