diff --git a/pkg/cloud/services/autoscaling/autoscalinggroup.go b/pkg/cloud/services/autoscaling/autoscalinggroup.go
index 7b917ed12f..033c7327da 100644
--- a/pkg/cloud/services/autoscaling/autoscalinggroup.go
+++ b/pkg/cloud/services/autoscaling/autoscalinggroup.go
@@ -83,8 +83,9 @@ func (s *Service) SDKToAutoScalingGroup(v *autoscaling.Group) (*expinfrav1.AutoS
 	if len(v.Instances) > 0 {
 		for _, autoscalingInstance := range v.Instances {
 			tmp := &infrav1.Instance{
-				ID:    aws.StringValue(autoscalingInstance.InstanceId),
-				State: infrav1.InstanceState(*autoscalingInstance.LifecycleState),
+				ID:               aws.StringValue(autoscalingInstance.InstanceId),
+				State:            infrav1.InstanceState(*autoscalingInstance.LifecycleState),
+				AvailabilityZone: *autoscalingInstance.AvailabilityZone,
 			}
 			i.Instances = append(i.Instances, *tmp)
 		}
diff --git a/pkg/cloud/services/autoscaling/autoscalinggroup_test.go b/pkg/cloud/services/autoscaling/autoscalinggroup_test.go
index d4d974a595..2010b7382e 100644
--- a/pkg/cloud/services/autoscaling/autoscalinggroup_test.go
+++ b/pkg/cloud/services/autoscaling/autoscalinggroup_test.go
@@ -218,8 +218,9 @@ func TestService_SDKToAutoScalingGroup(t *testing.T) {
 				},
 				Instances: []*autoscaling.Instance{
 					{
-						InstanceId:     aws.String("instanceId"),
-						LifecycleState: aws.String("lifecycleState"),
+						InstanceId:       aws.String("instanceId"),
+						LifecycleState:   aws.String("lifecycleState"),
+						AvailabilityZone: aws.String("us-east-1a"),
 					},
 				},
 			},
@@ -249,8 +250,9 @@ func TestService_SDKToAutoScalingGroup(t *testing.T) {
 				},
 				Instances: []infrav1.Instance{
 					{
-						ID:    "instanceId",
-						State: "lifecycleState",
+						ID:               "instanceId",
+						State:            "lifecycleState",
+						AvailabilityZone: "us-east-1a",
 					},
 				},
 			},