diff --git a/diskimage_builder/elements/zypper-minimal/root.d/08-zypper-chroot b/diskimage_builder/elements/zypper-minimal/root.d/08-zypper-chroot
index c5fc48fc5..e3ba94198 100755
--- a/diskimage_builder/elements/zypper-minimal/root.d/08-zypper-chroot
+++ b/diskimage_builder/elements/zypper-minimal/root.d/08-zypper-chroot
@@ -100,6 +100,9 @@ sudo mount -t sysfs none $TARGET_ROOT/sys
 
 # Install filesystem, base and useful tools
 sudo zypper ${ZYPPER_TARGET_OPTS} install --no-recommends filesystem
+# Install xz before base to avoid pulling in busybox-xz
+# https://bugzilla.opensuse.org/show_bug.cgi?id=1172209
+sudo zypper ${ZYPPER_TARGET_OPTS} install --no-recommends xz
 # Install basic components in order
 sudo zypper ${ZYPPER_TARGET_OPTS} install \
     ${DIB_OPENSUSE_PATTERNS} ${ZYPPER_INSTALL_SYSTEM_PYTHON} \