diff --git a/bootstrap/templates/addons/system-upgrade-controller/app/kustomization.yaml.j2 b/bootstrap/templates/addons/system-upgrade-controller/app/kustomization.yaml.j2
index d8822d643..e342cbd27 100644
--- a/bootstrap/templates/addons/system-upgrade-controller/app/kustomization.yaml.j2
+++ b/bootstrap/templates/addons/system-upgrade-controller/app/kustomization.yaml.j2
@@ -3,11 +3,11 @@ apiVersion: kustomize.config.k8s.io/v1beta1
 kind: Kustomization
 resources:
   # renovate: datasource=github-releases depName=rancher/system-upgrade-controller
-  - https://github.com/rancher/system-upgrade-controller/releases/download/v0.16.2/crd.yaml
+  - https://github.com/rancher/system-upgrade-controller/releases/download/v0.18.0/crd.yaml
   - https://github.com/rancher/system-upgrade-controller?ref=v0.16.3
 images:
   - name: rancher/system-upgrade-controller
-    newTag: v0.16.2
+    newTag: v0.18.0
 labels:
   - includeSelectors: true
     pairs:
diff --git a/kubernetes/apps/kube-system/system-upgrade-controller/app/helmrelease.yaml b/kubernetes/apps/kube-system/system-upgrade-controller/app/helmrelease.yaml
index 78a9cc77c..4e00826b9 100644
--- a/kubernetes/apps/kube-system/system-upgrade-controller/app/helmrelease.yaml
+++ b/kubernetes/apps/kube-system/system-upgrade-controller/app/helmrelease.yaml
@@ -33,7 +33,7 @@ spec:
           system-upgrade:
             image:
               repository: docker.io/rancher/system-upgrade-controller
-              tag: v0.16.2
+              tag: v0.18.0
             env:
               SYSTEM_UPGRADE_CONTROLLER_DEBUG: false
               SYSTEM_UPGRADE_CONTROLLER_THREADS: 2
diff --git a/kubernetes/apps/kube-system/system-upgrade-controller/app/kustomization.yaml b/kubernetes/apps/kube-system/system-upgrade-controller/app/kustomization.yaml
index b3b13b3dc..f61f00174 100644
--- a/kubernetes/apps/kube-system/system-upgrade-controller/app/kustomization.yaml
+++ b/kubernetes/apps/kube-system/system-upgrade-controller/app/kustomization.yaml
@@ -3,6 +3,6 @@ apiVersion: kustomize.config.k8s.io/v1beta1
 kind: Kustomization
 resources:
   # renovate: datasource=github-releases depName=rancher/system-upgrade-controller
-  - https://github.com/rancher/system-upgrade-controller/releases/download/v0.16.2/crd.yaml
+  - https://github.com/rancher/system-upgrade-controller/releases/download/v0.18.0/crd.yaml
   - ./helmrelease.yaml
   - ./rbac.yaml