diff --git a/controller/ovn-controller.c b/controller/ovn-controller.c
index c486678870..3b2a0d6bb4 100644
--- a/controller/ovn-controller.c
+++ b/controller/ovn-controller.c
@@ -4456,22 +4456,7 @@ pflow_output_if_status_mgr_handler(struct engine_node *node,
         }
         if (pb->n_additional_chassis) {
             /* Update flows for all ports in datapath. */
-            struct sbrec_port_binding *target =
-                sbrec_port_binding_index_init_row(
-                    p_ctx.sbrec_port_binding_by_datapath);
-            sbrec_port_binding_index_set_datapath(target, pb->datapath);
-
-            const struct sbrec_port_binding *binding;
-            SBREC_PORT_BINDING_FOR_EACH_EQUAL (
-                    binding, target, p_ctx.sbrec_port_binding_by_datapath) {
-                bool removed = sbrec_port_binding_is_deleted(binding);
-                if (!physical_handle_flows_for_lport(binding, removed, &p_ctx,
-                                                     &pfo->flow_table)) {
-                    destroy_physical_ctx(&p_ctx);
-                    return false;
-                }
-            }
-            sbrec_port_binding_index_destroy_row(target);
+            physical_multichassis_reprocess(pb, &p_ctx, &pfo->flow_table);
         } else {
             /* If any multichassis ports, update flows for the port. */
             bool removed = sbrec_port_binding_is_deleted(pb);
diff --git a/controller/physical.c b/controller/physical.c
index 55edbd54ed..16e312f9d9 100644
--- a/controller/physical.c
+++ b/controller/physical.c
@@ -2403,33 +2403,9 @@ physical_handle_flows_for_lport(const struct sbrec_port_binding *pb,
         }
     }
 
-    if (ldp) {
-        bool multichassis_state_changed = (
-            !!pb->additional_chassis ==
-            !!shash_find(&ldp->multichassis_ports, pb->logical_port)
-        );
-        if (multichassis_state_changed) {
-            if (pb->additional_chassis) {
-                add_local_datapath_multichassis_port(
-                    ldp, pb->logical_port, pb);
-            } else {
-                remove_local_datapath_multichassis_port(
-                    ldp, pb->logical_port);
-            }
-
-            struct sbrec_port_binding *target =
-                sbrec_port_binding_index_init_row(
-                    p_ctx->sbrec_port_binding_by_datapath);
-            sbrec_port_binding_index_set_datapath(target, ldp->datapath);
-
-            const struct sbrec_port_binding *port;
-            SBREC_PORT_BINDING_FOR_EACH_EQUAL (
-                    port, target, p_ctx->sbrec_port_binding_by_datapath) {
-                ofctrl_remove_flows(flow_table, &port->header_.uuid);
-                physical_eval_port_binding(p_ctx, port, flow_table);
-            }
-            sbrec_port_binding_index_destroy_row(target);
-        }
+    if (sbrec_port_binding_is_updated(
+            pb, SBREC_PORT_BINDING_COL_ADDITIONAL_CHASSIS) || removed) {
+        physical_multichassis_reprocess(pb, p_ctx, flow_table);
     }
 
     if (!removed) {
@@ -2446,6 +2422,25 @@ physical_handle_flows_for_lport(const struct sbrec_port_binding *pb,
     return true;
 }
 
+void
+physical_multichassis_reprocess(const struct sbrec_port_binding *pb,
+                                struct physical_ctx *p_ctx,
+                                struct ovn_desired_flow_table *flow_table)
+{
+    struct sbrec_port_binding *target =
+            sbrec_port_binding_index_init_row(
+                    p_ctx->sbrec_port_binding_by_datapath);
+    sbrec_port_binding_index_set_datapath(target, pb->datapath);
+
+    const struct sbrec_port_binding *port;
+    SBREC_PORT_BINDING_FOR_EACH_EQUAL (port, target,
+                                       p_ctx->sbrec_port_binding_by_datapath) {
+        ofctrl_remove_flows(flow_table, &port->header_.uuid);
+        physical_eval_port_binding(p_ctx, port, flow_table);
+    }
+    sbrec_port_binding_index_destroy_row(target);
+}
+
 void
 physical_handle_mc_group_changes(struct physical_ctx *p_ctx,
                                  struct ovn_desired_flow_table *flow_table)
diff --git a/controller/physical.h b/controller/physical.h
index dd4be70417..f0aecc852f 100644
--- a/controller/physical.h
+++ b/controller/physical.h
@@ -81,4 +81,7 @@ bool physical_handle_flows_for_lport(const struct sbrec_port_binding *,
                                      bool removed,
                                      struct physical_ctx *,
                                      struct ovn_desired_flow_table *);
+void physical_multichassis_reprocess(const struct sbrec_port_binding *,
+                                     struct physical_ctx *,
+                                     struct ovn_desired_flow_table *);
 #endif /* controller/physical.h */
diff --git a/tests/ovn.at b/tests/ovn.at
index bb8d709e9c..826b52051d 100644
--- a/tests/ovn.at
+++ b/tests/ovn.at
@@ -38944,3 +38944,70 @@ OVN_CHECK_PACKETS([hv/vif1-tx.pcap], [expected-vif1])
 
 AT_CLEANUP
 ])
+
+
+OVN_FOR_EACH_NORTHD([
+AT_SETUP([Multichassis port I-P processing])
+ovn_start
+
+net_add n1
+
+sim_add hv1
+as hv1
+check ovs-vsctl add-br br-phys
+ovn_attach n1 br-phys 192.168.0.11
+check ovs-vsctl set open . external-ids:ovn-bridge-mappings=phys:br-phys
+
+sim_add hv2
+as hv2
+check ovs-vsctl add-br br-phys
+ovn_attach n1 br-phys 192.168.0.12
+check ovs-vsctl set open . external-ids:ovn-bridge-mappings=phys:br-phys
+
+check ovn-nbctl ls-add ls
+check ovn-nbctl lsp-add ls multi
+check ovn-nbctl lsp-set-options multi requested-chassis=hv1
+
+check ovn-nbctl lsp-add ls ln
+check ovn-nbctl lsp-set-type ln localnet
+check ovn-nbctl lsp-set-addresses ln unknown
+check ovn-nbctl lsp-set-options ln network_name=phys
+
+check ovn-nbctl lsp-add ls lsp1 \
+    -- lsp-set-options lsp1 requested-chassis=hv1
+as hv1 check ovs-vsctl -- add-port br-int lsp1 \
+    -- set Interface lsp1 external-ids:iface-id=lsp1
+
+for hv in hv1 hv2; do
+    as $hv check ovs-vsctl -- add-port br-int multi \
+        -- set Interface multi external-ids:iface-id=multi
+done
+
+wait_for_ports_up
+ovn-nbctl --wait=hv sync
+
+OVS_WAIT_UNTIL([test $(as hv2 ovs-ofctl dump-flows br-int table=OFTABLE_OUTPUT_LARGE_PKT_DETECT | grep -c check_pkt_larger) -eq 0])
+
+check ovn-nbctl --wait=hv lsp-set-options multi requested-chassis=hv1,hv2
+OVS_WAIT_UNTIL([test $(as hv2 ovs-ofctl dump-flows br-int table=OFTABLE_OUTPUT_LARGE_PKT_DETECT | grep -c check_pkt_larger) -eq 4])
+
+check ovn-nbctl --wait=hv lsp-set-options multi requested-chassis=hv1
+OVS_WAIT_UNTIL([test $(as hv2 ovs-ofctl dump-flows br-int table=OFTABLE_OUTPUT_LARGE_PKT_DETECT | grep -c check_pkt_larger) -eq 0])
+
+check ovn-nbctl --wait=hv lsp-set-options multi requested-chassis=hv1,hv2
+OVS_WAIT_UNTIL([test $(as hv2 ovs-ofctl dump-flows br-int table=OFTABLE_OUTPUT_LARGE_PKT_DETECT | grep -c check_pkt_larger) -eq 4])
+
+as hv2 check ovs-vsctl del-port multi
+OVS_WAIT_UNTIL([test $(as hv2 ovs-ofctl dump-flows br-int table=OFTABLE_OUTPUT_LARGE_PKT_DETECT | grep -c check_pkt_larger) -eq 0])
+
+as hv2 check ovs-vsctl -- add-port br-int multi \
+    -- set Interface multi external-ids:iface-id=multi
+OVS_WAIT_UNTIL([test $(as hv2 ovs-ofctl dump-flows br-int table=OFTABLE_OUTPUT_LARGE_PKT_DETECT | grep -c check_pkt_larger) -eq 4])
+
+check ovn-nbctl --wait=hv lsp-del multi
+OVS_WAIT_UNTIL([test $(as hv2 ovs-ofctl dump-flows br-int table=OFTABLE_OUTPUT_LARGE_PKT_DETECT | grep -c check_pkt_larger) -eq 0])
+
+OVN_CLEANUP([hv1],[hv2])
+
+AT_CLEANUP
+])