diff --git a/internal/backend/backend.go b/internal/backend/backend.go
index def4560d93..eb67acfddc 100644
--- a/internal/backend/backend.go
+++ b/internal/backend/backend.go
@@ -295,6 +295,11 @@ type Operation struct {
 	// Workspace is the name of the workspace that this operation should run
 	// in, which controls which named state is used.
 	Workspace string
+
+	// GenerateConfigOut tells the operation both that it should generate config
+	// for unmatched import targets and where any generated config should be
+	// written to.
+	GenerateConfigOut string
 }
 
 // HasConfig returns true if and only if the operation has a ConfigDir value
diff --git a/internal/backend/local/backend_local.go b/internal/backend/local/backend_local.go
index 9355e59ea5..d290743b53 100644
--- a/internal/backend/local/backend_local.go
+++ b/internal/backend/local/backend_local.go
@@ -190,11 +190,12 @@ func (b *Local) localRunDirect(op *backend.Operation, run *backend.LocalRun, cor
 	}
 
 	planOpts := &terraform.PlanOpts{
-		Mode:         op.PlanMode,
-		Targets:      op.Targets,
-		ForceReplace: op.ForceReplace,
-		SetVariables: variables,
-		SkipRefresh:  op.Type != backend.OperationTypeRefresh && !op.PlanRefresh,
+		Mode:           op.PlanMode,
+		Targets:        op.Targets,
+		ForceReplace:   op.ForceReplace,
+		SetVariables:   variables,
+		SkipRefresh:    op.Type != backend.OperationTypeRefresh && !op.PlanRefresh,
+		GenerateConfig: len(op.GenerateConfigOut) > 0,
 	}
 	run.PlanOpts = planOpts
 
diff --git a/internal/backend/local/backend_plan.go b/internal/backend/local/backend_plan.go
index 553ab86567..d1c3122068 100644
--- a/internal/backend/local/backend_plan.go
+++ b/internal/backend/local/backend_plan.go
@@ -9,6 +9,7 @@ import (
 	"log"
 
 	"github.com/hashicorp/terraform/internal/backend"
+	"github.com/hashicorp/terraform/internal/genconfig"
 	"github.com/hashicorp/terraform/internal/logging"
 	"github.com/hashicorp/terraform/internal/plans"
 	"github.com/hashicorp/terraform/internal/plans/planfile"
@@ -53,6 +54,24 @@ func (b *Local) opPlan(
 		return
 	}
 
+	if len(op.GenerateConfigOut) > 0 {
+
+		if op.PlanMode != plans.NormalMode {
+			diags = diags.Append(tfdiags.Sourceless(
+				tfdiags.Error,
+				"Invalid generate-config-out flag",
+				"Config can only be generated during a normal plan operation, and not during a refresh-only or destroy plan."))
+			op.ReportResult(runningOp, diags)
+			return
+		}
+
+		diags = diags.Append(genconfig.ValidateTargetFile(op.GenerateConfigOut))
+		if diags.HasErrors() {
+			op.ReportResult(runningOp, diags)
+			return
+		}
+	}
+
 	if b.ContextOpts == nil {
 		b.ContextOpts = new(terraform.ContextOpts)
 	}
@@ -171,6 +190,15 @@ func (b *Local) opPlan(
 		op.ReportResult(runningOp, diags)
 		return
 	}
+
+	// Write out any generated config, before we render the plan.
+	moreDiags = genconfig.MaybeWriteGeneratedConfig(plan, op.GenerateConfigOut)
+	diags = diags.Append(moreDiags)
+	if moreDiags.HasErrors() {
+		op.ReportResult(runningOp, diags)
+		return
+	}
+
 	op.View.Plan(plan, schemas)
 
 	// If we've accumulated any diagnostics along the way then we'll show them
diff --git a/internal/command/arguments/plan.go b/internal/command/arguments/plan.go
index 9b83752cb9..1b7b0922f9 100644
--- a/internal/command/arguments/plan.go
+++ b/internal/command/arguments/plan.go
@@ -25,6 +25,11 @@ type Plan struct {
 	// OutPath contains an optional path to store the plan file
 	OutPath string
 
+	// GenerateConfigPath tells Terraform that config should be generated for
+	// unmatched import target paths and which path the generated file should
+	// be written to.
+	GenerateConfigPath string
+
 	// ViewType specifies which output format to use
 	ViewType ViewType
 }
@@ -44,6 +49,7 @@ func ParsePlan(args []string) (*Plan, tfdiags.Diagnostics) {
 	cmdFlags.BoolVar(&plan.DetailedExitCode, "detailed-exitcode", false, "detailed-exitcode")
 	cmdFlags.BoolVar(&plan.InputEnabled, "input", true, "input")
 	cmdFlags.StringVar(&plan.OutPath, "out", "", "out")
+	cmdFlags.StringVar(&plan.GenerateConfigPath, "generate-config-out", "", "generate-config-out")
 
 	var json bool
 	cmdFlags.BoolVar(&json, "json", false, "json")
diff --git a/internal/command/command_test.go b/internal/command/command_test.go
index 8265c69906..7e634bec02 100644
--- a/internal/command/command_test.go
+++ b/internal/command/command_test.go
@@ -252,6 +252,24 @@ func testPlanFileNoop(t *testing.T) string {
 	return testPlanFile(t, snap, state, plan)
 }
 
+func testFileEquals(t *testing.T, got, want string) {
+	t.Helper()
+
+	actual, err := os.ReadFile(got)
+	if err != nil {
+		t.Fatalf("error reading %s", got)
+	}
+
+	expected, err := os.ReadFile(want)
+	if err != nil {
+		t.Fatalf("error reading %s", want)
+	}
+
+	if diff := cmp.Diff(string(actual), string(expected)); len(diff) > 0 {
+		t.Fatalf("got:\n%s\nwant:\n%s\ndiff:\n%s", actual, expected, diff)
+	}
+}
+
 func testReadPlan(t *testing.T, path string) *plans.Plan {
 	t.Helper()
 
diff --git a/internal/command/plan.go b/internal/command/plan.go
index 5985a26443..f6d815fbf4 100644
--- a/internal/command/plan.go
+++ b/internal/command/plan.go
@@ -75,7 +75,7 @@ func (c *PlanCommand) Run(rawArgs []string) int {
 	}
 
 	// Build the operation request
-	opReq, opDiags := c.OperationRequest(be, view, args.ViewType, args.Operation, args.OutPath)
+	opReq, opDiags := c.OperationRequest(be, view, args.ViewType, args.Operation, args.OutPath, args.GenerateConfigPath)
 	diags = diags.Append(opDiags)
 	if diags.HasErrors() {
 		view.Diagnostics(diags)
@@ -144,6 +144,7 @@ func (c *PlanCommand) OperationRequest(
 	viewType arguments.ViewType,
 	args *arguments.Operation,
 	planOutPath string,
+	generateConfigOut string,
 ) (*backend.Operation, tfdiags.Diagnostics) {
 	var diags tfdiags.Diagnostics
 
@@ -154,6 +155,7 @@ func (c *PlanCommand) OperationRequest(
 	opReq.Hooks = view.Hooks()
 	opReq.PlanRefresh = args.Refresh
 	opReq.PlanOutPath = planOutPath
+	opReq.GenerateConfigOut = generateConfigOut
 	opReq.Targets = args.Targets
 	opReq.ForceReplace = args.ForceReplace
 	opReq.Type = backend.OperationTypePlan
diff --git a/internal/command/plan_test.go b/internal/command/plan_test.go
index c0d2386a0e..7d83070246 100644
--- a/internal/command/plan_test.go
+++ b/internal/command/plan_test.go
@@ -193,6 +193,47 @@ func TestPlan_noState(t *testing.T) {
 	}
 }
 
+func TestPlan_generatedConfigPath(t *testing.T) {
+	td := t.TempDir()
+	testCopyDir(t, testFixturePath("plan-import-config-gen"), td)
+	defer testChdir(t, td)()
+
+	genPath := filepath.Join(td, "generated.tf")
+
+	p := planFixtureProvider()
+	view, done := testView(t)
+
+	c := &PlanCommand{
+		Meta: Meta{
+			testingOverrides: metaOverridesForProvider(p),
+			View:             view,
+		},
+	}
+
+	p.ImportResourceStateResponse = &providers.ImportResourceStateResponse{
+		ImportedResources: []providers.ImportedResource{
+			{
+				TypeName: "test_instance",
+				State: cty.ObjectVal(map[string]cty.Value{
+					"id": cty.StringVal("bar"),
+				}),
+				Private: nil,
+			},
+		},
+	}
+
+	args := []string{
+		"-generate-config-out", genPath,
+	}
+	code := c.Run(args)
+	output := done(t)
+	if code != 0 {
+		t.Fatalf("bad: %d\n\n%s", code, output.Stderr())
+	}
+
+	testFileEquals(t, genPath, filepath.Join(td, "generated.tf.expected"))
+}
+
 func TestPlan_outPath(t *testing.T) {
 	td := t.TempDir()
 	testCopyDir(t, testFixturePath("plan"), td)
diff --git a/internal/command/testdata/plan-import-config-gen/generated.tf.expected b/internal/command/testdata/plan-import-config-gen/generated.tf.expected
new file mode 100644
index 0000000000..bfdfc3ca69
--- /dev/null
+++ b/internal/command/testdata/plan-import-config-gen/generated.tf.expected
@@ -0,0 +1,8 @@
+# __generated__ by Terraform
+# Please review these resources and move them into your main configuration files.
+
+# __generated__ by Terraform from "bar"
+resource "test_instance" "foo" {
+  ami = null
+  id  = "bar"
+}
diff --git a/internal/command/testdata/plan-import-config-gen/main.tf b/internal/command/testdata/plan-import-config-gen/main.tf
new file mode 100644
index 0000000000..ea89e71b0f
--- /dev/null
+++ b/internal/command/testdata/plan-import-config-gen/main.tf
@@ -0,0 +1,4 @@
+import {
+  id = "bar"
+  to = test_instance.foo
+}
diff --git a/internal/genconfig/generate_config_write.go b/internal/genconfig/generate_config_write.go
new file mode 100644
index 0000000000..5a9e99e3e7
--- /dev/null
+++ b/internal/genconfig/generate_config_write.go
@@ -0,0 +1,81 @@
+package genconfig
+
+import (
+	"fmt"
+	"io"
+	"os"
+
+	"github.com/hashicorp/terraform/internal/plans"
+	"github.com/hashicorp/terraform/internal/tfdiags"
+)
+
+func ValidateTargetFile(out string) tfdiags.Diagnostics {
+	var diags tfdiags.Diagnostics
+	if _, err := os.Stat(out); !os.IsNotExist(err) {
+		diags = diags.Append(tfdiags.Sourceless(
+			tfdiags.Error,
+			"Target generated file already exists",
+			"Terraform can only write generated config into a new file. Either choose a different target location or move all existing configuration out of the target file, delete it and try again."))
+
+	}
+	return diags
+}
+
+func MaybeWriteGeneratedConfig(plan *plans.Plan, out string) tfdiags.Diagnostics {
+	if len(out) == 0 {
+		// No specified out file, so don't write anything.
+		return nil
+	}
+
+	diags := ValidateTargetFile(out)
+	if diags.HasErrors() {
+		return diags
+	}
+
+	var writer io.Writer
+
+	for _, change := range plan.Changes.Resources {
+		if len(change.GeneratedConfig) > 0 {
+
+			if writer == nil {
+				// Lazily create the generated file, in case we have no
+				// generated config to create.
+				var err error
+				if writer, err = os.Create(out); err != nil {
+					if os.IsPermission(err) {
+						diags = diags.Append(tfdiags.Sourceless(
+							tfdiags.Error,
+							"Failed to create target generated file",
+							fmt.Sprintf("Terraform did not have permission to create the generated file (%s) in the target directory. Please modify permissions over the target directory, and try again.", out)))
+						return diags
+					}
+
+					diags = diags.Append(tfdiags.Sourceless(
+						tfdiags.Error,
+						"Failed to create target generated file",
+						fmt.Sprintf("Terraform could not create the generated file (%s) in the target directory: %v. Depending on the error message, this may be a bug in Terraform itself. If so, please report it!", out, err)))
+					return diags
+				}
+
+				header := "# __generated__ by Terraform\n# Please review these resources and move them into your main configuration files.\n"
+				// Missing the header from the file, isn't the end of the world
+				// so if this did return an error, then we will just ignore it.
+				_, _ = writer.Write([]byte(header))
+			}
+
+			header := "\n# __generated__ by Terraform"
+			if change.Importing != nil && len(change.Importing.ID) > 0 {
+				header += fmt.Sprintf(" from %q", change.Importing.ID)
+			}
+			header += "\n"
+			if _, err := writer.Write([]byte(fmt.Sprintf("%s%s\n", header, change.GeneratedConfig))); err != nil {
+				diags = diags.Append(tfdiags.Sourceless(
+					tfdiags.Warning,
+					"Failed to save generated config",
+					fmt.Sprintf("Terraform encountered an error while writing generated config: %v. The config for %s must be created manually before applying. Depending on the error message, this may be a bug in Terraform itself. If so, please report it!", err, change.Addr.String())))
+			}
+		}
+	}
+
+	return diags
+}
diff --git a/internal/terraform/context_plan.go b/internal/terraform/context_plan.go
index 93bdc85345..9d7397472e 100644
--- a/internal/terraform/context_plan.go
+++ b/internal/terraform/context_plan.go
@@ -77,6 +77,10 @@ type PlanOpts struct {
 	// ImportTargets is a list of target resources to import. These resources
 	// will be added to the plan graph.
 	ImportTargets []*ImportTarget
+
+	// GenerateConfig tells Terraform to generate configuration for any
+	// ImportTargets that do not have configuration already.
+	GenerateConfig bool
 }
 
 // Plan generates an execution plan by comparing the given configuration
@@ -630,6 +634,7 @@ func (c *Context) planGraph(config *configs.Config, prevRunState *states.State,
 			preDestroyRefresh:  opts.PreDestroyRefresh,
 			Operation:          walkPlan,
 			ImportTargets:      opts.ImportTargets,
+			GenerateConfig:     opts.GenerateConfig,
 		}).Build(addrs.RootModuleInstance)
 		return graph, walkPlan, diags
 	case plans.RefreshOnlyMode:
diff --git a/internal/terraform/context_plan2_test.go b/internal/terraform/context_plan2_test.go
index 8b119f5d38..9c009dac76 100644
--- a/internal/terraform/context_plan2_test.go
+++ b/internal/terraform/context_plan2_test.go
@@ -4512,7 +4512,10 @@ resource "test_object" "a" {
 		},
 	}
 
-	plan, diags := ctx.Plan(m, states.NewState(), DefaultPlanOpts)
+	plan, diags := ctx.Plan(m, states.NewState(), &PlanOpts{
+		Mode:           plans.NormalMode,
+		GenerateConfig: true,
+	})
 	if diags.HasErrors() {
 		t.Fatalf("unexpected errors\n%s", diags.Err().Error())
 	}
@@ -4569,7 +4572,10 @@ import {
 		},
 	}
 
-	plan, diags := ctx.Plan(m, states.NewState(), DefaultPlanOpts)
+	plan, diags := ctx.Plan(m, states.NewState(), &PlanOpts{
+		Mode:           plans.NormalMode,
+		GenerateConfig: true,
+	})
 	if diags.HasErrors() {
 		t.Fatalf("unexpected errors\n%s", diags.Err().Error())
 	}
@@ -4648,7 +4654,10 @@ import {
 		},
 	}
 
-	plan, diags := ctx.Plan(m, states.NewState(), DefaultPlanOpts)
+	plan, diags := ctx.Plan(m, states.NewState(), &PlanOpts{
+		Mode:           plans.NormalMode,
+		GenerateConfig: true,
+	})
 	if diags.HasErrors() {
 		t.Fatalf("unexpected errors\n%s", diags.Err().Error())
 	}
diff --git a/internal/terraform/graph_builder_plan.go b/internal/terraform/graph_builder_plan.go
index 898a2ed1ca..587b3fa036 100644
--- a/internal/terraform/graph_builder_plan.go
+++ b/internal/terraform/graph_builder_plan.go
@@ -75,6 +75,10 @@ type PlanGraphBuilder struct {
 
 	// ImportTargets are the list of resources to import.
 	ImportTargets []*ImportTarget
+
+	// GenerateConfig tells Terraform to generate config for any import targets
+	// that do not already have configuration.
+	GenerateConfig bool
 }
 
 // See GraphBuilder
@@ -113,8 +117,7 @@ func (b *PlanGraphBuilder) Steps() []GraphTransformer {
 			importTargets: b.ImportTargets,
 
 			// We only want to generate config during a plan operation.
-			// TODO: add a dedicated flag for this?
-			generateConfigForImportTargets: b.Operation == walkPlan,
+			generateConfigForImportTargets: b.GenerateConfig,
 		},
 
 		// Add dynamic values
diff --git a/internal/terraform/node_resource_abstract.go b/internal/terraform/node_resource_abstract.go
index d8114b658a..64b73279cb 100644
--- a/internal/terraform/node_resource_abstract.go
+++ b/internal/terraform/node_resource_abstract.go
@@ -78,6 +78,9 @@ type NodeAbstractResource struct {
 
 	// This resource may expand into instances which need to be imported.
 	importTargets []*ImportTarget
+
+	// generateConfig tells this node that it's okay for it to generate config.
+	generateConfig bool
 }
 
 var (
diff --git a/internal/terraform/node_resource_abstract_instance.go b/internal/terraform/node_resource_abstract_instance.go
index 4ce69f358f..8a6a21f25c 100644
--- a/internal/terraform/node_resource_abstract_instance.go
+++ b/internal/terraform/node_resource_abstract_instance.go
@@ -651,7 +651,6 @@ func (n *NodeAbstractResourceInstance) plan(
 	currentState *states.ResourceInstanceObject,
 	createBeforeDestroy bool,
 	forceReplace []addrs.AbsResourceInstance,
-	generateConfig bool,
 ) (*plans.ResourceInstanceChange, *states.ResourceInstanceObject, instances.RepetitionData, tfdiags.Diagnostics) {
 	var diags tfdiags.Diagnostics
 	var state *states.ResourceInstanceObject
@@ -678,7 +677,7 @@ func (n *NodeAbstractResourceInstance) plan(
 
 	// If we're importing and generating config, generate it now.
 	var generatedHCL string
-	if generateConfig {
+	if n.generateConfig {
 		var generatedDiags tfdiags.Diagnostics
 
 		if n.Config != nil {
@@ -722,6 +721,19 @@ func (n *NodeAbstractResourceInstance) plan(
 		n.Config = generatedConfig
 	}
 
+	if n.Config == nil {
+		// This shouldn't happen. A node that isn't generating config should
+		// have embedded config, and the rest of Terraform should enforce this.
+		// If, however, we didn't do things correctly the next line will panic,
+		// so let's not do that and return an error message with more context.
+
+		diags = diags.Append(tfdiags.Sourceless(
+			tfdiags.Error,
+			"Resource has no configuration",
+			fmt.Sprintf("Terraform attempted to process a resource at %s that has no configuration. This is a bug in Terraform; please report it!", n.Addr.String())))
+		return plan, state, keyData, diags
+	}
+
 	config := *n.Config
 
 	checkRuleSeverity := tfdiags.Error
diff --git a/internal/terraform/node_resource_apply_instance.go b/internal/terraform/node_resource_apply_instance.go
index 8cf1bbb542..98d77d8aa1 100644
--- a/internal/terraform/node_resource_apply_instance.go
+++ b/internal/terraform/node_resource_apply_instance.go
@@ -274,7 +274,7 @@ func (n *NodeApplyableResourceInstance) managedResourceExecute(ctx EvalContext)
 
 	// Make a new diff, in case we've learned new values in the state
 	// during apply which we can now incorporate.
-	diffApply, _, repeatData, planDiags := n.plan(ctx, diff, state, false, n.forceReplace, false)
+	diffApply, _, repeatData, planDiags := n.plan(ctx, diff, state, false, n.forceReplace)
 	diags = diags.Append(planDiags)
 	if diags.HasErrors() {
 		return diags
diff --git a/internal/terraform/node_resource_plan.go b/internal/terraform/node_resource_plan.go
index 61d9b5136b..f6d99606d0 100644
--- a/internal/terraform/node_resource_plan.go
+++ b/internal/terraform/node_resource_plan.go
@@ -336,6 +336,7 @@ func (n *nodeExpandPlannableResource) resourceInstanceSubgraph(ctx EvalContext,
 		a.dependsOn = n.dependsOn
 		a.Dependencies = n.dependencies
 		a.preDestroyRefresh = n.preDestroyRefresh
+		a.generateConfig = n.generateConfig
 
 		m = &NodePlannableResourceInstance{
 			NodeAbstractResourceInstance: a,
diff --git a/internal/terraform/node_resource_plan_instance.go b/internal/terraform/node_resource_plan_instance.go
index b83bfc5ec1..12691ee91c 100644
--- a/internal/terraform/node_resource_plan_instance.go
+++ b/internal/terraform/node_resource_plan_instance.go
@@ -8,14 +8,15 @@ import (
 	"log"
 	"sort"
 
+	"github.com/hashicorp/hcl/v2"
+	"github.com/zclconf/go-cty/cty"
+
 	"github.com/hashicorp/terraform/internal/addrs"
 	"github.com/hashicorp/terraform/internal/instances"
 	"github.com/hashicorp/terraform/internal/plans"
 	"github.com/hashicorp/terraform/internal/providers"
 	"github.com/hashicorp/terraform/internal/states"
 	"github.com/hashicorp/terraform/internal/tfdiags"
-
-	"github.com/zclconf/go-cty/cty"
 )
 
 // NodePlannableResourceInstance represents a _single_ resource
@@ -135,7 +136,6 @@ func (n *NodePlannableResourceInstance) managedResourceExecute(ctx EvalContext)
 
 	var change *plans.ResourceInstanceChange
 	var instanceRefreshState *states.ResourceInstanceObject
-	var generateConfig bool
 
 	checkRuleSeverity := tfdiags.Error
 	if n.skipPlanChanges || n.preDestroyRefresh {
@@ -157,12 +157,32 @@ func (n *NodePlannableResourceInstance) managedResourceExecute(ctx EvalContext)
 
 	importing := n.importTarget.ID != ""
 
+	if importing && n.Config == nil && !n.generateConfig {
+		// Then the user wrote an import target to a target that didn't exist.
+		if n.Addr.Module.IsRoot() {
+			diags = diags.Append(&hcl.Diagnostic{
+				Severity: hcl.DiagError,
+				Summary:  "Import block target does not exist",
+				Detail:   "The target for the given import block does not exist. If you wish to automatically generate config for this resource, use the -generate-config-out option within terraform plan. Otherwise, make sure the target resource exists within your configuration. For example:\n\n  terraform plan -generate-config-out=generated.tf",
+				Subject:  n.importTarget.Config.DeclRange.Ptr(),
+			})
+		} else {
+			// You can't generate config for a resource that is inside a
+			// module, so we will present a different error message for
+			// this case.
+			diags = diags.Append(&hcl.Diagnostic{
+				Severity: hcl.DiagError,
+				Summary:  "Import block target does not exist",
+				Detail:   "The target for the given import block does not exist. The specified target is within a module, and must be defined as a resource within that module before anything can be imported.",
+				Subject:  n.importTarget.Config.DeclRange.Ptr(),
+			})
+		}
+		return diags
+	}
+
 	// If the resource is to be imported, we now ask the provider for an Import
 	// and a Refresh, and save the resulting state to instanceRefreshState.
 	if importing {
-		if n.Config == nil || n.Config.Managed == nil {
-			generateConfig = true
-		}
 		instanceRefreshState, diags = n.importState(ctx, addr, provider)
 	} else {
 		var readDiags tfdiags.Diagnostics
@@ -245,7 +265,7 @@ func (n *NodePlannableResourceInstance) managedResourceExecute(ctx EvalContext)
 		}
 
 		change, instancePlanState, repeatData, planDiags := n.plan(
-			ctx, change, instanceRefreshState, n.ForceCreateBeforeDestroy, n.forceReplace, generateConfig,
+			ctx, change, instanceRefreshState, n.ForceCreateBeforeDestroy, n.forceReplace,
 		)
 		diags = diags.Append(planDiags)
 		if diags.HasErrors() {
diff --git a/internal/terraform/transform_config.go b/internal/terraform/transform_config.go
index 023dc63637..61ab629313 100644
--- a/internal/terraform/transform_config.go
+++ b/internal/terraform/transform_config.go
@@ -98,8 +98,13 @@ func (t *ConfigTransformer) transformSingle(g *Graph, config *configs.Config, ge
 	}
 
 	// Take a copy of the import targets, so we can edit them as we go.
+	// Only include import targets that are targeting the current module.
 	var importTargets []*ImportTarget
-	importTargets = append(importTargets, t.importTargets...)
+	for _, target := range t.importTargets {
+		if targetModule := target.Addr.Module.Module(); targetModule.Equal(config.Path) {
+			importTargets = append(importTargets, target)
+		}
+	}
 
 	for _, r := range allResources {
 		relAddr := r.Addr()
@@ -151,28 +156,32 @@ func (t *ConfigTransformer) transformSingle(g *Graph, config *configs.Config, ge
 		g.Add(node)
 	}
 
-	if generateConfig {
-		// If any import targets were not claimed by resources, then we will
-		// generate config for them.
-		for _, i := range importTargets {
-			if !i.Addr.Module.IsRoot() {
-				// We only generate config for resources imported into the root
-				// module.
-				continue
-			}
-
-			abstract := &NodeAbstractResource{
-				Addr:          i.Addr.ConfigResource(),
-				importTargets: []*ImportTarget{i},
-			}
-
-			var node dag.Vertex = abstract
-			if f := t.Concrete; f != nil {
-				node = f(abstract)
-			}
+	// If any import targets were not claimed by resources, then let's add them
+	// into the graph now.
+	//
+	// We actually know that if any of the resources aren't claimed and
+	// generateConfig is false, then we have a problem. But, we can't raise a
+	// nice error message from this function.
+	//
+	// We'll add the nodes that we know will fail, and catch them again later
+	// in the processing when we are in a position to raise a much more helpful
+	// error message.
+	//
+	// TODO: We could actually catch and process these kind of problems earlier,
+	//   this is something that could be done during the Validate process.
+	for _, i := range importTargets {
+		abstract := &NodeAbstractResource{
+			Addr:           i.Addr.ConfigResource(),
+			importTargets:  []*ImportTarget{i},
+			generateConfig: generateConfig,
+		}
 
-			g.Add(node)
+		var node dag.Vertex = abstract
+		if f := t.Concrete; f != nil {
+			node = f(abstract)
 		}
+
+		g.Add(node)
 	}
 
 	return nil