diff --git a/bundle/deploy/terraform/load.go b/bundle/deploy/terraform/load.go
index efd329f4..7f350abf 100644
--- a/bundle/deploy/terraform/load.go
+++ b/bundle/deploy/terraform/load.go
@@ -2,8 +2,10 @@ package terraform
 
 import (
 	"context"
+	"fmt"
 
 	"github.com/databricks/bricks/bundle"
+	"github.com/hashicorp/terraform-exec/tfexec"
 )
 
 type load struct{}
@@ -13,6 +15,16 @@ func (l *load) Name() string {
 }
 
 func (l *load) Apply(ctx context.Context, b *bundle.Bundle) ([]bundle.Mutator, error) {
+	tf := b.Terraform
+	if tf == nil {
+		return nil, fmt.Errorf("terraform not initialized")
+	}
+
+	err := tf.Init(ctx, tfexec.Upgrade(true))
+	if err != nil {
+		return nil, fmt.Errorf("terraform init: %w", err)
+	}
+
 	state, err := b.Terraform.Show(ctx)
 	if err != nil {
 		return nil, err
diff --git a/bundle/deploy/terraform/pkg.go b/bundle/deploy/terraform/pkg.go
new file mode 100644
index 00000000..5e3807be
--- /dev/null
+++ b/bundle/deploy/terraform/pkg.go
@@ -0,0 +1,3 @@
+package terraform
+
+const TerraformStateFileName = "terraform.tfstate"
diff --git a/bundle/deploy/terraform/state_pull.go b/bundle/deploy/terraform/state_pull.go
new file mode 100644
index 00000000..04a6b2eb
--- /dev/null
+++ b/bundle/deploy/terraform/state_pull.go
@@ -0,0 +1,62 @@
+package terraform
+
+import (
+	"context"
+	"io"
+	"os"
+	"path/filepath"
+
+	"github.com/databricks/bricks/bundle"
+	"github.com/databricks/bricks/libs/filer"
+	"github.com/databricks/bricks/libs/log"
+	"github.com/databricks/databricks-sdk-go/apierr"
+)
+
+type statePull struct{}
+
+func (l *statePull) Name() string {
+	return "terraform:state-pull"
+}
+
+func (l *statePull) Apply(ctx context.Context, b *bundle.Bundle) ([]bundle.Mutator, error) {
+	f, err := filer.NewWorkspaceFilesClient(b.WorkspaceClient(), b.Config.Workspace.StatePath.Workspace)
+	if err != nil {
+		return nil, err
+	}
+
+	dir, err := Dir(b)
+	if err != nil {
+		return nil, err
+	}
+
+	// Download state file from filer to local cache directory.
+	log.Infof(ctx, "Opening remote state file")
+	remote, err := f.Read(ctx, TerraformStateFileName)
+	if err != nil {
+		// On first deploy this state file doesn't yet exist.
+		if apierr.IsMissing(err) {
+			log.Infof(ctx, "Remote state file does not exist")
+			return nil, nil
+		}
+		return nil, err
+	}
+
+	// Expect the state file to live under dir.
+	local, err := os.OpenFile(filepath.Join(dir, TerraformStateFileName), os.O_CREATE|os.O_WRONLY|os.O_TRUNC, 0600)
+	if err != nil {
+		return nil, err
+	}
+
+	// Write file to disk.
+	log.Infof(ctx, "Writing remote state file to local cache directory")
+	_, err = io.Copy(local, remote)
+	if err != nil {
+		return nil, err
+	}
+
+	return nil, nil
+}
+
+func StatePull() bundle.Mutator {
+	return &statePull{}
+}
diff --git a/bundle/deploy/terraform/state_push.go b/bundle/deploy/terraform/state_push.go
new file mode 100644
index 00000000..03c1bc4c
--- /dev/null
+++ b/bundle/deploy/terraform/state_push.go
@@ -0,0 +1,48 @@
+package terraform
+
+import (
+	"context"
+	"os"
+	"path/filepath"
+
+	"github.com/databricks/bricks/bundle"
+	"github.com/databricks/bricks/libs/filer"
+	"github.com/databricks/bricks/libs/log"
+)
+
+type statePush struct{}
+
+func (l *statePush) Name() string {
+	return "terraform:state-push"
+}
+
+func (l *statePush) Apply(ctx context.Context, b *bundle.Bundle) ([]bundle.Mutator, error) {
+	f, err := filer.NewWorkspaceFilesClient(b.WorkspaceClient(), b.Config.Workspace.StatePath.Workspace)
+	if err != nil {
+		return nil, err
+	}
+
+	dir, err := Dir(b)
+	if err != nil {
+		return nil, err
+	}
+
+	// Expect the state file to live under dir.
+	local, err := os.Open(filepath.Join(dir, TerraformStateFileName))
+	if err != nil {
+		return nil, err
+	}
+
+	// Upload state file from local cache directory to filer.
+	log.Infof(ctx, "Writing local state file to remote state directory")
+	err = f.Write(ctx, TerraformStateFileName, local, filer.CreateParentDirectories, filer.OverwriteIfExists)
+	if err != nil {
+		return nil, err
+	}
+
+	return nil, nil
+}
+
+func StatePush() bundle.Mutator {
+	return &statePush{}
+}
diff --git a/bundle/phases/deploy.go b/bundle/phases/deploy.go
index 299cd3eb..2b656c8d 100644
--- a/bundle/phases/deploy.go
+++ b/bundle/phases/deploy.go
@@ -18,7 +18,9 @@ func Deploy() bundle.Mutator {
 			artifacts.UploadAll(),
 			terraform.Interpolate(),
 			terraform.Write(),
+			terraform.StatePull(),
 			terraform.Apply(),
+			terraform.StatePush(),
 			lock.Release(),
 		},
 	)
diff --git a/cmd/bundle/run.go b/cmd/bundle/run.go
index 51d81e11..431290d7 100644
--- a/cmd/bundle/run.go
+++ b/cmd/bundle/run.go
@@ -25,6 +25,9 @@ var runCmd = &cobra.Command{
 		b := bundle.Get(cmd.Context())
 		err := bundle.Apply(cmd.Context(), b, []bundle.Mutator{
 			phases.Initialize(),
+			terraform.Interpolate(),
+			terraform.Write(),
+			terraform.StatePull(),
 			terraform.Load(),
 		})
 		if err != nil {