Don't have visibility into what was added after base install, and if selinux policies where maintained/installed for additional packages.

Just received the /etc/selinux/config:

# This file controls the state of SELinux on the system.
# SELINUX= can take one of these three values:
#     enforcing - SELinux security policy is enforced.
#     permissive - SELinux prints warnings instead of enforcing.
#     disabled - No SELinux policy is loaded.
SELINUX=disabled
# SELINUXTYPE= can take one of three two values:
#     targeted - Targeted processes are protected,
#     minimum - Modification of targeted policy. Only selected processes are protected.
#     mls - Multi Level Security protection.
SELINUXTYPE=targeted

This bug does not affect upstream virt-v2v.

Downstream fix posted:

https://listman.redhat.com/archives/libguestfs/2023-April/031206.html

My reproducer:

  $ virt-builder --format=qcow2 fedora-36 --append-line '/etc/selinux/targeted/contexts/files/file_contexts:/.* system_u:object_r:default_t:s0'

  $ virt-v2v -i disk fedora-36.qcow2 -o null

On RHEL 8 (virt-v2v-1.42.0-21.module+el8.8.0+16781+9f4724c2.x86_64) it fails like this:

  virt-v2v: error: libguestfs error: selinux_relabel: Can't stat exclude path 
  "/sysroot/selinux", No such file or directory - ignoring.
  setfiles: /sysroot/etc/selinux/targeted/contexts/files/file_contexts: 
  Multiple same specifications for /.*.
  /sysroot/etc/selinux/targeted/contexts/files/file_contexts: Invalid 
  argument

On RHEL 9 (virt-v2v-2.0.7-6.el9.x86_64) it works fine.

Fedora and upstream are also fine.

Reproduced with virt-v2v-1.42.0-21.module+el8.8.0+16781+9f4724c2.x86_64.

Steps:
1. Prepare a RHEL 7.9/8.7 on ESXi8.0

2. Check:
[root@localhost ~]# getenforce
Disabled
[root@localhost ~]# 
[root@localhost ~]# cat /etc/selinux/config 

# This file controls the state of SELinux on the system.
# SELINUX= can take one of these three values:
#     enforcing - SELinux security policy is enforced.
#     permissive - SELinux prints warnings instead of enforcing.
#     disabled - No SELinux policy is loaded.
SELINUX=disabled
# SELINUXTYPE= can take one of these three values:
#     targeted - Targeted processes are protected,
#     minimum - Modification of targeted policy. Only selected processes are protected. 
#     mls - Multi Level Security protection.
SELINUXTYPE=targeted

3. Add the line with content "/.* system_u:object_r:default_t:s0" into /etc/selinux/targeted/contexts/files/file_contexts
[root@localhost ~]# vi /etc/selinux/targeted/contexts/files/file_contexts
/.* system_u:object_r:default_t:s0
/.* system_u:object_r:default_t:s0
.....

4. Convert via virt-v2v
# virt-v2v -i libvirt -ic vpx://root.212.149/data/10.73.212.36/?no_verify=1 -o null  -ip /v2v-ops/esxpw esx8.0-rhel7.9-x86_64-bz2184183
[   0.0] Opening the source -i libvirt -ic vpx://root.212.149/data/10.73.212.36/?no_verify=1 esx8.0-rhel7.9-x86_64-bz2184183
[   4.9] Creating an overlay to protect the source from being modified
[   6.8] Opening the overlay
[  39.8] Inspecting the overlay
[ 558.6] Checking for sufficient free disk space in the guest
[ 558.6] Estimating space required on target for each disk
[ 558.6] Converting Red Hat Enterprise Linux Server 7.9 (Maipo) to run on KVM
virt-v2v: error: libguestfs error: selinux_relabel: Can't stat exclude path 
"/sysroot/selinux", No such file or directory - ignoring.
setfiles: /sysroot/etc/selinux/targeted/contexts/files/file_contexts: 
Multiple same specifications for /.*.
/sysroot/etc/selinux/targeted/contexts/files/file_contexts: Invalid 
argument

If reporting bugs, run virt-v2v with debugging enabled and include the 
complete output:

  virt-v2v -v -x [...]


Verified with virt-v2v-1.42.0-22.module+el8.8.0+18565+360d99ae.x86_64.The conversion can work successfully.

# rpm -qa virt-v2v
virt-v2v-1.42.0-22.module+el8.8.0+18565+360d99ae.x86_64
# virt-v2v -i libvirt -ic vpx://root.212.149/data/10.73.212.36/?no_verify=1 -o null  -ip /v2v-ops/esxpw esx8.0-rhel7.9-x86_64-bz2184183
[   0.0] Opening the source -i libvirt -ic vpx://root.212.149/data/10.73.212.36/?no_verify=1 esx8.0-rhel7.9-x86_64-bz2184183
[   5.0] Creating an overlay to protect the source from being modified
[   7.1] Opening the overlay
[  47.5] Inspecting the overlay
[ 562.0] Checking for sufficient free disk space in the guest
[ 562.0] Estimating space required on target for each disk
[ 562.0] Converting Red Hat Enterprise Linux Server 7.9 (Maipo) to run on KVM
virt-v2v: This guest has virtio drivers installed.
[2044.3] Mapping filesystem data to avoid copying unused and blank areas
[2046.7] Closing the overlay
[2047.0] Assigning disks to buses
[2047.0] Checking if the guest needs BIOS or UEFI to boot
[2047.0] Initializing the target -o null
[2047.0] Copying disk 1/2 to qemu URI json:{ "file.driver": "null-co", "file.size": "1E" } (raw)
    (100.00/100%)
[3654.7] Copying disk 2/2 to qemu URI json:{ "file.driver": "null-co", "file.size": "1E" } (raw)
    (100.00/100%)
[3883.9] Creating output metadata
[3883.9] Finishing off

Since the problem described in this bug report should be
resolved in a recent advisory, it has been closed with a
resolution of ERRATA.

For information on the advisory (Moderate: virt:rhel and virt-devel:rhel security, bug fix, and enhancement update), and where to find the updated
files, follow the link below.

If the solution does not work for you, open a new bug report.

https://access.redhat.com/errata/RHSA-2023:2757