diff --git a/builder/vsphere/common/step_config_params.go b/builder/vsphere/common/step_config_params.go
index 591f82eee..d13096109 100644
--- a/builder/vsphere/common/step_config_params.go
+++ b/builder/vsphere/common/step_config_params.go
@@ -7,6 +7,8 @@ import (
 	"context"
 	"fmt"
 
+	"github.com/vmware/govmomi/vim25/types"
+
 	"github.com/hashicorp/packer/builder/vsphere/driver"
 	"github.com/hashicorp/packer/helper/multistep"
 	"github.com/hashicorp/packer/packer"
@@ -17,8 +19,7 @@ type ConfigParamsConfig struct {
 	// ConfigSpec: https://pubs.vmware.com/vi3/sdk/ReferenceGuide/vim.vm.ConfigSpec.html
 	ConfigParams map[string]string `mapstructure:"configuration_parameters"`
 
-	// Enables time synchronization with the host. If set to true will set `tools.syncTime` to `TRUE`.
-	// Defaults to FALSE.
+	// Enables time synchronization with the host. Defaults to false.
 	ToolsSyncTime bool `mapstructure:"tools_sync_time"`
 
 	// If sets to true, vSphere will automatically check and upgrade VMware Tools upon a system power cycle.
@@ -39,17 +40,22 @@ func (s *StepConfigParams) Run(_ context.Context, state multistep.StateBag) mult
 		configParams = s.Config.ConfigParams
 	}
 
-	if s.Config.ToolsSyncTime {
-		configParams["tools.syncTime"] = "TRUE"
+	var info *types.ToolsConfigInfo
+	if s.Config.ToolsSyncTime || s.Config.ToolsUpgradePolicy {
+		info = &types.ToolsConfigInfo{}
+
+		if s.Config.ToolsSyncTime {
+			info.SyncTimeWithHost = &s.Config.ToolsSyncTime
+		}
+
+		if s.Config.ToolsUpgradePolicy {
+			info.ToolsUpgradePolicy = "UpgradeAtPowerCycle"
+		}
 	}
 
-	if s.Config.ToolsUpgradePolicy {
-		configParams["tools.upgrade.policy"] = "upgradeAtPowerCycle"
-	}
-
-	if len(configParams) > 0 {
+	if len(configParams) > 0 || info != nil {
 		ui.Say("Adding configuration parameters...")
-		if err := vm.AddConfigParams(configParams); err != nil {
+		if err := vm.AddConfigParams(configParams, info); err != nil {
 			state.Put("error", fmt.Errorf("error adding configuration parameters: %v", err))
 			return multistep.ActionHalt
 		}
diff --git a/builder/vsphere/driver/vm.go b/builder/vsphere/driver/vm.go
index b62ca984c..423addab0 100644
--- a/builder/vsphere/driver/vm.go
+++ b/builder/vsphere/driver/vm.go
@@ -800,18 +800,24 @@ func (vm *VirtualMachine) addDevice(device types.BaseVirtualDevice) error {
 	return err
 }
 
-func (vm *VirtualMachine) AddConfigParams(params map[string]string) error {
+func (vm *VirtualMachine) AddConfigParams(params map[string]string, info *types.ToolsConfigInfo) error {
 	var confSpec types.VirtualMachineConfigSpec
 
-	var ov []types.BaseOptionValue
-	for k, v := range params {
-		o := types.OptionValue{
-			Key:   k,
-			Value: v,
+	if len(params) > 0 {
+		var ov []types.BaseOptionValue
+		for k, v := range params {
+			o := types.OptionValue{
+				Key:   k,
+				Value: v,
+			}
+			ov = append(ov, &o)
 		}
-		ov = append(ov, &o)
+		confSpec.ExtraConfig = ov
+	}
+
+	if info != nil {
+		confSpec.Tools = info
 	}
-	confSpec.ExtraConfig = ov
 
 	task, err := vm.vm.Reconfigure(vm.driver.ctx, confSpec)
 	if err != nil {
diff --git a/website/pages/partials/builder/vsphere/common/ConfigParamsConfig-not-required.mdx b/website/pages/partials/builder/vsphere/common/ConfigParamsConfig-not-required.mdx
index 2e76f3082..e80a115b4 100644
--- a/website/pages/partials/builder/vsphere/common/ConfigParamsConfig-not-required.mdx
+++ b/website/pages/partials/builder/vsphere/common/ConfigParamsConfig-not-required.mdx
@@ -3,8 +3,7 @@
 -   `configuration_parameters` (map[string]string) - configuration_parameters is a direct passthrough to the VSphere API's
     ConfigSpec: https://pubs.vmware.com/vi3/sdk/ReferenceGuide/vim.vm.ConfigSpec.html
     
--   `tools_sync_time` (bool) - Enables time synchronization with the host. If set to true will set `tools.syncTime` to `TRUE`.
-    Defaults to FALSE.
+-   `tools_sync_time` (bool) - Enables time synchronization with the host. Defaults to false.
     
 -   `tools_upgrade_policy` (bool) - If sets to true, vSphere will automatically check and upgrade VMware Tools upon a system power cycle.
     If not set, defaults to manual upgrade.