diff --git a/pkg/state/state.go b/pkg/state/state.go
index 7ef8d290..fc26c77e 100644
--- a/pkg/state/state.go
+++ b/pkg/state/state.go
@@ -1372,7 +1372,7 @@ func (st *HelmState) PrepareCharts(helm helmexec.Interface, dir string, concurre
 					// for a remote chart, so that the user can notice/fix the issue in a local chart while
 					// a broken remote chart won't completely block their job.
 					chartPath = normalizedChart
-					if helmfileCommand == "pull" {
+					if helmfileCommand == "pull" && isLocal {
 						// copy chart to a temporary directory
 						chartPath, err = generateChartPath(chartName, dir, release, opts.OutputDirTemplate)
 						if err != nil {