diff --git a/.github/workflows/test.yml b/.github/workflows/test.yml
index c4093c4aed8..72b8757434f 100644
--- a/.github/workflows/test.yml
+++ b/.github/workflows/test.yml
@@ -243,8 +243,7 @@ jobs:
         - alpine.yaml
         - debian.yaml  # reverse-sshfs
         - fedora.yaml
-        # cloud-init 24.3.1-1 package has a regression: https://github.com/lima-vm/lima/issues/2714
-        # - archlinux.yaml
+        - archlinux.yaml
         - opensuse.yaml
         - docker.yaml
         - ../hack/test-templates/alpine-iso-9p-writable.yaml  # Covers alpine-iso.yaml
@@ -278,15 +277,6 @@ jobs:
       if: matrix.template == '../hack/test-templates/test-misc.yaml'
     - name: "Show cache"
       run: ./hack/debug-cache.sh
-    - name: "Adjust LIMACTL_CREATE_ARGS"
-      # Change the mount type from 9p to reverse-sshfs, as a workaround for:
-      #
-      # > level=fatal msg="failed to get unprivileged mount flags for \"/home/runner/lima-container-engine-test-tmp/random\": stat /home/runner/lima-container-engine-test-tmp/random: no such file or directory"
-      #
-      # The issue is not reproducible on a local MacBook.
-      # https://github.com/lima-vm/lima/issues/2701
-      run: echo "LIMACTL_CREATE_ARGS=${LIMACTL_CREATE_ARGS} --mount-type=reverse-sshfs" >>$GITHUB_ENV
-      if: matrix.template == 'archlinux.yaml'
     - name: "Test"
       uses: nick-fields/retry@7152eba30c6575329ac0576536151aca5a72780e  # v3.0.0
       with:
diff --git a/templates/README.md b/templates/README.md
index d72a0e5b5b4..8cdd2b0c708 100644
--- a/templates/README.md
+++ b/templates/README.md
@@ -15,7 +15,7 @@ Distro:
 - [`almalinux-9`](./almalinux-9.yaml), `almalinux.yaml`: AlmaLinux 9
 - [`alpine`](./alpine.yaml): ☆Alpine Linux
 - [`alpine-iso`](./alpine-iso.yaml): ☆Alpine Linux (ISO9660 image). Compatible with the `alpine` template used in Lima prior to v1.0.
-- [`archlinux`](./archlinux.yaml): Arch Linux
+- [`archlinux`](./archlinux.yaml): ☆Arch Linux
 - [`centos-stream-9`](./centos-stream-9.yaml), `centos-stream.yaml`: CentOS Stream 9
 - [`debian-11`](./debian-11.yaml): Debian GNU/Linux 11(bullseye)
 - [`debian-12`](./debian-12.yaml), `debian.yaml`: ⭐Debian GNU/Linux 12(bookworm)
diff --git a/templates/archlinux.yaml b/templates/archlinux.yaml
index 34c782f2450..812291d35f8 100644
--- a/templates/archlinux.yaml
+++ b/templates/archlinux.yaml
@@ -2,9 +2,9 @@
 images:
 # Try to use yyyyMMdd.REV image if available. Note that yyyyMMdd.REV will be removed after several months.
 
-- location: "https://geo.mirror.pkgbuild.com/images/v20241001.267073/Arch-Linux-x86_64-cloudimg-20241001.267073.qcow2"
+- location: "https://geo.mirror.pkgbuild.com/images/v20241101.275802/Arch-Linux-x86_64-cloudimg-20241101.275802.qcow2"
   arch: "x86_64"
-  digest: "sha256:9e29f8aa543096af97579b6d3f7de627cd5f93dfa1f3f230b8a5ca4fbc3469be"
+  digest: "sha256:9917535108a7b63811e1eef52d0d66452379a7848227c3b1afd6526900850c6d"
 - location: "https://github.com/mcginty/arch-boxes-arm/releases/download/v20220323/Arch-Linux-aarch64-cloudimg-20220323.0.qcow2"
   arch: "aarch64"
   digest: "sha512:27524910bf41cb9b3223c8749c6e67fd2f2fdb8b70d40648708e64d6b03c0b4a01b3c5e72d51fefd3e0c3f58487dbb400a79ca378cde2da341a3a19873612be8"