diff --git a/.github/workflows/build-docker-images.yml b/.github/workflows/build-docker-images.yml
index ccc0659409d2..2dec7c4cdfc6 100644
--- a/.github/workflows/build-docker-images.yml
+++ b/.github/workflows/build-docker-images.yml
@@ -97,7 +97,7 @@ jobs:
   latest-torch-deepspeed-docker:
     name: "Latest PyTorch + DeepSpeed"
     runs-on:
-      group: aws-g4dn-2xlarge-cache
+      group: aws-general-8-plus
     steps:
       -
         name: Set up Docker Buildx
diff --git a/.github/workflows/self-scheduled.yml b/.github/workflows/self-scheduled.yml
index d18428fd0d82..5216410e38af 100644
--- a/.github/workflows/self-scheduled.yml
+++ b/.github/workflows/self-scheduled.yml
@@ -329,7 +329,7 @@ jobs:
         working-directory: ${{ inputs.working-directory-prefix }}/
         run: |
           python3 -m pip uninstall -y deepspeed
-          DS_DISABLE_NINJA=1 DS_BUILD_CPU_ADAM=1 DS_BUILD_FUSED_ADAM=1 python3 -m pip install deepspeed --global-option="build_ext" --global-option="-j8" --no-cache -v --disable-pip-version-check
+          DS_DISABLE_NINJA=1 DS_BUILD_CPU_ADAM=1 DS_BUILD_FUSED_ADAM=1 python3 -m pip install deepspeed --no-build-isolation --config-settings="--build-option=build_ext" --config-settings="--build-option=-j8" --no-cache -v --disable-pip-version-check
 
       # To avoid unknown test failures
       - name: Pre build DeepSpeed *again* (for nightly & Past CI)
@@ -339,7 +339,7 @@ jobs:
           python3 -m pip uninstall -y deepspeed
           rm -rf DeepSpeed
           git clone https://github.com/deepspeedai/DeepSpeed && cd DeepSpeed && rm -rf build
-          DS_BUILD_CPU_ADAM=1 DS_BUILD_FUSED_ADAM=1 python3 -m pip install . --global-option="build_ext" --global-option="-j8" --no-cache -v --disable-pip-version-check
+          DS_BUILD_CPU_ADAM=1 DS_BUILD_FUSED_ADAM=1 python3 -m pip install . --no-build-isolation --config-settings="--build-option=build_ext" --config-settings="--build-option=-j8" --no-cache -v --disable-pip-version-check
 
       - name: NVIDIA-SMI
         run: |
diff --git a/docker/transformers-pytorch-deepspeed-latest-gpu/Dockerfile b/docker/transformers-pytorch-deepspeed-latest-gpu/Dockerfile
index 41611b350def..bb1bc830eeaf 100644
--- a/docker/transformers-pytorch-deepspeed-latest-gpu/Dockerfile
+++ b/docker/transformers-pytorch-deepspeed-latest-gpu/Dockerfile
@@ -21,7 +21,7 @@ RUN python3 -m pip install --no-cache-dir './transformers[deepspeed-testing]' 'p
 # Install latest release PyTorch
 # (PyTorch must be installed before pre-compiling any DeepSpeed c++/cuda ops.)
 # (https://www.deepspeed.ai/tutorials/advanced-install/#pre-install-deepspeed-ops)
-RUN python3 -m pip uninstall -y torch torchvision torchaudio && python3 -m pip install --no-cache-dir -U torch==$PYTORCH torchvision torchaudio torchcodec --extra-index-url https://download.pytorch.org/whl/$CUDA
+RUN python3 -m pip uninstall -y torch torchvision torchaudio torchcodec && python3 -m pip install --no-cache-dir -U torch==$PYTORCH torchvision torchaudio --extra-index-url https://download.pytorch.org/whl/$CUDA
 
 RUN python3 -m pip install --no-cache-dir git+https://github.com/huggingface/accelerate@main#egg=accelerate
 
@@ -43,7 +43,7 @@ RUN python3 -m pip uninstall -y deepspeed
 # This has to be run (again) inside the GPU VMs running the tests.
 # The installation works here, but some tests fail, if we don't pre-build deepspeed again in the VMs running the tests.
 # TODO: Find out why test fail.
-RUN DS_BUILD_CPU_ADAM=1 DS_BUILD_FUSED_ADAM=1 python3 -m pip install deepspeed --global-option="build_ext" --global-option="-j8" --no-cache -v --disable-pip-version-check 2>&1
+RUN DS_BUILD_CPU_ADAM=1 DS_BUILD_FUSED_ADAM=1 python3 -m pip install deepspeed --no-build-isolation --config-settings="--build-option=build_ext" --config-settings="--build-option=-j8" --no-cache -v --disable-pip-version-check 2>&1
 
 # `kernels` may give different outputs (within 1e-5 range) even with the same model (weights) and the same inputs
 RUN python3 -m pip uninstall -y kernels