diff --git a/lib/manager/terraform/__fixtures__/1.tf b/lib/manager/terraform/__fixtures__/1.tf
index 793474273fa3b1..ccea08fff7ae99 100644
--- a/lib/manager/terraform/__fixtures__/1.tf
+++ b/lib/manager/terraform/__fixtures__/1.tf
@@ -159,3 +159,16 @@ module "gittags_http" {
 module "gittags_ssh" {
   source = "git::ssh://git@bitbucket.com/hashicorp/example?ref=v1.0.3"
 }
+
+terraform {
+  required_providers {
+    aws = ">= 2.7.0"
+  }
+}
+
+terraform {
+  required_providers {
+    aws = ">= 2.5.0"
+    azurerm = ">= 2.0.0"
+  }
+}
diff --git a/lib/manager/terraform/__snapshots__/extract.spec.ts.snap b/lib/manager/terraform/__snapshots__/extract.spec.ts.snap
index 7fd0c2231ce5d8..195e5888bf9b42 100644
--- a/lib/manager/terraform/__snapshots__/extract.spec.ts.snap
+++ b/lib/manager/terraform/__snapshots__/extract.spec.ts.snap
@@ -140,7 +140,7 @@ Object {
       "depName": "helm",
       "depNameShort": "helm",
       "depType": "terraform",
-      "skipReason": "no-version",
+      "skipReason": "unsupported-version",
     },
     Object {
       "currentValue": "V1.9",
@@ -192,6 +192,27 @@ Object {
       "depType": "gitTags",
       "lookupName": "ssh://git@bitbucket.com/hashicorp/example",
     },
+    Object {
+      "currentValue": ">= 2.7.0",
+      "datasource": "terraform-provider",
+      "depName": "aws",
+      "depNameShort": "aws",
+      "depType": "terraform",
+    },
+    Object {
+      "currentValue": ">= 2.5.0",
+      "datasource": "terraform-provider",
+      "depName": "aws",
+      "depNameShort": "aws",
+      "depType": "terraform",
+    },
+    Object {
+      "currentValue": ">= 2.0.0",
+      "datasource": "terraform-provider",
+      "depName": "azurerm",
+      "depNameShort": "azurerm",
+      "depType": "terraform",
+    },
   ],
 }
 `;
diff --git a/lib/manager/terraform/extract.spec.ts b/lib/manager/terraform/extract.spec.ts
index 5e833e462e27cd..9b3e94c93504f8 100644
--- a/lib/manager/terraform/extract.spec.ts
+++ b/lib/manager/terraform/extract.spec.ts
@@ -19,7 +19,7 @@ describe('lib/manager/terraform/extract', () => {
     it('extracts', () => {
       const res = extractPackageFile(tf1);
       expect(res).toMatchSnapshot();
-      expect(res.deps).toHaveLength(27);
+      expect(res.deps).toHaveLength(30);
       expect(res.deps.filter((dep) => dep.skipReason)).toHaveLength(6);
     });
     it('returns null if only local deps', () => {
@@ -42,6 +42,11 @@ describe('lib/manager/terraform/extract', () => {
         TerraformDependencyTypes.unknown
       );
     });
+    it('returns TerraformDependencyTypes.required_providers', () => {
+      expect(getTerraformDependencyType('required_providers')).toBe(
+        TerraformDependencyTypes.required_providers
+      );
+    });
     it('returns TerraformDependencyTypes.unknown on empty string', () => {
       expect(getTerraformDependencyType('')).toBe(
         TerraformDependencyTypes.unknown
diff --git a/lib/manager/terraform/extract.ts b/lib/manager/terraform/extract.ts
index 1419501ef2957e..dad95431b6ee61 100644
--- a/lib/manager/terraform/extract.ts
+++ b/lib/manager/terraform/extract.ts
@@ -11,6 +11,7 @@ export enum TerraformDependencyTypes {
   unknown = 'unknown',
   module = 'module',
   provider = 'provider',
+  required_providers = 'required_providers',
 }
 
 export function getTerraformDependencyType(
@@ -23,15 +24,25 @@ export function getTerraformDependencyType(
     case 'provider': {
       return TerraformDependencyTypes.provider;
     }
+    case 'required_providers': {
+      return TerraformDependencyTypes.required_providers;
+    }
     default: {
       return TerraformDependencyTypes.unknown;
     }
   }
 }
 
+const dependencyBlockExtractionRegex = /^\s*(?<type>module|provider|required_providers)\s+("(?<lookupName>[^"]+)"\s+)?{\s*$/;
+const keyValueExtractionRegex = /^\s*(?<key>[^\s]+)\s+=\s+"(?<value>[^"]+)"\s*$/; // extracts `exampleKey = exampleValue`
+
 export function extractPackageFile(content: string): PackageFile | null {
   logger.trace({ content }, 'terraform.extractPackageFile()');
-  if (!content.includes('module "') && !content.includes('provider "')) {
+  if (
+    !content.includes('module "') &&
+    !content.includes('provider "') &&
+    !content.includes('required_providers ')
+  ) {
     return null;
   }
   const deps: PackageDependency[] = [];
@@ -39,36 +50,54 @@ export function extractPackageFile(content: string): PackageFile | null {
     const lines = content.split('\n');
     for (let lineNumber = 0; lineNumber < lines.length; lineNumber += 1) {
       let line = lines[lineNumber];
-      const terraformDependency = /^(module|provider)\s+"([^"]+)"\s+{\s*$/.exec(
-        line
-      );
+      const terraformDependency = dependencyBlockExtractionRegex.exec(line);
       if (terraformDependency) {
-        logger.trace(`Matched ${terraformDependency[1]} on line ${lineNumber}`);
-        const tfDepType: TerraformDependencyTypes = getTerraformDependencyType(
-          terraformDependency[1]
+        logger.trace(
+          `Matched ${terraformDependency.groups.type} on line ${lineNumber}`
+        );
+        const tfDepType = getTerraformDependencyType(
+          terraformDependency.groups.type
         );
-        const dep: PackageDependency = {
-          managerData: {
-            moduleName: terraformDependency[2],
-            terraformDependencyType: tfDepType,
-          },
-        };
+
         if (tfDepType === TerraformDependencyTypes.unknown) {
-          /* istanbul ignore next */ logger.trace(
-            `Could not identify TerraformDependencyType ${terraformDependency[1]} on line ${lineNumber}.`
+          /* istanbul ignore next */ logger.warn(
+            `Could not identify TerraformDependencyType ${terraformDependency.groups.type} on line ${lineNumber}.`
           );
+        } else if (tfDepType === TerraformDependencyTypes.required_providers) {
+          do {
+            const dep: PackageDependency = {
+              managerData: {
+                terraformDependencyType: tfDepType,
+              },
+            };
+
+            lineNumber += 1;
+            line = lines[lineNumber];
+            const kvMatch = keyValueExtractionRegex.exec(line);
+            if (kvMatch) {
+              dep.currentValue = kvMatch.groups.value;
+              dep.managerData.moduleName = kvMatch.groups.key;
+              dep.managerData.versionLine = lineNumber;
+              deps.push(dep);
+            }
+          } while (line.trim() !== '}');
         } else {
+          const dep: PackageDependency = {
+            managerData: {
+              moduleName: terraformDependency.groups.lookupName,
+              terraformDependencyType: tfDepType,
+            },
+          };
           do {
             lineNumber += 1;
             line = lines[lineNumber];
-            const kvMatch = /^\s*([^\s]+)\s+=\s+"([^"]+)"\s*$/.exec(line);
+            const kvMatch = keyValueExtractionRegex.exec(line);
             if (kvMatch) {
-              const [, key, value] = kvMatch;
-              if (key === 'version') {
-                dep.currentValue = value;
+              if (kvMatch.groups.key === 'version') {
+                dep.currentValue = kvMatch.groups.value;
                 dep.managerData.versionLine = lineNumber;
-              } else if (key === 'source') {
-                dep.managerData.source = value;
+              } else if (kvMatch.groups.key === 'source') {
+                dep.managerData.source = kvMatch.groups.value;
                 dep.managerData.sourceLine = lineNumber;
               }
             }
@@ -100,7 +129,6 @@ export function extractPackageFile(content: string): PackageFile | null {
         dep.currentValue = githubRefMatch[3];
         dep.datasource = datasourceGithubTags.id;
         dep.lookupName = depNameShort;
-        dep.managerData.lineNumber = dep.managerData.sourceLine;
         if (!isVersion(dep.currentValue)) {
           dep.skipReason = SkipReason.UnsupportedVersion;
         }
@@ -119,7 +147,6 @@ export function extractPackageFile(content: string): PackageFile | null {
         }
         dep.currentValue = gitTagsRefMatch[4];
         dep.datasource = datasourceGitTags.id;
-        dep.managerData.lineNumber = dep.managerData.sourceLine;
         if (!isVersion(dep.currentValue)) {
           dep.skipReason = SkipReason.UnsupportedVersion;
         }
@@ -131,7 +158,6 @@ export function extractPackageFile(content: string): PackageFile | null {
           dep.depType = 'terraform';
           dep.depName = moduleParts.join('/');
           dep.depNameShort = dep.depName;
-          dep.managerData.lineNumber = dep.managerData.versionLine;
           dep.datasource = datasourceTerraformModule.id;
         }
       } else {
@@ -140,19 +166,16 @@ export function extractPackageFile(content: string): PackageFile | null {
       }
     } else if (
       dep.managerData.terraformDependencyType ===
-      TerraformDependencyTypes.provider
+        TerraformDependencyTypes.provider ||
+      dep.managerData.terraformDependencyType ===
+        TerraformDependencyTypes.required_providers
     ) {
       dep.depType = 'terraform';
       dep.depName = dep.managerData.moduleName;
       dep.depNameShort = dep.managerData.moduleName;
-      dep.managerData.lineNumber = dep.managerData.versionLine;
       dep.datasource = datasourceTerraformProvider.id;
-      if (dep.managerData.lineNumber) {
-        if (!isValid(dep.currentValue)) {
-          dep.skipReason = SkipReason.UnsupportedVersion;
-        }
-      } else if (!dep.skipReason) {
-        dep.skipReason = SkipReason.NoVersion;
+      if (!isValid(dep.currentValue)) {
+        dep.skipReason = SkipReason.UnsupportedVersion;
       }
     }
     delete dep.managerData;
diff --git a/package.json b/package.json
index c0e886d0586691..4fe28e8aaee292 100644
--- a/package.json
+++ b/package.json
@@ -95,7 +95,8 @@
     "Tanuel <tanuel.mategi@gmail.com>",
     "Viral Ruparel <viralruparel@gmail.com>",
     "Vladimir Starkov <iamstarkov@gmail.com>",
-    "Mikhail Yakushin <driver733@gmail.com>"
+    "Mikhail Yakushin <driver733@gmail.com>",
+    "Sebastian Poxhofer <sebastian@poxhofer.at>"
   ],
   "license": "AGPL-3.0",
   "bugs": {