When installing or upgrading the Istio Helm chart through Apps & Marketplace,

  1. If you are installing the chart, click Customize Helm options before install and click Next.
  2. You will see options for configuring the Istio Helm chart. On the Components tab, check the box next to Enabled CNI.
  3. Add a custom overlay file specifying cniBinDir and cniConfDir. For more information on these options, refer to the Istio documentation. An example is below:

    apiVersion: install.istio.io/v1alpha1
    kind: IstioOperator
    spec:
      components:
        cni:
          enabled: true
          k8s:
            overlays:
            - apiVersion: "apps/v1"
              kind: "DaemonSet"
              name: "istio-cni-node"
              patches:
              - path: spec.template.spec.containers.[name:install-cni].securityContext.privileged
                value: true
      values:
        cni:
          image: rancher/mirrored-istio-install-cni:1.9.3
          excludeNamespaces:
            - istio-system
            - kube-system
          logLevel: info
          cniBinDir: /opt/cni/bin
          cniConfDir: /etc/cni/net.d

Result: Now you should be able to utilize Istio as desired, including sidecar injection and monitoring via Kiali.