Krishna, I am almost certain that you want to stick with the VPP design, and that you do not have a valid case for a design change. Accept the fact that you have to add more VLANs/subnets to the PE router, when, in fact, you have more VLANs/subnets in your system.
It is possible to do what you are talking about with a Linux system. In that case, source routing is employed. For example, all traffic to the local subnet may go out one of the two interfaces, and traffic to the default gateway would go out the other interface. There is a kernel parameter, arp_filter, to help this along -- by default, it is not set for this use case. A thorough example is shown in https://access.redhat.com/solutions/30564. Pretty darn complicated, at least in practice. Also, see Documentation/networking/ip-sysctl.txt in the Linux kernel source tree. It's nice to know about it, but I am guessing that it does not match your use case. If, on the other hand, there are tricks that you can employ, someone else will know much more than I do. Burt
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