diff --git a/doc/toolbox-create.1.md b/doc/toolbox-create.1.md
index 8b7db9e6b..0e94b20b6 100644
--- a/doc/toolbox-create.1.md
+++ b/doc/toolbox-create.1.md
@@ -6,6 +6,7 @@ toolbox\-create - Create a new toolbox container
 ## SYNOPSIS
 **toolbox create** [*--authfile FILE*]
                [*--distro DISTRO* | *-d DISTRO*]
+               [*--file CONTAINERFILE* | *-f CONTAINERFILE*]
                [*--image NAME* | *-i NAME*]
                [*--release RELEASE* | *-r RELEASE*]
                [*CONTAINER*]
@@ -95,6 +96,12 @@ Create a toolbox container for a different operating system DISTRO than the
 host. Cannot be used with `--image`. Has to be coupled with `--release` unless
 the selected DISTRO matches the host.
 
+**--file** CONTAINERFILE, **-f** CONTAINERFILE
+
+Create a toolbox container from a Containerfile. If used with `--image`, then
+the built image will be tagged with that value, otherwise the current directory
+name will be used.
+
 **--image** NAME, **-i** NAME
 
 Change the NAME of the image used to create the toolbox container. This is
@@ -136,6 +143,12 @@ $ toolbox create --image bar foo
 $ toolbox create --authfile ~/auth.json --image registry.example.com/bar
 ```
 
+### Create a custom toolbox container from a Containerfile
+
+```
+$ toolbox create --file Containerfile
+```
+
 ## SEE ALSO
 
 `toolbox(1)`, `toolbox-init-container(1)`, `podman(1)`, `podman-create(1)`, `podman-login(1)`, `podman-pull(1)`, `containers-auth.json(5)`
diff --git a/src/cmd/create.go b/src/cmd/create.go
index c50460a87..5a71bb36d 100644
--- a/src/cmd/create.go
+++ b/src/cmd/create.go
@@ -20,6 +20,7 @@ import (
 	"errors"
 	"fmt"
 	"os"
+	"path"
 	"path/filepath"
 	"strings"
 	"time"
@@ -47,6 +48,7 @@ var (
 		authFile  string
 		container string
 		distro    string
+		file      string
 		image     string
 		release   string
 	}
@@ -87,6 +89,12 @@ func init() {
 		"",
 		"Create a toolbox container for a different operating system distribution than the host")
 
+	flags.StringVarP(&createFlags.file,
+		"file",
+		"f",
+		"",
+		"Create a toolbox container from the given Containerfile")
+
 	flags.StringVarP(&createFlags.image,
 		"image",
 		"i",
@@ -168,10 +176,43 @@ func create(cmd *cobra.Command, args []string) error {
 		containerArg = "--container"
 	}
 
+	image := createFlags.image
+
+	if cmd.Flag("file").Changed {
+		if !utils.PathExists(createFlags.file) {
+			var builder strings.Builder
+			fmt.Fprintf(&builder, "file %s not found\n", createFlags.authFile)
+			fmt.Fprintf(&builder, "Run '%s --help' for usage.", executableBase)
+
+			errMsg := builder.String()
+			return errors.New(errMsg)
+		}
+
+		var err error
+                if container == "" {
+			container, err = dirname()
+			if err != nil {
+				return err
+			}
+                }
+
+		if image == "" {
+			image, err = dirname()
+			if err != nil {
+				return err
+			}
+		}
+
+		err = buildContainerImage(image, createFlags.file)
+		if err != nil {
+			return err
+		}
+	}
+
 	container, image, release, err := resolveContainerAndImageNames(container,
 		containerArg,
 		createFlags.distro,
-		createFlags.image,
+		image,
 		createFlags.release)
 
 	if err != nil {
@@ -185,6 +226,20 @@ func create(cmd *cobra.Command, args []string) error {
 	return nil
 }
 
+func buildContainerImage(image, containerFile string) error {
+	buildArgs := []string{
+		"build",
+		"--file",
+		containerFile,
+		"--tag",
+		image,
+	}
+	if err := shell.Run("podman", nil, nil, nil, buildArgs...); err != nil {
+		return fmt.Errorf("failed to build image %s", image)
+	}
+	return nil
+}
+
 func createContainer(container, image, release, authFile string, showCommandToEnter bool) error {
 	if container == "" {
 		panic("container not specified")
@@ -781,3 +836,11 @@ func systemdPathBusEscape(path string) string {
 	}
 	return string(n)
 }
+
+func dirname() (string, error) {
+	cwd, err := os.Getwd()
+	if err != nil {
+		return "", err
+	}
+	return path.Base(cwd), nil
+}