diff --git a/src/com/mirantis/mk/Openstack.groovy b/src/com/mirantis/mk/Openstack.groovy
index 59bbeb7..a57256a 100644
--- a/src/com/mirantis/mk/Openstack.groovy
+++ b/src/com/mirantis/mk/Openstack.groovy
@@ -22,9 +22,9 @@
  * @param version     Version of the OpenStack clients
  */
 
-def setupOpenstackVirtualenv(path, version = 'latest') {
-    def python = new com.mirantis.mk.Python()
-    python.setupDocutilsVirtualenv(path)
+def setupOpenstackVirtualenv(path, version = 'latest', python="python2") {
+    def pythonLib = new com.mirantis.mk.Python()
+    pythonLib.setupDocutilsVirtualenv(path)
 
     def openstack_kilo_packages = [
         //XXX: hack to fix https://bugs.launchpad.net/ubuntu/+source/python-pip/+bug/1635463
@@ -41,7 +41,7 @@
         'oslo.i18n>=2.3.0,<2.4.0',
         'oslo.serialization>=1.8.0,<1.9.0',
         'oslo.utils>=1.4.0,<1.5.0',
-        'docutils'
+        'docutils==0.16'
     ]
 
     def openstack_latest_packages = [
@@ -58,10 +58,12 @@
         'warlock<=1.3.1;python_version=="2.7"',
         'warlock>1.3.1;python_version=="3.4"',
         'warlock>1.3.1;python_version=="3.5"',
-        'python-openstackclient',
-        'python-octaviaclient',
-        'python-heatclient',
-        'docutils'
+        // NOTE: pin client packages to current latest to prevent
+        // downloading packages which are not support Python 2.7
+        'python-openstackclient==4.0.0',
+        'python-octaviaclient==1.11.0',
+        'python-heatclient==1.18.0',
+        'docutils==0.16'
     ]
 
     if (version == 'kilo') {
@@ -73,7 +75,7 @@
     } else {
         requirements = openstack_latest_packages
     }
-    python.setupVirtualenv(path, 'python2', requirements, null, true)
+    pythonLib.setupVirtualenv(path, python, requirements, null, true)
 }
 
 /**
diff --git a/src/com/mirantis/mk/Python.groovy b/src/com/mirantis/mk/Python.groovy
index d82f68a..9c9bf88 100644
--- a/src/com/mirantis/mk/Python.groovy
+++ b/src/com/mirantis/mk/Python.groovy
@@ -39,7 +39,8 @@
                 pipPackage = "\"pip<=19.3.1\""
                 common.infoMsg("Pinning pip package due to end of life of Python2 to ${pipPackage} version.")
             }
-            runVirtualenvCommand(path, "pip install -U setuptools ${pipPackage}")
+            // NOTE(vsaienko): pin setuptools explicitly for latest version that works with python2
+            runVirtualenvCommand(path, "pip install -U \"setuptools<45.0.0\" ${pipPackage}")
         } catch (Exception e) {
             common.warningMsg("Setuptools and pip cannot be updated, you might be offline but OFFLINE_DEPLOYMENT global property not initialized!")
         }
@@ -156,11 +157,11 @@
  *
  * @param path Path where virtualenv is created
  */
-def setupDocutilsVirtualenv(path) {
+def setupDocutilsVirtualenv(path, python="python2") {
     requirements = [
-        'docutils',
+        'docutils==0.16',
     ]
-    setupVirtualenv(path, 'python2', requirements)
+    setupVirtualenv(path, python, requirements)
 }
 
 
@@ -452,8 +453,8 @@
  */
 def setupJinjaVirtualenv(path) {
     requirements = [
-        'jinja2-cli',
-        'pyyaml',
+        'jinja2-cli==0.7.0',
+        'pyyaml==5.3',
     ]
     setupVirtualenv(path, 'python2', requirements)
 }