diff --git a/neutron/tests/fullstack/test_segmentation_id.py b/neutron/tests/fullstack/test_segmentation_id.py
new file mode 100644
index 00000000000..be7ca60da34
--- /dev/null
+++ b/neutron/tests/fullstack/test_segmentation_id.py
@@ -0,0 +1,101 @@
+#    Licensed under the Apache License, Version 2.0 (the "License"); you may
+#    not use this file except in compliance with the License. You may obtain
+#    a copy of the License at
+#
+#         http://www.apache.org/licenses/LICENSE-2.0
+#
+#    Unless required by applicable law or agreed to in writing, software
+#    distributed under the License is distributed on an "AS IS" BASIS, WITHOUT
+#    WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the
+#    License for the specific language governing permissions and limitations
+#    under the License.
+
+from neutron_lib import constants
+from neutronclient.common import exceptions
+from oslo_utils import uuidutils
+
+from neutron.tests.fullstack import base
+from neutron.tests.fullstack.resources import config
+from neutron.tests.fullstack.resources import environment
+from neutron.tests.unit import testlib_api
+
+load_tests = testlib_api.module_load_tests
+
+
+class TestSegmentationId(base.BaseFullStackTestCase):
+
+    scenarios = [
+        ('Open vSwitch Agent', {'l2_agent_type': constants.AGENT_TYPE_OVS}),
+        ('Linux Bridge Agent', {
+            'l2_agent_type': constants.AGENT_TYPE_LINUXBRIDGE})]
+
+    def setUp(self):
+        hosts_description = [
+            environment.HostDescription(
+                l2_agent_type=self.l2_agent_type, l3_agent=False)]
+        env = environment.Environment(
+            environment.EnvironmentDescription(),
+            hosts_description)
+
+        super(TestSegmentationId, self).setUp(env)
+        self.tenant_id = uuidutils.generate_uuid()
+
+    def _create_network(self):
+        seg_id = 100
+        network = self.safe_client.create_network(
+            self.tenant_id, network_type="vlan", segmentation_id=seg_id,
+            physical_network=config.PHYSICAL_NETWORK_NAME)
+        self.assertEqual(seg_id, network['provider:segmentation_id'])
+
+        # Ensure that segmentation_id is really set properly in DB
+        network = self.safe_client.client.show_network(
+            network['id'])['network']
+        self.assertEqual(seg_id, network['provider:segmentation_id'])
+        return network
+
+    def _update_segmentation_id(self, network):
+        # Now change segmentation_id to some other value
+        new_seg_id = network['provider:segmentation_id'] + 1
+        new_net_args = {'provider:segmentation_id': new_seg_id}
+        network = self.safe_client.update_network(
+            network['id'], **new_net_args)
+        self.assertEqual(
+            new_seg_id, network['provider:segmentation_id'])
+        # Ensure that segmentation_id was really changed
+        network = self.safe_client.client.show_network(
+            network['id'])['network']
+        self.assertEqual(new_seg_id, network['provider:segmentation_id'])
+
+    def test_change_segmentation_id_no_ports_in_network(self):
+        network = self._create_network()
+        self._update_segmentation_id(network)
+
+    def test_change_segmentation_id_with_unbound_ports_in_network(self):
+        network = self._create_network()
+
+        self.safe_client.create_subnet(
+            self.tenant_id, network['id'], '20.0.0.0/24')
+
+        # Unbound port
+        self.safe_client.create_port(self.tenant_id, network['id'])
+        # Port failed to bind
+        self.safe_client.create_port(self.tenant_id, network['id'],
+                                     "non-exisiting-host")
+
+        self._update_segmentation_id(network)
+
+    def test_change_segmentation_id_with_bound_ports_in_network(self):
+        network = self._create_network()
+
+        self.safe_client.create_subnet(
+            self.tenant_id, network['id'], '20.0.0.0/24')
+        self.safe_client.create_port(self.tenant_id, network['id'],
+                                     self.environment.hosts[0].hostname)
+
+        if self.l2_agent_type == constants.AGENT_TYPE_LINUXBRIDGE:
+            # Linuxbridge agent don't support update of segmentation_id for
+            # the network so this should raise an exception
+            self.assertRaises(exceptions.BadRequest,
+                              self._update_segmentation_id, network)
+        else:
+            self._update_segmentation_id(network)