diff --git a/pkg/azurefile/controllerserver.go b/pkg/azurefile/controllerserver.go
index 0e07c13f3b..1539afc223 100644
--- a/pkg/azurefile/controllerserver.go
+++ b/pkg/azurefile/controllerserver.go
@@ -710,6 +710,11 @@ func (d *Driver) CreateVolume(ctx context.Context, req *csi.CreateVolumeRequest)
 	}
 
 	klog.V(2).Infof("begin to create file share(%s) on account(%s) type(%s) subID(%s) rg(%s) location(%s) size(%d) protocol(%s)", validFileShareName, accountName, sku, subsID, resourceGroup, location, fileShareSize, shareProtocol)
+	// shouldCleanupShare indicates whether the file share should be cleaned up on failure.
+	// When fileShareName is user-specified (non-empty), we skip cleanup since the share
+	// may be pre-existing and not owned by CSI. For auto-generated share names, CSI owns
+	// the lifecycle and should clean up on failure to avoid orphaned shares.
+	shouldCleanupShare := (fileShareName == "")
 	if err := d.CreateFileShare(ctx, accountOptions, shareOptions, secret, useDataPlaneAPI); err != nil {
 		if strings.Contains(err.Error(), accountLimitExceedManagementAPI) || strings.Contains(err.Error(), accountLimitExceedDataPlaneAPI) {
 			klog.Warningf("create file share(%s) on account(%s) type(%s) subID(%s) rg(%s) location(%s) size(%d), error: %v, skip matching current account", validFileShareName, accountName, sku, subsID, resourceGroup, location, fileShareSize, err)
@@ -739,6 +744,7 @@ func (d *Driver) CreateVolume(ctx context.Context, req *csi.CreateVolumeRequest)
 	if req.GetVolumeContentSource() != nil {
 		accountSASToken, authAzcopyEnv, err := d.getAzcopyAuth(ctx, accountName, accountKey, storageEndpointSuffix, accountOptions, secret, secretName, secretNamespace, false)
 		if err != nil {
+			d.cleanupShareOnFailure(shouldCleanupShare, accountName, validFileShareName, subsID, resourceGroup, secret, useDataPlaneAPI, "getAzcopyAuth failure")
 			return nil, status.Errorf(codes.Internal, "failed to getAzcopyAuth on account(%s) rg(%s), error: %v", accountOptions.Name, accountOptions.ResourceGroup, err)
 		}
 		copyErr := d.copyVolume(ctx, req, accountName, accountSASToken, authAzcopyEnv, secretNamespace, shareOptions, accountOptions, storageEndpointSuffix)
@@ -746,11 +752,13 @@ func (d *Driver) CreateVolume(ctx context.Context, req *csi.CreateVolumeRequest)
 			klog.Warningf("azcopy copy failed with AuthorizationPermissionMismatch error, should assign \"Storage File Data Privileged Contributor\" role to controller identity, fall back to use sas token, original error: %v", copyErr)
 			accountSASToken, authAzcopyEnv, err := d.getAzcopyAuth(ctx, accountName, accountKey, storageEndpointSuffix, accountOptions, secret, secretName, secretNamespace, true)
 			if err != nil {
+				d.cleanupShareOnFailure(shouldCleanupShare, accountName, validFileShareName, subsID, resourceGroup, secret, useDataPlaneAPI, "fallback getAzcopyAuth failure")
 				return nil, status.Errorf(codes.Internal, "failed to getAzcopyAuth on account(%s) rg(%s), error: %v", accountOptions.Name, accountOptions.ResourceGroup, err)
 			}
 			copyErr = d.copyVolume(ctx, req, accountName, accountSASToken, authAzcopyEnv, secretNamespace, shareOptions, accountOptions, storageEndpointSuffix)
 		}
 		if copyErr != nil {
+			d.cleanupShareOnFailure(shouldCleanupShare, accountName, validFileShareName, subsID, resourceGroup, secret, useDataPlaneAPI, fmt.Sprintf("copyVolume(%s) failure", validFileShareName))
 			return nil, copyErr
 		}
 		// storeAccountKey is not needed here since copy volume is only using SAS token
@@ -841,6 +849,30 @@ func (d *Driver) CreateVolume(ctx context.Context, req *csi.CreateVolumeRequest)
 	}, nil
 }
 
+// cleanupShareOnFailure is a best-effort rollback helper that deletes the file share
+// when shouldCleanupShare is true (i.e., the share name was auto-generated by CSI).
+// It checks for a running azcopy job first — if a job is still in progress, the share
+// is preserved so retries can resume rather than starting from zero.
+func (d *Driver) cleanupShareOnFailure(shouldCleanupShare bool, accountName, shareName, subsID, resourceGroup string, secret map[string]string, useDataPlaneAPI, reason string) {
+	if shouldCleanupShare {
+		// Check if an azcopy job is still running for this share — if so,
+		// skip cleanup to avoid orphaning the job and losing partial progress.
+		jobState, _, err := d.azcopy.GetAzcopyJob(shareName, []string{})
+		if err == nil && jobState == util.AzcopyJobRunning {
+			klog.V(2).Infof("skip cleanup of file share(%s) on account(%s): azcopy job is still running", shareName, accountName)
+			return
+		}
+		klog.V(2).Infof("%s on account(%s), cleaning up file share(%s)", reason, accountName, shareName)
+		// Use a background context for cleanup to avoid inheriting a cancelled/expired
+		// context from the original CreateVolume request (e.g., after azcopy timeout).
+		cleanupCtx, cancel := context.WithTimeout(context.Background(), 2*time.Minute)
+		defer cancel()
+		if cleanupErr := d.DeleteFileShare(cleanupCtx, subsID, resourceGroup, accountName, shareName, secret, useDataPlaneAPI); cleanupErr != nil {
+			klog.Warningf("failed to clean up file share(%s) on account(%s) rg(%s) after %s: %v", shareName, accountName, resourceGroup, reason, cleanupErr)
+		}
+	}
+}
+
 // DeleteVolume delete an azure file
 func (d *Driver) DeleteVolume(ctx context.Context, req *csi.DeleteVolumeRequest) (resp *csi.DeleteVolumeResponse, returnedErr error) {
 	volumeID := req.GetVolumeId()