diff --git a/cmd/image-builder/main_test.go b/cmd/image-builder/main_test.go
index dc7af6a..7106361 100644
--- a/cmd/image-builder/main_test.go
+++ b/cmd/image-builder/main_test.go
@@ -433,7 +433,14 @@ func TestBuildIntegrationArgs(t *testing.T) {
 	}
 }
 
-func TestBuildIntegrationErrors(t *testing.T) {
+var failingOsbuild = `
+cat - > "$0".stdin
+echo "error on stdout"
+>&2 echo "error on stderr"
+exit 1
+`
+
+func TestBuildIntegrationErrorsProgressVerbose(t *testing.T) {
 	if testing.Short() {
 		t.Skip("manifest generation takes a while")
 	}
@@ -444,34 +451,60 @@ func TestBuildIntegrationErrors(t *testing.T) {
 	restore := main.MockNewRepoRegistry(testrepos.New)
 	defer restore()
 
-	var fakeStdout, fakeStderr bytes.Buffer
-	restore = main.MockOsStdout(&fakeStdout)
+	restore = main.MockOsArgs([]string{
+		"build",
+		"qcow2",
+		"--distro", "centos-9",
+		"--progress=verbose",
+	})
 	defer restore()
-	restore = main.MockOsStderr(&fakeStderr)
+
+	fakeOsbuildCmd := testutil.MockCommand(t, "osbuild", failingOsbuild)
+	defer fakeOsbuildCmd.Restore()
+
+	var err error
+	stdout, stderr := testutil.CaptureStdio(t, func() {
+		err = main.Run()
+	})
+	assert.EqualError(t, err, "running osbuild failed: exit status 1")
+
+	assert.Contains(t, stdout, "error on stdout\n")
+	assert.Contains(t, stderr, "error on stderr\n")
+}
+
+func TestBuildIntegrationErrorsProgressTerm(t *testing.T) {
+	if testing.Short() {
+		t.Skip("manifest generation takes a while")
+	}
+	if !hasDepsolveDnf() {
+		t.Skip("no osbuild-depsolve-dnf binary found")
+	}
+
+	restore := main.MockNewRepoRegistry(testrepos.New)
 	defer restore()
 
 	restore = main.MockOsArgs([]string{
 		"build",
 		"qcow2",
 		"--distro", "centos-9",
+		"--progress=term",
 	})
 	defer restore()
 
-	script := `
-cat - > "$0".stdin
->&2 echo "error on stderr"
-exit 1
-`
-	fakeOsbuildCmd := testutil.MockCommand(t, "osbuild", script)
+	fakeOsbuildCmd := testutil.MockCommand(t, "osbuild", failingOsbuild)
 	defer fakeOsbuildCmd.Restore()
 
-	err := main.Run()
-	assert.EqualError(t, err, "running osbuild failed: exit status 1")
-	// ensure errors from osbuild are passed to the user
-	// XXX: once the osbuild.Status is used, also check that stdout
-	// is available (but that cannot be done with the existing
-	// osbuild-exec.go)
-	assert.Equal(t, "error on stderr\n", fakeStderr.String())
+	var err error
+	stdout, stderr := testutil.CaptureStdio(t, func() {
+		err = main.Run()
+	})
+	assert.EqualError(t, err, `error running osbuild: exit status 1
+Output:
+error on stdout
+error on stderr
+`)
+	assert.NotContains(t, stdout, "error on stdout")
+	assert.NotContains(t, stderr, "error on stderr")
 }
 
 func TestManifestIntegrationWithSBOMWithOutputDir(t *testing.T) {
diff --git a/go.mod b/go.mod
index 2db9021..8e4cd42 100644
--- a/go.mod
+++ b/go.mod
@@ -9,7 +9,7 @@ toolchain go1.22.2
 require (
 	github.com/BurntSushi/toml v1.4.0
 	github.com/gobwas/glob v0.2.3
-	github.com/osbuild/bootc-image-builder/bib v0.0.0-20250125114430-c5d674173ba0
+	github.com/osbuild/bootc-image-builder/bib v0.0.0-20250128074618-f6403409fc97
 	github.com/osbuild/images v0.112.0
 	github.com/sirupsen/logrus v1.9.3
 	github.com/spf13/cobra v1.8.1
diff --git a/go.sum b/go.sum
index 8469538..6ddb347 100644
--- a/go.sum
+++ b/go.sum
@@ -220,6 +220,8 @@ github.com/opencontainers/selinux v1.11.0 h1:+5Zbo97w3Lbmb3PeqQtpmTkMwsW5nRI3YaL
 github.com/opencontainers/selinux v1.11.0/go.mod h1:E5dMC3VPuVvVHDYmi78qvhJp8+M586T4DlDRYpFkyec=
 github.com/osbuild/bootc-image-builder/bib v0.0.0-20250125114430-c5d674173ba0 h1:aLxeLEO/C6/mAc4O8fgmDE7uaf6EwAiW79IP2GI/bvo=
 github.com/osbuild/bootc-image-builder/bib v0.0.0-20250125114430-c5d674173ba0/go.mod h1:22erXOiwfznPLNE5Y8hp35fnE0vh5ZjWp/iIQsVnYTg=
+github.com/osbuild/bootc-image-builder/bib v0.0.0-20250128074618-f6403409fc97 h1:Xyv+vDEGCcG1qkHkdQFPBXhvM5WiMiAJm/AjBkzW4Sw=
+github.com/osbuild/bootc-image-builder/bib v0.0.0-20250128074618-f6403409fc97/go.mod h1:22erXOiwfznPLNE5Y8hp35fnE0vh5ZjWp/iIQsVnYTg=
 github.com/osbuild/images v0.112.0 h1:+pKwPniwYTRRgist6V+7DQfZEg7osddl1z4pASecq4M=
 github.com/osbuild/images v0.112.0/go.mod h1:58tzp7jV50rjaH9gMpvmQdVati0c4TaC5Op7wmSD/tY=
 github.com/ostreedev/ostree-go v0.0.0-20210805093236-719684c64e4f h1:/UDgs8FGMqwnHagNDPGOlts35QkhAZ8by3DR7nMih7M=