API Gateway Proxy does not forward the backend response code (always returns 200)

The API Gateway is supposed to forward the backend response code - this is the case when I deploy my Terraform code to AWS, but not the case when I deploy it to LocalStack. I opened the issue with more details (issue 10461), but wanted to see if anyone else encountered this issue.

AWS (proxies 401 from the backend as expected):

For some reason I can’t attach another screenshot, but the LocalStack-based API Gateway returns HTTP 200 ignoring the 401 from the backend.