PE routers, unless they are configured as route reflectors or are running an EBGP session, discard any VPN routes that do not include a route target extended community as specified in the local VRF import policies. This is the default behavior of the JUNOS software.
However, unless it is explicitly configured not to store VPN routes, any router configured either as a route reflector or border router for a VPN address family must store all of the VPN routes that exist in the service provider’s network. Also, though PE routers can automatically discard routes that do not include a route target extended community, route updates continue to be generated and received.
By reducing the number of routers receiving VPN routes and route updates, BGP route target filtering helps to limit the amount of overhead associated with running a VPN. BGP route target filtering is most effective at reducing VPN-related administrative traffic in networks where there are many route reflectors or AS border routers that do not participate in the VPNs directly (not acting as PE routers for the CE devices).
BGP route target filtering uses standard UPDATE messages to distributes route target extended communities between routers. The use of UPDATE messages allows BGP to use its standard loop detection mechanisms, path selection, policy support, and database exchange implementation.