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Firewalls are attached to networks and VMs are created in a network. So they get the firewall of the network into which they are created.

<https://www.pulumi.com/registry/packages/gcp/api-docs/compute/firewall/>

Can I not create and put firewall policies at vm level ?

Nope. Not how GCP works. <https://cloud.google.com/compute/docs/reference/rest/v1/instances> . Firewalls come with the network.