Hi,
I'm not so much aware of Azure cloud, but know AWS. In AWS case, if you have SD-WAN routers in cloud, below are the options:
1) Deploy C8K in Transit VPC and do S2S to host VPCs (not scalable option if you have lots of host VPCs)
2) Deploy C8k in Transit VPC and connect VPC to Transit gateway as VPC attachment or using S2S to it
3) Deploy C8k in Transit VPC and connect VPC to Transit gateway as connect attachment
Similar options should be available in Azure.
Regarding how to route traffic, you need to advertise subnets from both routers but put higher OMP preference for Region_A router so it will be preferred when it is online and advertise respective route.
Noting Cloud onramp for IaaS (Azure case) document:
https://www.cisco.com/c/en/us/td/docs/solutions/CVD/SDWAN/Cisco_Cloud_onRamp_for_Multi-Cloud_Azure_Version2.html
HTH,
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