If looking correctly, I know this line you have: ENV PYTHONPATH "/"

usually the syntax for it is: ENV <key>=<value> or for an example: ENV PythonPath="/" if not that WORKDIR is definitely suspicious with using VS code. Is this on Windows? See if you can't remove the image and try rebuilding this. If that doesn't work, try commenting out the pip install line, remove the image, and make a fresh one and try the build again and show us the error.

could just be something with syntax or a bad image build.