When running debug mode in vscode with "console" set to "integratedTerminal" in launch.json, I had "timed out ~ " issue. Switching "console" to internalConsole resolves the issue but this usues DEBUG CONSOLE (and doesn't output tqdm progress I think?"
Adding "python.terminal.activateEnvironment": false in settings.json didn't help
Solution: add "terminal.integrated.inheritEnv": false to settings.json.
This will use Python Debug Console and outputs the progress.