How can I create a C2 VM on GCP?

My hypothesis is your CPUs (All Regions) quota is set to zero. If this is the case, maybe your usage history is very limited and as such the request might not be able to be accepted at the moment.

Please check this document and check your CPU (All Regions) quota.

You may need to delete existing instances before you can launch new instances.

Although I believe you know how to request for increasing the quotas, here is the link about it.