diff --git a/src/main/runtime/terminal-ansi-normalization.ts b/src/main/runtime/terminal-ansi-normalization.ts
index 253f6c2d8f5..7877940e8bb 100644
--- a/src/main/runtime/terminal-ansi-normalization.ts
+++ b/src/main/runtime/terminal-ansi-normalization.ts
@@ -138,6 +138,11 @@ export function normalizeTerminalChunk(
       textStart = index + 1
       continue
     }
+    if (code === 0x0d && index + 1 === combined.length) {
+      // A final CR may be half of CRLF; keep the painted row until the next byte decides.
+      appendTerminalNormalizedSpan(parts, combined, textStart, index)
+      return { text: parts.join(''), pendingAnsi: '\r' }
+    }
     if (code === 0x0d && combined.charCodeAt(index + 1) === 0x0a) {
       // CRLF keeps only its LF, which starts the next span.
       appendTerminalNormalizedSpan(parts, combined, textStart, index)
diff --git a/src/main/runtime/terminal-tail-crlf.test.ts b/src/main/runtime/terminal-tail-crlf.test.ts
new file mode 100644
index 00000000000..09be61337d1
--- /dev/null
+++ b/src/main/runtime/terminal-tail-crlf.test.ts
@@ -0,0 +1,118 @@
+import { describe, expect, it } from 'vitest'
+import { normalizeTerminalChunk } from './terminal-ansi-normalization'
+import { appendNormalizedToTailBuffer } from './terminal-tail-buffer'
+import type { RetainedTailRedrawCursor } from './terminal-tail-redraw-buffer'
+import { MAX_TAIL_PARTIAL_CHARS } from './terminal-tail-limits'
+import { readPtyTail, runtimeWithLeaf } from './orca-runtime-pty-leaf.test-fixture'
+
+function ingestChunks(chunks: string[]) {
+  let lines: string[] = []
+  let partialLine = ''
+  let pendingAnsi = ''
+  let redrawCursor: RetainedTailRedrawCursor | null = null
+  let completeLines = 0
+  const completed: string[] = []
+  for (const chunk of chunks) {
+    const normalized = normalizeTerminalChunk(chunk, pendingAnsi)
+    pendingAnsi = normalized.pendingAnsi
+    const next = appendNormalizedToTailBuffer(lines, partialLine, normalized.text, redrawCursor)
+    lines = next.lines
+    partialLine = next.partialLine
+    redrawCursor = next.redrawCursor
+    completeLines += next.newCompleteLines
+    completed.push(...next.newlyCompletedLines)
+    expect(next.truncated).toBe(false)
+  }
+  return { lines, partialLine, pendingAnsi, completeLines, completed }
+}
+
+describe('terminal tail CRLF chunk boundaries', () => {
+  it('retains the reported base64 line when CR and LF arrive separately', () => {
+    expect(ingestChunks(['QUJDRA==\r', '\n'])).toEqual({
+      lines: ['QUJDRA=='],
+      partialLine: '',
+      pendingAnsi: '',
+      completeLines: 1,
+      completed: ['QUJDRA==']
+    })
+  })
+
+  it('retains content and line counts at every boundary, including empty chunks', () => {
+    const output = '\r\nfirst\r\n\r\nsecond\r\nlast'
+    const expected = ingestChunks([output])
+    for (let boundary = 0; boundary <= output.length; boundary += 1) {
+      expect(ingestChunks([output.slice(0, boundary), '', output.slice(boundary)])).toEqual(
+        expected
+      )
+    }
+    expect(ingestChunks([...output])).toEqual(expected)
+  })
+
+  it.each([
+    [['old\r', '', 'new\n'], ['new']],
+    [['old\r', '\r', 'new\r', '\n'], ['new']],
+    [['old\r', '\r\n'], ['']],
+    [['old\r', '\x1b[', '2Knew\r', '\n'], ['new']],
+    [['\x1b[31', 'mQUJDRA==\r', '\n\x1b[0m'], ['QUJDRA==']],
+    [
+      ['row one\nrow two\n', '\x1b[1A\x1b[2Kchanged\r', '\n'],
+      ['row one', 'changed']
+    ]
+  ])('preserves standalone redraw and ANSI handling for %j', (chunks, expected) => {
+    expect(ingestChunks(chunks).lines).toEqual(expected)
+  })
+
+  it('keeps partial retention bounded while a final CR is pending', () => {
+    const normalized = normalizeTerminalChunk(`${'x'.repeat(MAX_TAIL_PARTIAL_CHARS * 2)}\r`)
+    const partial = appendNormalizedToTailBuffer([], '', normalized.text)
+    expect(partial.partialLine).toHaveLength(MAX_TAIL_PARTIAL_CHARS)
+    expect(partial.truncated).toBe(true)
+    expect(normalized.pendingAnsi).toBe('\r')
+    const newline = normalizeTerminalChunk('\n', normalized.pendingAnsi)
+    const completed = appendNormalizedToTailBuffer(partial.lines, partial.partialLine, newline.text)
+    expect(completed.lines).toEqual(['x'.repeat(MAX_TAIL_PARTIAL_CHARS)])
+    expect(completed.newCompleteLines).toBe(1)
+    expect(newline.pendingAnsi).toBe('')
+  })
+
+  it('retains the last painted content if output ends with a lone CR', () => {
+    const tail = ingestChunks(['last output\r', '', ''])
+    expect(tail.partialLine).toBe('last output')
+    expect(tail.pendingAnsi).toBe('\r')
+    expect(tail.completeLines).toBe(0)
+  })
+
+  it.each([false, true])(
+    'updates PTY and leaf transcripts when leaf diverged=%s',
+    async (diverged) => {
+      const ptyId = `pty-crlf-${diverged}`
+      const { runtime, leaf } = runtimeWithLeaf(ptyId)
+      if (diverged) {
+        leaf.tailBuffer = ['leaf history']
+        leaf.tailLinesTotal = 1
+      }
+      try {
+        runtime.onPtyData(ptyId, 'QUJDRA==\r', 1)
+        runtime.onPtyData(ptyId, '', 2)
+        runtime.onPtyData(ptyId, '\n', 3)
+        expect(readPtyTail(runtime, ptyId)).toEqual(['QUJDRA=='])
+        expect(leaf.tailBuffer.at(-1)).toBe('QUJDRA==')
+        expect(leaf.tailTranscriptBuffer).toEqual(['QUJDRA=='])
+        expect(leaf.tailLinesTotal).toBe(diverged ? 2 : 1)
+        expect(leaf.tailPendingAnsi).toBe('')
+        expect(leaf.tailTruncated).toBe(false)
+      } finally {
+        await runtime.onPtyExit(ptyId, 0)
+      }
+    }
+  )
+
+  it('does not erase the final partial line on process exit', async () => {
+    const ptyId = 'pty-crlf-exit'
+    const { runtime, leaf } = runtimeWithLeaf(ptyId)
+    runtime.onPtyData(ptyId, 'last output\r', 1)
+    await runtime.onPtyExit(ptyId, 0)
+    expect(leaf.tailPartialLine).toBe('last output')
+    expect(leaf.tailLinesTotal).toBe(0)
+  })
+})