diff --git a/pyproject.toml b/pyproject.toml
index 3fc90a9..2361913 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -29,6 +29,7 @@ client = ["httpx[http2]"]
 adk = ["google-adk>=1.20.0"]
 openai = ["openai-agents>=0.6.1"]
 pydantic_ai = ["pydantic-ai-slim>=1.68.0"]
+tracing = ["opentelemetry-api>=1.36.0"]
 
 [build-system]
 requires = ["maturin>=1.6,<2.0"]
diff --git a/python/restate/ext/adk/summarizer.py b/python/restate/ext/adk/summarizer.py
index c50f17a..73ed47e 100644
--- a/python/restate/ext/adk/summarizer.py
+++ b/python/restate/ext/adk/summarizer.py
@@ -67,17 +67,14 @@ def from_summarizer(
         """Create a RestateEventSummarizer wrapping a custom summarizer."""
         return RestateEventSummarizer(summarizer, max_retries=max_retries)
 
-    async def maybe_summarize_events(
-        self, *, events: list[Event]
-    ) -> Optional[Event]:
+    async def maybe_summarize_events(self, *, events: list[Event]) -> Optional[Event]:
         if not events:
             return None
 
         ctx = current_context()
         if ctx is None:
             raise RuntimeError(
-                "No Restate context found. "
-                "RestateEventSummarizer must be used from within a Restate handler."
+                "No Restate context found. RestateEventSummarizer must be used from within a Restate handler."
             )
 
         inner = self._inner
@@ -92,4 +89,4 @@ async def call_inner() -> Optional[Event]:
                 max_attempts=self._max_retries,
                 initial_retry_interval=timedelta(seconds=1),
             ),
-        )
\ No newline at end of file
+        )
diff --git a/python/restate/ext/pydantic/__init__.py b/python/restate/ext/pydantic/__init__.py
index 76d633d..2b16785 100644
--- a/python/restate/ext/pydantic/__init__.py
+++ b/python/restate/ext/pydantic/__init__.py
@@ -8,6 +8,7 @@
 from ._serde import PydanticTypeAdapter
 from ._toolset import RestateContextRunToolSet
 
+
 def restate_object_context() -> ObjectContext:
     """Get the current Restate ObjectContext."""
     ctx = current_context()
diff --git a/python/restate/ext/tracing/__init__.py b/python/restate/ext/tracing/__init__.py
new file mode 100644
index 0000000..16b8df3
--- /dev/null
+++ b/python/restate/ext/tracing/__init__.py
@@ -0,0 +1,3 @@
+from ._tracing import RestateTracer, RestateTracerProvider
+
+__all__ = ["RestateTracer", "RestateTracerProvider"]
diff --git a/python/restate/ext/tracing/_tracing.py b/python/restate/ext/tracing/_tracing.py
new file mode 100644
index 0000000..b272185
--- /dev/null
+++ b/python/restate/ext/tracing/_tracing.py
@@ -0,0 +1,146 @@
+"""Restate OTEL tracer wrapper that flattens all spans under the Restate trace.
+
+Wraps any tracer so that every span — regardless of framework nesting — becomes a
+direct child of the Restate invocation trace.  Works transparently with any
+OTEL-integrated agent framework (Google ADK, Pydantic AI, OpenAI Agents, etc.).
+
+Usage:
+    tracer = RestateTracer(trace_api.get_tracer("my-tracer"))
+    # All spans created by this tracer are flat children of the Restate trace.
+"""
+
+from opentelemetry.trace import INVALID_SPAN, use_span, Tracer, TracerProvider
+from opentelemetry.trace.propagation.tracecontext import TraceContextTextMapPropagator
+from restate.server_context import (
+    current_context,
+    get_extension_data,
+    set_extension_data,
+    restate_context_is_replaying,
+)
+
+_propagator = TraceContextTextMapPropagator()
+_EXTENSION_KEY = "otel_span_cleanup"
+
+
+class _SpanCleanup:
+    """Stored as Restate extension data.  ``__close__`` is called automatically
+    when the Restate invocation context is torn down, ending any spans that
+    were never properly closed (e.g. because the handler raised)."""
+
+    def __init__(self):
+        self._spans = []
+
+    def track(self, span):
+        self._spans.append(span)
+
+    def __close__(self):
+        for span in self._spans:
+            if span.is_recording():
+                span.end()
+        self._spans.clear()
+
+
+class RestateTracer(Tracer):
+    """Wraps a ``Tracer`` to always parent spans under the Restate root context.
+
+    During Restate replay, returns no-op spans to avoid duplicates."""
+
+    def __init__(self, tracer):
+        self._tracer = tracer
+
+    @staticmethod
+    def _get_root_context():
+        """Extract the Restate trace parent from the current handler, or None."""
+        ctx = current_context()
+        if ctx is None:
+            raise Exception("You are not in a Restate handler")
+        return _propagator.extract(ctx.request().attempt_headers)
+
+    def start_span(
+        self,
+        name,
+        context=None,
+        kind=None,
+        attributes=None,
+        links=None,
+        start_time=None,
+        record_exception=True,
+        set_status_on_exception=True,
+    ):
+        if restate_context_is_replaying.get(False):
+            return INVALID_SPAN
+        root = self._get_root_context()
+        if root is not None:
+            context = root
+        span = self._tracer.start_span(
+            name,
+            context=context,
+            kind=kind,
+            attributes=attributes,
+            links=links,
+            start_time=start_time,
+            record_exception=record_exception,
+            set_status_on_exception=set_status_on_exception,
+        )
+        self._track_span(span)
+        return span
+
+    def start_as_current_span(
+        self,
+        name,
+        context=None,
+        kind=None,
+        attributes=None,
+        links=None,
+        start_time=None,
+        record_exception=True,
+        set_status_on_exception=True,
+        end_on_exit=True,
+    ):
+        if restate_context_is_replaying.get(False):
+            return use_span(INVALID_SPAN, end_on_exit=False)
+        root = self._get_root_context()
+        if root is not None:
+            context = root
+        return self._tracer.start_as_current_span(
+            name,
+            context=context,
+            kind=kind,
+            attributes=attributes,
+            links=links,
+            start_time=start_time,
+            record_exception=record_exception,
+            set_status_on_exception=set_status_on_exception,
+            end_on_exit=end_on_exit,
+        )
+
+    @staticmethod
+    def _track_span(span):
+        """Register a span for cleanup when the Restate invocation ends."""
+        ctx = current_context()
+        if ctx is None:
+            return
+        cleanup = get_extension_data(ctx, _EXTENSION_KEY)
+        if cleanup is None:
+            cleanup = _SpanCleanup()
+            set_extension_data(ctx, _EXTENSION_KEY, cleanup)
+        cleanup.track(span)
+
+    def __getattr__(self, name):
+        return getattr(self._tracer, name)
+
+
+class RestateTracerProvider(TracerProvider):
+    """Wraps a ``TracerProvider`` to return ``RestateTracer`` instances.
+
+    Pass this to instrumentors (e.g. ``GoogleADKInstrumentor``) so that every
+    span they create is automatically parented under the Restate invocation."""
+
+    def __init__(self, provider):
+        self._provider = provider
+
+    def get_tracer(self, *args, **kwargs):
+        return RestateTracer(self._provider.get_tracer(*args, **kwargs))
+
+    def __getattr__(self, name):
+        return getattr(self._provider, name)
diff --git a/uv.lock b/uv.lock
index a5a2389..8b3e41c 100644
--- a/uv.lock
+++ b/uv.lock
@@ -983,6 +983,7 @@ wheels = [
 name = "griffelib"
 version = "2.0.0"
 source = { registry = "https://pypi.org/simple" }
+sdist = { url = "https://files.pythonhosted.org/packages/ad/06/eccbd311c9e2b3ca45dbc063b93134c57a1ccc7607c5e545264ad092c4a9/griffelib-2.0.0.tar.gz", hash = "sha256:e504d637a089f5cab9b5daf18f7645970509bf4f53eda8d79ed71cce8bd97934", size = 166312, upload-time = "2026-03-23T21:06:55.954Z" }
 wheels = [
     { url = "https://files.pythonhosted.org/packages/4d/51/c936033e16d12b627ea334aaaaf42229c37620d0f15593456ab69ab48161/griffelib-2.0.0-py3-none-any.whl", hash = "sha256:01284878c966508b6d6f1dbff9b6fa607bc062d8261c5c7253cb285b06422a7f", size = 142004, upload-time = "2026-02-09T19:09:40.561Z" },
 ]
@@ -2512,6 +2513,9 @@ test = [
     { name = "hypercorn" },
     { name = "pytest" },
 ]
+tracing = [
+    { name = "opentelemetry-api" },
+]
 
 [package.metadata]
 requires-dist = [
@@ -2525,6 +2529,7 @@ requires-dist = [
     { name = "msgspec", marker = "extra == 'serde'" },
     { name = "mypy", marker = "extra == 'lint'", specifier = ">=1.11.2" },
     { name = "openai-agents", marker = "extra == 'openai'", specifier = ">=0.6.1" },
+    { name = "opentelemetry-api", marker = "extra == 'tracing'", specifier = ">=1.36.0" },
     { name = "pydantic", marker = "extra == 'serde'" },
     { name = "pydantic-ai-slim", marker = "extra == 'pydantic-ai'", specifier = ">=1.68.0" },
     { name = "pyright", marker = "extra == 'lint'", specifier = ">=1.1.390" },
@@ -2532,7 +2537,7 @@ requires-dist = [
     { name = "ruff", marker = "extra == 'lint'", specifier = ">=0.6.9" },
     { name = "testcontainers", marker = "extra == 'harness'" },
 ]
-provides-extras = ["adk", "client", "harness", "lint", "openai", "pydantic-ai", "serde", "test"]
+provides-extras = ["adk", "client", "harness", "lint", "openai", "pydantic-ai", "serde", "test", "tracing"]
 
 [[package]]
 name = "rpds-py"