diff --git a/packages/server/src/server/agent/providers/pi/agent.test.ts b/packages/server/src/server/agent/providers/pi/agent.test.ts
index c6384e1fa2..927a9defd2 100644
--- a/packages/server/src/server/agent/providers/pi/agent.test.ts
+++ b/packages/server/src/server/agent/providers/pi/agent.test.ts
@@ -1943,6 +1943,48 @@ describe("PiRpcAgentSession", () => {
     expect(session.describePersistence()?.metadata?.thinkingOptionId).toBe("off");
   });
 
+  test.each(["high", "off", "max"] as const)(
+    "publishes an extension's thinking change to %s before refreshing state",
+    async (level) => {
+      const { pi, session } = await createSession();
+      onTestFinished(() => session.close());
+      const changes: AgentStreamEvent[] = [];
+      session.subscribe((event) => {
+        if (event.type === "thinking_option_changed") {
+          expect(session.describePersistence()?.metadata?.thinkingOptionId).toBe(level);
+          changes.push(event);
+        }
+      });
+      const runtime = pi.latestSession();
+      runtime.state = { ...runtime.state, thinkingLevel: level };
+      runtime.emit({ type: "thinking_level_changed", level });
+
+      expect(changes).toEqual([
+        { type: "thinking_option_changed", provider: "pi", thinkingOptionId: level },
+      ]);
+      expect(session.describePersistence()?.metadata?.thinkingOptionId).toBe(level);
+      await expect(session.getRuntimeInfo()).resolves.toMatchObject({ thinkingOptionId: level });
+    },
+  );
+
+  test.each([undefined, null, "invalid", 123])(
+    "ignores a thinking change with invalid level %s",
+    async (level) => {
+      const { pi, session } = await createSession();
+      onTestFinished(() => session.close());
+      const initialThinking = session.describePersistence()?.metadata?.thinkingOptionId;
+      const changes: AgentStreamEvent[] = [];
+      session.subscribe((event) => {
+        if (event.type === "thinking_option_changed") changes.push(event);
+      });
+
+      pi.latestSession().emit({ type: "thinking_level_changed", level });
+
+      expect(changes).toEqual([]);
+      expect(session.describePersistence()?.metadata?.thinkingOptionId).toBe(initialThinking);
+    },
+  );
+
   test("surfaces state refresh failures after a Pi thinking update", async () => {
     const { pi, session } = await createSession();
     onTestFinished(() => session.close());
diff --git a/packages/server/src/server/agent/providers/pi/agent.ts b/packages/server/src/server/agent/providers/pi/agent.ts
index 38a1f9815f..146b56b36f 100644
--- a/packages/server/src/server/agent/providers/pi/agent.ts
+++ b/packages/server/src/server/agent/providers/pi/agent.ts
@@ -1005,6 +1005,8 @@ function isProcessExitEvent(
 
 function isPiAgentSessionEvent(event: PiRuntimeEvent): event is PiAgentSessionEvent {
   switch (event.type) {
+    case "thinking_level_changed":
+      return typeof event.level === "string" && normalizePiThinkingOption(event.level) !== null;
     case "agent_start":
     case "turn_start":
     case "message_start":
@@ -2136,6 +2138,15 @@ export class PiRpcAgentSession implements AgentSession {
     }
 
     switch (event.type) {
+      case "thinking_level_changed":
+        this.state = { ...this.state, thinkingLevel: event.level };
+        this.config.thinkingOptionId = event.level;
+        this.emit({
+          type: "thinking_option_changed",
+          provider: this.provider,
+          thinkingOptionId: event.level,
+        });
+        return;
       case "agent_start":
         this.activeTurnStarted = true;
         this.clearNoTurnBuffers();
diff --git a/packages/server/src/server/agent/providers/pi/rpc-types.ts b/packages/server/src/server/agent/providers/pi/rpc-types.ts
index cfa09daeb6..3e488c028c 100644
--- a/packages/server/src/server/agent/providers/pi/rpc-types.ts
+++ b/packages/server/src/server/agent/providers/pi/rpc-types.ts
@@ -160,6 +160,7 @@ export type PiAssistantMessageEvent =
   | { type: "start" | "text_start" | "text_end" | "thinking_start" | "thinking_end" | "done" };
 
 export type PiAgentSessionEvent =
+  | { type: "thinking_level_changed"; level: PiThinkingLevel }
   | { type: "agent_start" }
   | { type: "turn_start" }
   | { type: "message_start"; message: PiAgentMessage }