diff --git a/pyproject.toml b/pyproject.toml
index 0fb5c927fe3..470099ca17e 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -202,7 +202,7 @@ requires-dist = []
 
 [[tool.uv.dependency-metadata]]
 name = "transformer-engine"
-version = "2.16.0+4220403e"
+version = "2.17.0+2e559f06"
 requires-dist = [
     # Cap below 2.14: pydantic 2.14 breaks langchain_core's module-level
     # RunnablePassthrough() instantiation, which is imported transitively in
@@ -227,7 +227,7 @@ requires-dist = ["torch", "packaging", "ninja"]
 flash_mla = [
     { git = "https://github.com/deepseek-ai/FlashMLA", rev = "nv_dev" },
 ]
-transformer-engine = { git = "https://github.com/NVIDIA/TransformerEngine.git", rev = "b9d690e042b1c4e455214e7dab65d6d3512c05d6" }
+transformer-engine = { git = "https://github.com/NVIDIA/TransformerEngine.git", rev = "2e559f062497bef768dfbe9d7e45548fadeca80a" }
 nemo-run = { git = "https://github.com/NVIDIA-NeMo/Run.git", rev = "17ae86b64d7f75653351664f5d8c9e466faede00" }
 emerging_optimizers = { git = "https://github.com/NVIDIA-NeMo/Emerging-Optimizers.git", rev = "v0.2.0" }
 fast-hadamard-transform = { git = "https://github.com/Dao-AILab/fast-hadamard-transform.git", rev = "f134af63deb2df17e1171a9ec1ea4a7d8604d5ca" }
diff --git a/uv.lock b/uv.lock
index f7c09e7b472..2c39a56ab86 100644
--- a/uv.lock
+++ b/uv.lock
@@ -31,7 +31,7 @@ version = "1.0.0+9edee0c"
 
 [[manifest.dependency-metadata]]
 name = "transformer-engine"
-version = "2.16.0+4220403e"
+version = "2.17.0+2e559f06"
 requires-dist = ["pydantic<2.14", "importlib-metadata>=1.0", "packaging", "torch>=2.1", "einops", "onnxscript", "onnx", "nvdlfw-inspect"]
 
 [[package]]
@@ -2320,7 +2320,7 @@ requires-dist = [
     { name = "tiktoken", marker = "extra == 'training'" },
     { name = "torch", specifier = ">=2.6.0" },
     { name = "tqdm", marker = "extra == 'dev'" },
-    { name = "transformer-engine", extras = ["core-cu13", "pytorch"], marker = "extra == 'te'", git = "https://github.com/NVIDIA/TransformerEngine.git?rev=b9d690e042b1c4e455214e7dab65d6d3512c05d6" },
+    { name = "transformer-engine", extras = ["core-cu13", "pytorch"], marker = "extra == 'te'", git = "https://github.com/NVIDIA/TransformerEngine.git?rev=2e559f062497bef768dfbe9d7e45548fadeca80a" },
     { name = "transformers", marker = "extra == 'mlm'" },
     { name = "transformers", marker = "extra == 'training'" },
     { name = "wandb", marker = "extra == 'mlm'" },
@@ -5196,8 +5196,8 @@ wheels = [
 
 [[package]]
 name = "transformer-engine"
-version = "2.16.0+4220403e"
-source = { git = "https://github.com/NVIDIA/TransformerEngine.git?rev=b9d690e042b1c4e455214e7dab65d6d3512c05d6#b9d690e042b1c4e455214e7dab65d6d3512c05d6" }
+version = "2.17.0+2e559f06"
+source = { git = "https://github.com/NVIDIA/TransformerEngine.git?rev=2e559f062497bef768dfbe9d7e45548fadeca80a#2e559f062497bef768dfbe9d7e45548fadeca80a" }
 dependencies = [
     { name = "einops" },
     { name = "importlib-metadata" },