diff --git a/workspaces/ballerina/ballerina-side-panel/package.json b/workspaces/ballerina/ballerina-side-panel/package.json
index 495a762b3e2..70414674343 100644
--- a/workspaces/ballerina/ballerina-side-panel/package.json
+++ b/workspaces/ballerina/ballerina-side-panel/package.json
@@ -9,6 +9,7 @@
     "types": "lib/index.d.ts",
     "scripts": {
         "build": "tsc --pretty && npm run copy:assets",
+        "test": "npm run build && node --disable-warning=MODULE_TYPELESS_PACKAGE_JSON --test test/typeCompletionUtils.test.mjs",
         "storybook": "start-storybook -p 6006",
         "watch": "tsc --pretty --watch",
         "build-storybook": "build-storybook",
diff --git a/workspaces/ballerina/ballerina-side-panel/src/components/editors/index.ts b/workspaces/ballerina/ballerina-side-panel/src/components/editors/index.ts
index 27aa30c3e6e..475aa40d286 100644
--- a/workspaces/ballerina/ballerina-side-panel/src/components/editors/index.ts
+++ b/workspaces/ballerina/ballerina-side-panel/src/components/editors/index.ts
@@ -31,5 +31,6 @@ export * from "./SliderEditor";
 export * from "./MultiModeExpressionEditor/ChipExpressionEditor/components/ChipExpressionEditor";
 export * from "./MultiModeExpressionEditor/Configurations";
 export { getPropertyFromFormField } from "./utils";
+export { getTypeCompletionSearchText } from "./typeCompletionUtils";
 export { InputMode } from "./MultiModeExpressionEditor/ChipExpressionEditor/types";
 export { ExpandedEditor } from "./ExpandedEditor";
diff --git a/workspaces/ballerina/ballerina-side-panel/src/components/editors/typeCompletionUtils.ts b/workspaces/ballerina/ballerina-side-panel/src/components/editors/typeCompletionUtils.ts
new file mode 100644
index 00000000000..2c6b52a03c9
--- /dev/null
+++ b/workspaces/ballerina/ballerina-side-panel/src/components/editors/typeCompletionUtils.ts
@@ -0,0 +1,26 @@
+/**
+ * Copyright (c) 2026, WSO2 LLC. (https://www.wso2.com) All Rights Reserved.
+ *
+ * WSO2 LLC. licenses this file to you under the Apache License,
+ * Version 2.0 (the "License"); you may not use this file except
+ * in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing,
+ * software distributed under the License is distributed on an
+ * "AS IS" BASIS, WITHOUT WARRANTIES OR CONDITIONS OF ANY
+ * KIND, either express or implied. See the License for the
+ * specific language governing permissions and limitations
+ * under the License.
+ */
+
+// Use only the active union member as the completion filter text.
+// This is intentionally a delimiter-based heuristic, not a full type parser.
+export function getTypeCompletionSearchText(value: string, cursorPosition: number): string {
+    const textBeforeCursor = value.slice(0, cursorPosition);
+    const activeUnionMember = textBeforeCursor.split('|').pop();
+
+    return activeUnionMember?.trim() ?? "";
+}
diff --git a/workspaces/ballerina/ballerina-side-panel/test/typeCompletionUtils.test.mjs b/workspaces/ballerina/ballerina-side-panel/test/typeCompletionUtils.test.mjs
new file mode 100644
index 00000000000..bb5fc65c018
--- /dev/null
+++ b/workspaces/ballerina/ballerina-side-panel/test/typeCompletionUtils.test.mjs
@@ -0,0 +1,40 @@
+import test from "node:test";
+import assert from "node:assert/strict";
+
+import { getTypeCompletionSearchText } from "../lib/components/editors/typeCompletionUtils.js";
+
+test("getTypeCompletionSearchText returns full text for a single type", () => {
+    assert.equal(getTypeCompletionSearchText("string", 6), "string");
+});
+
+test("getTypeCompletionSearchText resets search text after union delimiter", () => {
+    assert.equal(getTypeCompletionSearchText("int|", 4), "");
+});
+
+test("getTypeCompletionSearchText returns active union member", () => {
+    assert.equal(getTypeCompletionSearchText("int|str", 7), "str");
+});
+
+test("getTypeCompletionSearchText trims spaces around active union member", () => {
+    assert.equal(getTypeCompletionSearchText("int | str", 9), "str");
+});
+
+test("getTypeCompletionSearchText returns empty when cursor is immediately after the delimiter", () => {
+    assert.equal(getTypeCompletionSearchText("int|string", 4), "");
+});
+
+test("getTypeCompletionSearchText returns empty for empty input", () => {
+    assert.equal(getTypeCompletionSearchText("", 0), "");
+});
+
+test("getTypeCompletionSearchText returns empty when cursor is at start", () => {
+    assert.equal(getTypeCompletionSearchText("int", 0), "");
+});
+
+test("getTypeCompletionSearchText returns last member of multi-member union", () => {
+    assert.equal(getTypeCompletionSearchText("int|float|str", 13), "str");
+});
+
+test("getTypeCompletionSearchText returns active prefix when cursor is mid-member", () => {
+    assert.equal(getTypeCompletionSearchText("int|string", 7), "str");
+});
diff --git a/workspaces/ballerina/ballerina-visualizer/src/views/BI/Forms/ArtifactForm/index.tsx b/workspaces/ballerina/ballerina-visualizer/src/views/BI/Forms/ArtifactForm/index.tsx
index 868ff7e7a33..d5254ec8fba 100644
--- a/workspaces/ballerina/ballerina-visualizer/src/views/BI/Forms/ArtifactForm/index.tsx
+++ b/workspaces/ballerina/ballerina-visualizer/src/views/BI/Forms/ArtifactForm/index.tsx
@@ -49,7 +49,8 @@ import {
     FormExpressionEditorProps,
     FormImports,
     HelperpaneOnChangeOptions,
-    InputMode
+    InputMode,
+    getTypeCompletionSearchText
 } from "@wso2/ballerina-side-panel";
 import { useRpcContext } from "@wso2/ballerina-rpc-client";
 import { CompletionItem, FormExpressionEditorRef, HelperPaneHeight, Overlay, ThemeColors } from "@wso2/ui-toolkit";
@@ -623,7 +624,7 @@ export function ArtifactForm(props: ArtifactFormProps) {
                 setTypes(visibleTypes);
 
                 if (!fetchReferenceTypes) {
-                    const effectiveText = value.slice(0, cursorPosition);
+                    const effectiveText = getTypeCompletionSearchText(value, cursorPosition);
                     let filteredTypes = visibleTypes.filter((type) => {
                         const lowerCaseText = effectiveText.toLowerCase();
                         const lowerCaseLabel = type.label.toLowerCase();
diff --git a/workspaces/ballerina/ballerina-visualizer/src/views/BI/Forms/FlowNodeForm/index.tsx b/workspaces/ballerina/ballerina-visualizer/src/views/BI/Forms/FlowNodeForm/index.tsx
index 118d5b93f03..380b1088b9b 100644
--- a/workspaces/ballerina/ballerina-visualizer/src/views/BI/Forms/FlowNodeForm/index.tsx
+++ b/workspaces/ballerina/ballerina-visualizer/src/views/BI/Forms/FlowNodeForm/index.tsx
@@ -58,6 +58,7 @@ import {
     HelperpaneOnChangeOptions,
     InputMode,
     ExpressionEditorDevantProps,
+    getTypeCompletionSearchText,
 } from "@wso2/ballerina-side-panel";
 import { useRpcContext } from "@wso2/ballerina-rpc-client";
 import {
@@ -924,7 +925,7 @@ export const FlowNodeForm = forwardRef<FormExpressionEditorRef, FlowNodeFormProp
                 }
 
                 if (!fetchReferenceTypes) {
-                    const effectiveText = value.slice(0, cursorPosition);
+                    const effectiveText = getTypeCompletionSearchText(value, cursorPosition);
                     let filteredTypes = visibleTypes.filter((type) => {
                         const lowerCaseText = effectiveText.toLowerCase();
                         const lowerCaseLabel = type.label.toLowerCase();