diff --git a/.github/scripts/generate_release_notes.py b/.github/scripts/generate_release_notes.py
new file mode 100644
index 0000000000..8e20f07b84
--- /dev/null
+++ b/.github/scripts/generate_release_notes.py
@@ -0,0 +1,205 @@
+# Copyright (C) 2019 Intel Corporation.  All rights reserved.
+# SPDX-License-Identifier: Apache-2.0 WITH LLVM-exception
+
+# get the last release tag from git, and use it to find all merged PRs since
+# that tag. Since their titles might not following the same format, we use
+# gh cli to search merged PR by commit SHA.
+#
+# Once having those PRs' information, extract their titles, labels and PR
+# numbers and classify them into break changes, new features, enhancements,
+# bug fixes, and others based on their labels.
+#
+# The release version is generated based on the last release tag.  The tag
+# should be in the format of "WAMR-major.minor.patch", where major, minor,
+# and patch are numbers. If there is new feature in merged PRs, the minor
+# version should be increased by 1, and the patch version should be reset to 0.
+# If there is no new feature, the patch version should be increased by 1.
+#
+# new content should be inserted into the beginning of the RELEASE_NOTES.md file.
+# in a form like:
+#
+# ``` markdown
+# ## WAMR-major.minor.patch
+#
+# ### Breaking Changes
+#
+# ### New Features
+#
+# ### Bug Fixes
+#
+# ### Enhancements
+#
+# ### Others
+# ```
+# The path of RELEASE_NOTES.md is passed in as an command line argument.
+
+import json
+import os
+import subprocess
+import sys
+
+
+def run_cmd(cmd):
+    result = subprocess.run(
+        cmd, shell=True, stdout=subprocess.PIPE, stderr=subprocess.PIPE, text=True
+    )
+    if result.returncode != 0:
+        print(f"Error running command: {cmd}\n{result.stderr}")
+        sys.exit(1)
+    return result.stdout.strip()
+
+
+def get_last_release_tag():
+    tags = run_cmd("git tag --sort=-creatordate").splitlines()
+    for tag in tags:
+        if tag.startswith("WAMR-"):
+            return tag
+    return None
+
+
+def get_merged_prs_since(tag):
+    # Get commits  since the last release tag
+    log_cmd = f'git log {tag}..HEAD --pretty=format:"%s %H"'
+    logs = run_cmd(log_cmd).splitlines()
+
+    print(f"Found {len(logs)} merge commits since last tag '{tag}'.")
+
+    pr_numbers = []
+    for line in logs:
+        _, sha = line.rsplit(" ", 1)
+        # Use SHA to find merged PRs
+        pr_cmd = f"gh pr list --search {sha} --state merged --json number,title"
+        pr_json = run_cmd(pr_cmd)
+        pr_data = json.loads(pr_json)
+
+        for pr in pr_data:
+            pr_number = pr.get("number")
+            print(f"Found PR #{pr_number} {pr['title']}")
+            if pr_number and pr_number not in pr_numbers:
+                pr_numbers.append(f"{pr_number}")
+
+    return pr_numbers
+
+
+def get_pr_info(pr_number):
+    # Use GitHub CLI to get PR info
+    pr_json = run_cmd(f"gh pr view {pr_number} --json title,labels,url")
+    pr_data = json.loads(pr_json)
+    title = pr_data.get("title", "")
+    labels = [label["name"] for label in pr_data.get("labels", [])]
+    url = pr_data.get("url", "")
+    return title, labels, url
+
+
+def classify_pr(title, labels, url):
+    entry = f"- {title} (#{url.split('/')[-1]})"
+    if "breaking-change" in labels:
+        return "Breaking Changes", entry
+    elif "new feature" in labels:
+        return "New Features", entry
+    elif "enhancement" in labels:
+        return "Enhancements", entry
+    elif "bug-fix" in labels:
+        return "Bug Fixes", entry
+    else:
+        return "Others", entry
+
+
+def generate_release_notes(pr_numbers):
+    sections = {
+        "Breaking Changes": [],
+        "New Features": [],
+        "Bug Fixes": [],
+        "Enhancements": [],
+        "Others": [],
+    }
+    for pr_num in pr_numbers:
+        title, labels, url = get_pr_info(pr_num)
+        section, entry = classify_pr(title, labels, url)
+        sections[section].append(entry)
+    return sections
+
+
+def generate_version_string(last_tag, sections):
+    last_tag_parts = last_tag.split("-")[-1]
+    major, minor, patch = map(int, last_tag_parts.split("."))
+
+    if sections["New Features"]:
+        minor += 1
+        patch = 0
+    else:
+        patch += 1
+
+    return f"WAMR-{major}.{minor}.{patch}"
+
+
+def format_release_notes(version, sections):
+    notes = [f"## {version}\n"]
+    for section in [
+        "Breaking Changes",
+        "New Features",
+        "Bug Fixes",
+        "Enhancements",
+        "Others",
+    ]:
+        notes.append(f"### {section}\n")
+        if sections[section]:
+            notes.extend(sections[section])
+        else:
+            notes.append("")
+        notes.append("")
+    return "\n".join(notes) + "\n"
+
+
+def insert_release_notes(notes, RELEASE_NOTES_FILE):
+    with open(RELEASE_NOTES_FILE, "r", encoding="utf-8") as f:
+        old_content = f.read()
+    with open(RELEASE_NOTES_FILE, "w", encoding="utf-8") as f:
+        f.write(notes + old_content)
+
+
+def set_action_output(name, value):
+    """Set the output for GitHub Actions."""
+    if not os.getenv("GITHUB_OUTPUT"):
+        return
+
+    print(f"{name}={value}")
+
+
+def main(RELEASE_NOTES_FILE):
+    last_tag = get_last_release_tag()
+    if not last_tag:
+        print("No release tag found.")
+        sys.exit(1)
+
+    print(f"Last release tag: {last_tag}")
+
+    pr_numbers = get_merged_prs_since(last_tag)
+    if not pr_numbers:
+        print("No merged PRs since last release.")
+        sys.exit(0)
+
+    print(f"Found {len(pr_numbers)} merged PRs since last release.")
+    print(f"PR numbers: {', '.join(pr_numbers)}")
+
+    sections = generate_release_notes(pr_numbers)
+
+    next_version = generate_version_string(last_tag, sections)
+    print(f"Next version will be: {next_version}")
+
+    notes = format_release_notes(next_version, sections)
+    insert_release_notes(notes, RELEASE_NOTES_FILE)
+    print(f"Release notes for {next_version} generated and inserted.")
+
+    set_action_output("next_version", next_version)
+
+
+if __name__ == "__main__":
+    if len(sys.argv) > 1:
+        RELEASE_NOTES_FILE = sys.argv[1]
+    else:
+        RELEASE_NOTES_FILE = os.path.join(
+            os.path.dirname(__file__), "../../RELEASE_NOTES.md"
+        )
+
+    main(RELEASE_NOTES_FILE)
diff --git a/.github/workflows/prepare_release.yml b/.github/workflows/prepare_release.yml
new file mode 100644
index 0000000000..ed86f7c2e9
--- /dev/null
+++ b/.github/workflows/prepare_release.yml
@@ -0,0 +1,66 @@
+# Copyright (C) 2019 Intel Corporation.  All rights reserved.
+# SPDX-License-Identifier: Apache-2.0 WITH LLVM-exception
+
+# It includes:
+#   - add new content into the RELEASE_NOTES.md
+#   - update the version in build-scripts/version.cmake and core/version.h
+#
+# The new content is added to the beginning of the RELEASE_NOTES.md file.
+# It includes all merged PR titles since the last release(tag).
+# Based on every PR's label, it will be categorized into different sections.
+#
+# The version number is updated to the next version.
+# Based on new content in the RELEASE_NOTES.md, it will be determined
+# 1. if there is breaking change or new features, the next version will be a minor version
+# 2. if there is no breaking change and new features, the next version will be a patch version
+#
+# At the end, file a PR to update the files.
+
+name: preparation for a release.
+
+on:
+  workflow_dispatch:
+
+# Cancel any in-flight jobs for the same PR/branch so there's only one active
+# at a time
+concurrency:
+  group: ${{ github.workflow }}-${{ github.ref }}
+  cancel-in-progress: true
+
+jobs:
+  prepare_release:
+    permissions:
+      contents: write # update files
+    runs-on: ubuntu-latest
+    steps:
+      - uses: actions/checkout@v4
+
+      - name: prepare the release note
+        id: generate_release_notes
+        run: |
+          python3 ./.github/scripts/generate_release_notes.py ./RELEASE_NOTES.md"
+
+      - name: extract next version from previous step's output
+        id: extract_version
+        run: |
+          echo "next_version=${{ steps.generate_release_notes.outputs.next_version }}" >> $GITHUB_ENV
+
+      - name: update version files
+        run: |
+          python3 ./.github/scripts/update_version_files.py ${{ env.next_version }}
+
+      - name: file a PR
+        id: file_pr
+        uses: peter-evans/create-pull-request@v4
+        with:
+          token: ${{ secrets.GITHUB_TOKEN }}
+          title: "Prepare for the next release"
+          body: |
+            This PR prepares for the next release.
+            It updates the version files and adds new content to the RELEASE_NOTES.md.
+          commit-message: "prepare for the next release"
+          branch: prepare-release-${{ github.run_id }}
+          paths: |
+            RELEASE_NOTES.md
+            build-scripts/version.cmake
+            core/version.h