diff --git a/packages/react-dom-bindings/src/client/ReactDOMComponent.js b/packages/react-dom-bindings/src/client/ReactDOMComponent.js
index 1b25e372702..d930883efd2 100644
--- a/packages/react-dom-bindings/src/client/ReactDOMComponent.js
+++ b/packages/react-dom-bindings/src/client/ReactDOMComponent.js
@@ -3210,6 +3210,30 @@ export function hydrateProperties(
       break;
   }
 
+  // Custom elements need their props (including event handlers) re-applied
+  // during hydration because the server markup cannot capture property-based
+  // listeners. Mirror the client mount path used in setInitialProperties.
+  if (isCustomElement(tag, props)) {
+    for (const propKey in props) {
+      if (!props.hasOwnProperty(propKey)) {
+        continue;
+      }
+      const propValue = props[propKey];
+      if (propValue === undefined) {
+        continue;
+      }
+      setPropOnCustomElement(
+        domElement,
+        tag,
+        propKey,
+        propValue,
+        props,
+        undefined,
+      );
+    }
+    // Don't return early - let it continue to text content validation below
+  }
+
   const children = props.children;
   // For text content children we compare against textContent. This
   // might match additional HTML that is hidden when we read it using
diff --git a/packages/react-dom/src/__tests__/ReactDOMCustomElementHydration-test.js b/packages/react-dom/src/__tests__/ReactDOMCustomElementHydration-test.js
new file mode 100644
index 00000000000..f02428ef35f
--- /dev/null
+++ b/packages/react-dom/src/__tests__/ReactDOMCustomElementHydration-test.js
@@ -0,0 +1,363 @@
+/**
+ * Copyright (c) Meta Platforms, Inc. and affiliates.
+ *
+ * This source code is licensed under the MIT license found in the
+ * LICENSE file in the root directory of this source tree.
+ *
+ * @emails react-core
+ */
+
+'use strict';
+
+describe('ReactDOMCustomElementHydration', () => {
+  let React;
+  let ReactDOM;
+  let ReactDOMClient;
+  let ReactDOMServer;
+  let act;
+
+  beforeEach(() => {
+    jest.resetModules();
+    React = require('react');
+    ReactDOM = require('react-dom');
+    ReactDOMClient = require('react-dom/client');
+    ReactDOMServer = require('react-dom/server');
+    act = require('internal-test-utils').act;
+  });
+
+  afterEach(() => {
+    jest.restoreAllMocks();
+  });
+
+  describe('custom element event listener hydration', () => {
+    it('should attach custom element event listeners during hydration', async () => {
+      const container = document.createElement('div');
+      const myEventHandler = jest.fn();
+
+      // Mock custom element class
+      class CustomElement extends HTMLElement {}
+      customElements.define('ce-event-test', CustomElement);
+
+      // Server-side render
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-event-test onmy-event={myEventHandler} />,
+      );
+
+      // Inject markup
+      container.innerHTML = serverHTML;
+      const customElement = container.querySelector('ce-event-test');
+
+      // Try to dispatch custom event before hydration (should not fire)
+      customElement.dispatchEvent(new CustomEvent('my-event'));
+      expect(myEventHandler).not.toHaveBeenCalled();
+
+      // Hydrate with event handler
+      await act(async () => {
+        ReactDOMClient.hydrateRoot(
+          container,
+          <ce-event-test onmy-event={myEventHandler} />,
+        );
+      });
+
+      // Dispatch event after hydration
+      customElement.dispatchEvent(new CustomEvent('my-event'));
+
+      // Event handler should be attached during hydration
+      expect(myEventHandler).toHaveBeenCalledTimes(1);
+    });
+
+    it('should attach multiple custom event listeners during hydration', async () => {
+      const container = document.createElement('div');
+      const moduleLoadedHandler = jest.fn();
+      const moduleErrorHandler = jest.fn();
+      const moduleUpdatedHandler = jest.fn();
+
+      class CustomElement extends HTMLElement {}
+      customElements.define('ce-multi-event', CustomElement);
+
+      // Server-side render
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-multi-event
+          onmodule-loaded={moduleLoadedHandler}
+          onmodule-error={moduleErrorHandler}
+          onmodule-updated={moduleUpdatedHandler}
+        />,
+      );
+
+      container.innerHTML = serverHTML;
+      const customElement = container.querySelector('ce-multi-event');
+
+      // Hydrate with event handlers
+      await act(async () => {
+        ReactDOMClient.hydrateRoot(
+          container,
+          <ce-multi-event
+            onmodule-loaded={moduleLoadedHandler}
+            onmodule-error={moduleErrorHandler}
+            onmodule-updated={moduleUpdatedHandler}
+          />,
+        );
+      });
+
+      customElement.dispatchEvent(new CustomEvent('module-loaded'));
+      customElement.dispatchEvent(new CustomEvent('module-error'));
+      customElement.dispatchEvent(new CustomEvent('module-updated'));
+
+      expect(moduleLoadedHandler).toHaveBeenCalledTimes(1);
+      expect(moduleErrorHandler).toHaveBeenCalledTimes(1);
+      expect(moduleUpdatedHandler).toHaveBeenCalledTimes(1);
+    });
+
+    it('should hydrate primitive prop types on custom elements', async () => {
+      const container = document.createElement('div');
+
+      class CustomElementWithProps extends HTMLElement {}
+      customElements.define('ce-primitive-props', CustomElementWithProps);
+
+      // Server-side render with primitive props
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-primitive-props
+          stringValue="test"
+          numberValue={42}
+          trueProp={true}
+        />,
+      );
+
+      container.innerHTML = serverHTML;
+      const customElement = container.querySelector('ce-primitive-props');
+
+      // Hydrate
+      await act(async () => {
+        ReactDOMClient.hydrateRoot(
+          container,
+          <ce-primitive-props
+            stringValue="test"
+            numberValue={42}
+            trueProp={true}
+          />,
+        );
+      });
+
+      // After hydration, primitive attributes should be present
+      expect(customElement.hasAttribute('stringValue')).toBe(true);
+      expect(customElement.getAttribute('stringValue')).toBe('test');
+      expect(customElement.hasAttribute('numberValue')).toBe(true);
+      expect(customElement.getAttribute('numberValue')).toBe('42');
+      expect(customElement.hasAttribute('trueProp')).toBe(true);
+    });
+
+    it('should not set non-primitive props as attributes during SSR', async () => {
+      // Server-side render with non-primitive props
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-advanced-props
+          objectProp={{key: 'value'}}
+          functionProp={() => {}}
+          falseProp={false}
+        />,
+      );
+
+      // Non-primitive values should not appear as attributes in server HTML
+      expect(serverHTML).not.toContain('objectProp');
+      expect(serverHTML).not.toContain('functionProp');
+      expect(serverHTML).not.toContain('falseProp');
+    });
+
+    it('should handle updating custom element event listeners after hydration', async () => {
+      const container = document.createElement('div');
+      const initialHandler = jest.fn();
+      const updatedHandler = jest.fn();
+
+      class CustomElementForUpdate extends HTMLElement {}
+      customElements.define('ce-update-test', CustomElementForUpdate);
+
+      // Server-side render with initial event handler
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-update-test onmyevent={initialHandler} />,
+      );
+
+      container.innerHTML = serverHTML;
+      const customElement = container.querySelector('ce-update-test');
+
+      // Hydrate
+      let root;
+      await act(async () => {
+        root = ReactDOMClient.hydrateRoot(
+          container,
+          <ce-update-test onmyevent={initialHandler} />,
+        );
+      });
+
+      customElement.dispatchEvent(new CustomEvent('myevent'));
+      expect(initialHandler).toHaveBeenCalledTimes(1);
+
+      // Update the event handler
+      await act(async () => {
+        root.render(<ce-update-test onmyevent={updatedHandler} />);
+      });
+
+      customElement.dispatchEvent(new CustomEvent('myevent'));
+
+      // The updated handler should be called, not the initial one
+      expect(updatedHandler).toHaveBeenCalledTimes(1);
+      expect(initialHandler).toHaveBeenCalledTimes(1); // Still only called once
+    });
+
+    it('should handle custom element registered after hydration', async () => {
+      const container = document.createElement('div');
+      const myEventHandler = jest.fn();
+
+      // Server-side render with event handler for element not yet registered
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-registered-after-hydration onmy-event={myEventHandler} />,
+      );
+
+      container.innerHTML = serverHTML;
+      const customElement = container.querySelector(
+        'ce-registered-after-hydration',
+      );
+
+      // Hydrate - the element is not yet registered
+      // Event listeners should still be attached
+      await act(async () => {
+        ReactDOMClient.hydrateRoot(
+          container,
+          <ce-registered-after-hydration onmy-event={myEventHandler} />,
+        );
+      });
+
+      // Register the element after hydration
+      class CustomElementRegisteredAfterHydration extends HTMLElement {}
+      customElements.define(
+        'ce-registered-after-hydration',
+        CustomElementRegisteredAfterHydration,
+      );
+
+      // Dispatch event after registration
+      customElement.dispatchEvent(new CustomEvent('my-event'));
+
+      // Event listener should work even if element wasn't registered during hydration
+      expect(myEventHandler).toHaveBeenCalledTimes(1);
+    });
+
+    it('should properly hydrate custom elements with mixed props', async () => {
+      const container = document.createElement('div');
+      const myEventHandler = jest.fn();
+
+      class MixedPropsElement extends HTMLElement {}
+      customElements.define('ce-mixed-props', MixedPropsElement);
+
+      // Server-side render with mixed prop types
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-mixed-props
+          stringAttr="value"
+          numberAttr={123}
+          onmyevent={myEventHandler}
+          className="custom-class"
+        />,
+      );
+
+      container.innerHTML = serverHTML;
+      const customElement = container.querySelector('ce-mixed-props');
+
+      // Hydrate
+      await act(async () => {
+        ReactDOMClient.hydrateRoot(
+          container,
+          <ce-mixed-props
+            stringAttr="value"
+            numberAttr={123}
+            onmyevent={myEventHandler}
+            className="custom-class"
+          />,
+        );
+      });
+
+      customElement.dispatchEvent(new CustomEvent('myevent'));
+
+      // Event should be fired
+      expect(myEventHandler).toHaveBeenCalledTimes(1);
+      // Attributes should be present
+      expect(customElement.hasAttribute('stringAttr')).toBe(true);
+      expect(customElement.getAttribute('stringAttr')).toBe('value');
+      expect(customElement.hasAttribute('class')).toBe(true);
+      expect(customElement.getAttribute('class')).toBe('custom-class');
+    });
+
+    it('should remove custom element event listeners when prop is removed', async () => {
+      const container = document.createElement('div');
+      const myEventHandler = jest.fn();
+
+      class CustomElementRemovalTest extends HTMLElement {}
+      customElements.define('ce-removal-test', CustomElementRemovalTest);
+
+      // Server-side render with event handler
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-removal-test onmyevent={myEventHandler} />,
+      );
+
+      container.innerHTML = serverHTML;
+      const customElement = container.querySelector('ce-removal-test');
+
+      // Hydrate
+      let root;
+      await act(async () => {
+        root = ReactDOMClient.hydrateRoot(
+          container,
+          <ce-removal-test onmyevent={myEventHandler} />,
+        );
+      });
+
+      // Remove the event handler
+      await act(async () => {
+        root.render(<ce-removal-test />);
+      });
+
+      customElement.dispatchEvent(new CustomEvent('myevent'));
+
+      // Event should not fire after handler removal
+      expect(myEventHandler).not.toHaveBeenCalled();
+    });
+  });
+
+  describe('custom element property hydration', () => {
+    it('should handle custom properties during hydration when element is defined', async () => {
+      const container = document.createElement('div');
+
+      // Create and register a custom element with custom properties
+      class CustomElementWithProperty extends HTMLElement {
+        constructor() {
+          super();
+          this._internalValue = undefined;
+        }
+
+        set customProperty(value) {
+          this._internalValue = value;
+        }
+
+        get customProperty() {
+          return this._internalValue;
+        }
+      }
+      customElements.define('ce-with-property', CustomElementWithProperty);
+
+      // Server-side render
+      const serverHTML = ReactDOMServer.renderToString(
+        <ce-with-property data-attr="test" />,
+      );
+
+      container.innerHTML = serverHTML;
+      const customElement = container.querySelector('ce-with-property');
+
+      // Hydrate
+      await act(async () => {
+        ReactDOMClient.hydrateRoot(
+          container,
+          <ce-with-property data-attr="test" />,
+        );
+      });
+
+      // Verify the element is properly hydrated
+      expect(customElement.getAttribute('data-attr')).toBe('test');
+    });
+  });
+});