diff --git a/src/core/webview/webviewMessageHandler.ts b/src/core/webview/webviewMessageHandler.ts
index a6577fb2fb..10aa06778c 100644
--- a/src/core/webview/webviewMessageHandler.ts
+++ b/src/core/webview/webviewMessageHandler.ts
@@ -252,14 +252,29 @@ export const webviewMessageHandler = async (
 
 	switch (message.type) {
 		case "webviewDidLaunch":
-			// Load custom modes first
-			const customModes = await provider.customModesManager.getCustomModes()
-			await updateGlobalState("customModes", customModes)
+			try {
+				// Load custom modes first
+				const customModes = await provider.customModesManager.getCustomModes()
+				await updateGlobalState("customModes", customModes)
 
-			provider.postStateToWebview()
-			provider.workspaceTracker?.initializeFilePaths() // Don't await.
+				// Ensure state is posted to webview - this is critical for preventing loading screen hang
+				await provider.postStateToWebview()
+				provider.workspaceTracker?.initializeFilePaths() // Don't await.
 
-			getTheme().then((theme) => provider.postMessageToWebview({ type: "theme", text: JSON.stringify(theme) }))
+				getTheme().then((theme) =>
+					provider.postMessageToWebview({ type: "theme", text: JSON.stringify(theme) }),
+				)
+			} catch (error) {
+				provider.log(`Error during webview launch: ${error instanceof Error ? error.message : String(error)}`)
+				// Even if there's an error, try to post state to prevent infinite loading
+				try {
+					await provider.postStateToWebview()
+				} catch (fallbackError) {
+					provider.log(
+						`Fallback state posting also failed: ${fallbackError instanceof Error ? fallbackError.message : String(fallbackError)}`,
+					)
+				}
+			}
 
 			// If MCP Hub is already initialized, update the webview with
 			// current server list.
diff --git a/webview-ui/src/context/ExtensionStateContext.tsx b/webview-ui/src/context/ExtensionStateContext.tsx
index bf927211c2..b854f63ff0 100644
--- a/webview-ui/src/context/ExtensionStateContext.tsx
+++ b/webview-ui/src/context/ExtensionStateContext.tsx
@@ -350,7 +350,17 @@ export const ExtensionStateContextProvider: React.FC<{ children: React.ReactNode
 
 	useEffect(() => {
 		vscode.postMessage({ type: "webviewDidLaunch" })
-	}, [])
+
+		// Set a timeout to prevent infinite loading if state message is never received
+		const loadingTimeout = setTimeout(() => {
+			if (!didHydrateState) {
+				console.warn("Webview state hydration timeout - forcing hydration to prevent infinite loading")
+				setDidHydrateState(true)
+			}
+		}, 10000) // 10 second timeout
+
+		return () => clearTimeout(loadingTimeout)
+	}, [didHydrateState])
 
 	const contextValue: ExtensionStateContextType = {
 		...state,
diff --git a/webview-ui/src/context/__tests__/ExtensionStateContext.spec.tsx b/webview-ui/src/context/__tests__/ExtensionStateContext.spec.tsx
index 1e5867d3fc..3a6180b8da 100644
--- a/webview-ui/src/context/__tests__/ExtensionStateContext.spec.tsx
+++ b/webview-ui/src/context/__tests__/ExtensionStateContext.spec.tsx
@@ -244,4 +244,33 @@ describe("mergeExtensionState", () => {
 			multiFileApplyDiff: true,
 		})
 	})
+
+	it("forces hydration after timeout when state message is never received", async () => {
+		// Mock timers to control timeout behavior
+		vi.useFakeTimers()
+
+		const TestTimeoutComponent = () => {
+			const { didHydrateState } = useExtensionState()
+			return <div data-testid="hydration-state">{didHydrateState.toString()}</div>
+		}
+
+		render(
+			<ExtensionStateContextProvider>
+				<TestTimeoutComponent />
+			</ExtensionStateContextProvider>,
+		)
+
+		// Initially should not be hydrated
+		expect(screen.getByTestId("hydration-state").textContent).toBe("false")
+
+		// Fast-forward time by 10 seconds (the timeout duration)
+		act(() => {
+			vi.advanceTimersByTime(10000)
+		})
+
+		// Should now be hydrated due to timeout
+		expect(screen.getByTestId("hydration-state").textContent).toBe("true")
+
+		vi.useRealTimers()
+	})
 })