diff --git a/crates/editor/src/actions.rs b/crates/editor/src/actions.rs
index ce02c4d2bf39c6bc5513280a1d81b071a9e6cd6a..3cc6c28464449907abbd19235f9123e44cca78ba 100644
--- a/crates/editor/src/actions.rs
+++ b/crates/editor/src/actions.rs
@@ -753,6 +753,8 @@ actions!(
         UniqueLinesCaseInsensitive,
         /// Removes duplicate lines (case-sensitive).
         UniqueLinesCaseSensitive,
-        UnwrapSyntaxNode
+        UnwrapSyntaxNode,
+        /// Wraps selections in tag specified by language.
+        WrapSelectionsInTag
     ]
 );
diff --git a/crates/editor/src/editor.rs b/crates/editor/src/editor.rs
index 52549902dd603ee8ffdc7c50dd331c87c95828cb..2d96ddf7a4eccdf89cc52389aec996b0777afd32 100644
--- a/crates/editor/src/editor.rs
+++ b/crates/editor/src/editor.rs
@@ -10447,6 +10447,86 @@ impl Editor {
         })
     }
 
+    fn enable_wrap_selections_in_tag(&self, cx: &App) -> bool {
+        let snapshot = self.buffer.read(cx).snapshot(cx);
+        for selection in self.selections.disjoint_anchors().iter() {
+            if snapshot
+                .language_at(selection.start)
+                .and_then(|lang| lang.config().wrap_characters.as_ref())
+                .is_some()
+            {
+                return true;
+            }
+        }
+        false
+    }
+
+    fn wrap_selections_in_tag(
+        &mut self,
+        _: &WrapSelectionsInTag,
+        window: &mut Window,
+        cx: &mut Context<Self>,
+    ) {
+        self.hide_mouse_cursor(HideMouseCursorOrigin::TypingAction, cx);
+
+        let snapshot = self.buffer.read(cx).snapshot(cx);
+
+        let mut edits = Vec::new();
+        let mut boundaries = Vec::new();
+
+        for selection in self.selections.all::<Point>(cx).iter() {
+            let Some(wrap_config) = snapshot
+                .language_at(selection.start)
+                .and_then(|lang| lang.config().wrap_characters.clone())
+            else {
+                continue;
+            };
+
+            let open_tag = format!("{}{}", wrap_config.start_prefix, wrap_config.start_suffix);
+            let close_tag = format!("{}{}", wrap_config.end_prefix, wrap_config.end_suffix);
+
+            let start_before = snapshot.anchor_before(selection.start);
+            let end_after = snapshot.anchor_after(selection.end);
+
+            edits.push((start_before..start_before, open_tag));
+            edits.push((end_after..end_after, close_tag));
+
+            boundaries.push((
+                start_before,
+                end_after,
+                wrap_config.start_prefix.len(),
+                wrap_config.end_suffix.len(),
+            ));
+        }
+
+        if edits.is_empty() {
+            return;
+        }
+
+        self.transact(window, cx, |this, window, cx| {
+            let buffer = this.buffer.update(cx, |buffer, cx| {
+                buffer.edit(edits, None, cx);
+                buffer.snapshot(cx)
+            });
+
+            let mut new_selections = Vec::with_capacity(boundaries.len() * 2);
+            for (start_before, end_after, start_prefix_len, end_suffix_len) in
+                boundaries.into_iter()
+            {
+                let open_offset = start_before.to_offset(&buffer) + start_prefix_len;
+                let close_offset = end_after.to_offset(&buffer).saturating_sub(end_suffix_len);
+                new_selections.push(open_offset..open_offset);
+                new_selections.push(close_offset..close_offset);
+            }
+
+            this.change_selections(Default::default(), window, cx, |s| {
+                s.select_ranges(new_selections);
+            });
+
+            this.request_autoscroll(Autoscroll::fit(), cx);
+        });
+    }
+
     pub fn reload_file(&mut self, _: &ReloadFile, window: &mut Window, cx: &mut Context<Self>) {
         let Some(project) = self.project.clone() else {
             return;
diff --git a/crates/editor/src/editor_tests.rs b/crates/editor/src/editor_tests.rs
index 2cfdb92593e2250a5615eb4d4d545c1552d13ecc..85471c7ce96e172f7bd5ade399ed0ba1cd6d4a02 100644
--- a/crates/editor/src/editor_tests.rs
+++ b/crates/editor/src/editor_tests.rs
@@ -4403,6 +4403,129 @@ async fn test_unique_lines_single_selection(cx: &mut TestAppContext) {
     "});
 }
 
+#[gpui::test]
+async fn test_wrap_in_tag_single_selection(cx: &mut TestAppContext) {
+    init_test(cx, |_| {});
+
+    let mut cx = EditorTestContext::new(cx).await;
+
+    let js_language = Arc::new(Language::new(
+        LanguageConfig {
+            name: "JavaScript".into(),
+            wrap_characters: Some(language::WrapCharactersConfig {
+                start_prefix: "<".into(),
+                start_suffix: ">".into(),
+                end_prefix: "</".into(),
+                end_suffix: ">".into(),
+            }),
+            ..LanguageConfig::default()
+        },
+        None,
+    ));
+
+    cx.update_buffer(|buffer, cx| buffer.set_language(Some(js_language), cx));
+
+    cx.set_state(indoc! {"
+        «testˇ»
+    "});
+    cx.update_editor(|e, window, cx| e.wrap_selections_in_tag(&WrapSelectionsInTag, window, cx));
+    cx.assert_editor_state(indoc! {"
+        <«ˇ»>test</«ˇ»>
+    "});
+
+    cx.set_state(indoc! {"
+        «test
+         testˇ»
+    "});
+    cx.update_editor(|e, window, cx| e.wrap_selections_in_tag(&WrapSelectionsInTag, window, cx));
+    cx.assert_editor_state(indoc! {"
+        <«ˇ»>test
+         test</«ˇ»>
+    "});
+
+    cx.set_state(indoc! {"
+        teˇst
+    "});
+    cx.update_editor(|e, window, cx| e.wrap_selections_in_tag(&WrapSelectionsInTag, window, cx));
+    cx.assert_editor_state(indoc! {"
+        te<«ˇ»></«ˇ»>st
+    "});
+}
+
+#[gpui::test]
+async fn test_wrap_in_tag_multi_selection(cx: &mut TestAppContext) {
+    init_test(cx, |_| {});
+
+    let mut cx = EditorTestContext::new(cx).await;
+
+    let js_language = Arc::new(Language::new(
+        LanguageConfig {
+            name: "JavaScript".into(),
+            wrap_characters: Some(language::WrapCharactersConfig {
+                start_prefix: "<".into(),
+                start_suffix: ">".into(),
+                end_prefix: "</".into(),
+                end_suffix: ">".into(),
+            }),
+            ..LanguageConfig::default()
+        },
+        None,
+    ));
+
+    cx.update_buffer(|buffer, cx| buffer.set_language(Some(js_language), cx));
+
+    cx.set_state(indoc! {"
+        «testˇ»
+        «testˇ» «testˇ»
+        «testˇ»
+    "});
+    cx.update_editor(|e, window, cx| e.wrap_selections_in_tag(&WrapSelectionsInTag, window, cx));
+    cx.assert_editor_state(indoc! {"
+        <«ˇ»>test</«ˇ»>
+        <«ˇ»>test</«ˇ»> <«ˇ»>test</«ˇ»>
+        <«ˇ»>test</«ˇ»>
+    "});
+
+    cx.set_state(indoc! {"
+        «test
+         testˇ»
+        «test
+         testˇ»
+    "});
+    cx.update_editor(|e, window, cx| e.wrap_selections_in_tag(&WrapSelectionsInTag, window, cx));
+    cx.assert_editor_state(indoc! {"
+        <«ˇ»>test
+         test</«ˇ»>
+        <«ˇ»>test
+         test</«ˇ»>
+    "});
+}
+
+#[gpui::test]
+async fn test_wrap_in_tag_does_nothing_in_unsupported_languages(cx: &mut TestAppContext) {
+    init_test(cx, |_| {});
+
+    let mut cx = EditorTestContext::new(cx).await;
+
+    let plaintext_language = Arc::new(Language::new(
+        LanguageConfig {
+            name: "Plain Text".into(),
+            ..LanguageConfig::default()
+        },
+        None,
+    ));
+
+    cx.update_buffer(|buffer, cx| buffer.set_language(Some(plaintext_language), cx));
+
+    cx.set_state(indoc! {"
+        «testˇ»
+    "});
+    cx.update_editor(|e, window, cx| e.wrap_selections_in_tag(&WrapSelectionsInTag, window, cx));
+    cx.assert_editor_state(indoc! {"
+      «testˇ»
+    "});
+}
+
 #[gpui::test]
 async fn test_manipulate_immutable_lines_with_multi_selection(cx: &mut TestAppContext) {
     init_test(cx, |_| {});
diff --git a/crates/editor/src/element.rs b/crates/editor/src/element.rs
index 91034829f7896600e690d8438bf7de23d4d19983..a63c18e003907f16a1383bbfb12085e1044d9eb9 100644
--- a/crates/editor/src/element.rs
+++ b/crates/editor/src/element.rs
@@ -585,6 +585,9 @@ impl EditorElement {
         register_action(editor, window, Editor::edit_log_breakpoint);
         register_action(editor, window, Editor::enable_breakpoint);
         register_action(editor, window, Editor::disable_breakpoint);
+        if editor.read(cx).enable_wrap_selections_in_tag(cx) {
+            register_action(editor, window, Editor::wrap_selections_in_tag);
+        }
     }
 
     fn register_key_listeners(&self, window: &mut Window, _: &mut App, layout: &EditorLayout) {
diff --git a/crates/language/src/language.rs b/crates/language/src/language.rs
index 7ae77c9141d35363975f07b91b45f032da62d21f..b349122193f1f31b323e03ff0421dfc3705c92fa 100644
--- a/crates/language/src/language.rs
+++ b/crates/language/src/language.rs
@@ -720,6 +720,9 @@ pub struct LanguageConfig {
     /// How to soft-wrap long lines of text.
     #[serde(default)]
     pub soft_wrap: Option<SoftWrap>,
+    /// When set, selections can be wrapped using prefix/suffix pairs on both sides.
+    #[serde(default)]
+    pub wrap_characters: Option<WrapCharactersConfig>,
     /// The name of a Prettier parser that will be used for this language when no file path is available.
     /// If there's a parser name in the language settings, that will be used instead.
     #[serde(default)]
@@ -923,6 +926,7 @@ impl Default for LanguageConfig {
             hard_tabs: None,
             tab_size: None,
             soft_wrap: None,
+            wrap_characters: None,
             prettier_parser_name: None,
             hidden: false,
             jsx_tag_auto_close: None,
@@ -932,6 +936,18 @@ impl Default for LanguageConfig {
     }
 }
 
+#[derive(Clone, Debug, Deserialize, JsonSchema)]
+pub struct WrapCharactersConfig {
+    /// Opening token split into a prefix and suffix. The first caret goes
+    /// after the prefix (i.e., between prefix and suffix).
+    pub start_prefix: String,
+    pub start_suffix: String,
+    /// Closing token split into a prefix and suffix. The second caret goes
+    /// after the prefix (i.e., between prefix and suffix).
+    pub end_prefix: String,
+    pub end_suffix: String,
+}
+
 fn auto_indent_using_last_non_empty_line_default() -> bool {
     true
 }
diff --git a/crates/languages/src/javascript/config.toml b/crates/languages/src/javascript/config.toml
index 0df57d985e82595bdabb97517f56e79591343e7b..128eac0e4dda2b5b437c494e862970c23a8df3a1 100644
--- a/crates/languages/src/javascript/config.toml
+++ b/crates/languages/src/javascript/config.toml
@@ -6,6 +6,7 @@ first_line_pattern = '^#!.*\b(?:[/ ]node|deno run.*--ext[= ]js)\b'
 line_comments = ["// "]
 block_comment = { start = "/*", prefix = "* ", end = "*/", tab_size = 1 }
 documentation_comment = { start = "/**", prefix = "* ", end = "*/", tab_size = 1 }
+wrap_characters = { start_prefix = "<", start_suffix = ">", end_prefix = "</", end_suffix = ">" }
 autoclose_before = ";:.,=}])>"
 brackets = [
     { start = "{", end = "}", close = true, newline = true },
diff --git a/crates/languages/src/tsx/config.toml b/crates/languages/src/tsx/config.toml
index 5849b9842fd7f3483f89bbedbdb7b74b3fc1572d..b5ef5bd56df2097bc920f02b87d07e4118d7b0d1 100644
--- a/crates/languages/src/tsx/config.toml
+++ b/crates/languages/src/tsx/config.toml
@@ -4,6 +4,7 @@ path_suffixes = ["tsx"]
 line_comments = ["// "]
 block_comment = { start = "/*", prefix = "* ", end = "*/", tab_size = 1 }
 documentation_comment = { start = "/**", prefix = "* ", end = "*/", tab_size = 1 }
+wrap_characters = { start_prefix = "<", start_suffix = ">", end_prefix = "</", end_suffix = ">" }
 autoclose_before = ";:.,=}])>"
 brackets = [
     { start = "{", end = "}", close = true, newline = true },
diff --git a/crates/languages/src/typescript/config.toml b/crates/languages/src/typescript/config.toml
index d7e3e4bd3d1569f96636b7f7572deea306b46df7..2344f6209da7756049438669ee55d5376fdb47f8 100644
--- a/crates/languages/src/typescript/config.toml
+++ b/crates/languages/src/typescript/config.toml
@@ -5,6 +5,7 @@ first_line_pattern = '^#!.*\b(?:deno run|ts-node|bun|tsx|[/ ]node)\b'
 line_comments = ["// "]
 block_comment = { start = "/*", prefix = "* ", end = "*/", tab_size = 1 }
 documentation_comment = { start = "/**", prefix = "* ", end = "*/", tab_size = 1 }
+wrap_characters = { start_prefix = "<", start_suffix = ">", end_prefix = "</", end_suffix = ">" }
 autoclose_before = ";:.,=}])>"
 brackets = [
     { start = "{", end = "}", close = true, newline = true },
diff --git a/extensions/html/languages/html/config.toml b/extensions/html/languages/html/config.toml
index f74db2888eb71e6e9f9afcbb1b41ab98e232a7a7..388949d95caf56803690b5533c871978a3f0d100 100644
--- a/extensions/html/languages/html/config.toml
+++ b/extensions/html/languages/html/config.toml
@@ -3,6 +3,7 @@ grammar = "html"
 path_suffixes = ["html", "htm", "shtml"]
 autoclose_before = ">})"
 block_comment = { start = "<!--", prefix = "", end = "-->", tab_size = 0 }
+wrap_characters = { start_prefix = "<", start_suffix = ">", end_prefix = "</", end_suffix = ">" }
 brackets = [
     { start = "{", end = "}", close = true, newline = true },
     { start = "[", end = "]", close = true, newline = true },