diff --git a/pyproject.toml b/pyproject.toml
index 460644463a..87f88608ff 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -48,7 +48,7 @@ dependencies = [
   "httpx>=0.27.0, <1.0.0",                                   # HTTP client library
   "jsonschema>=4.23.0, <5.0.0",                              # Agent Builder config validation
   "mcp>=1.23.0, <2.0.0",                                     # For MCP Toolset
-  "opentelemetry-api>=1.36.0, <1.39.0",                      # OpenTelemetry - keep below 1.39.0 due to current agent_engines exporter constraints.
+  "opentelemetry-api>=1.36.0, <1.40.0",                      # OpenTelemetry - keep below 1.39.0 due to current agent_engines exporter constraints.
   "opentelemetry-exporter-gcp-logging>=1.9.0a0, <2.0.0",
   "opentelemetry-exporter-gcp-monitoring>=1.9.0a0, <2.0.0",
   "opentelemetry-exporter-gcp-trace>=1.9.0, <2.0.0",