diff --git a/src/config.rs b/src/config.rs
index 01033d438e..4435281a2c 100644
--- a/src/config.rs
+++ b/src/config.rs
@@ -69,6 +69,7 @@ const CONNECTION_TERMINATION_DEADLINE: &str = "CONNECTION_TERMINATION_DEADLINE";
 // (Our forceful shutdown is more graceful than a SIGKILL, as we can close connections cleanly).
 const TERMINATION_GRACE_PERIOD_SECONDS: &str = "TERMINATION_GRACE_PERIOD_SECONDS";
 const ENABLE_ORIG_SRC: &str = "ENABLE_ORIG_SRC";
+const ENABLE_OUTBOUND_ORIG_SRC: &str = "ENABLE_OUTBOUND_ORIG_SRC";
 const PROXY_CONFIG: &str = "PROXY_CONFIG";
 const IPV6_ENABLED: &str = "IPV6_ENABLED";
 
@@ -280,6 +281,11 @@ pub struct Config {
     // If unset (recommended), this is automatically detected based on permissions.
     pub require_original_source: Option<bool>,
 
+    // Enable source IP preservation for outbound connections.
+    // If set to true, outbound connections explicitly bind to the downstream peer address
+    // If false (default), the system determines the outbound address.
+    pub enable_outbound_original_source: bool,
+
     // CLI args passed to ztunnel at runtime
     pub proxy_args: String,
 
@@ -810,6 +816,7 @@ pub fn construct_config(pc: ProxyConfig) -> Result<Config, Error> {
         )?,
 
         require_original_source: parse(ENABLE_ORIG_SRC)?,
+        enable_outbound_original_source: parse_default(ENABLE_OUTBOUND_ORIG_SRC, false)?,
         proxy_args: parse_args(),
         dns_resolver_cfg,
         dns_resolver_opts,
@@ -1224,4 +1231,24 @@ pub mod tests {
             env::remove_var(ZTUNNEL_CPU_LIMIT);
         }
     }
+
+    #[test]
+    fn test_enable_outbound_original_source_parsing() {
+        unsafe {
+            // Test explicitly enabled
+            env::set_var(ENABLE_OUTBOUND_ORIG_SRC, "true");
+            let cfg = construct_config(ProxyConfig::default()).unwrap();
+            assert!(cfg.enable_outbound_original_source);
+
+            // Test explicitly disabled
+            env::set_var(ENABLE_OUTBOUND_ORIG_SRC, "false");
+            let cfg = construct_config(ProxyConfig::default()).unwrap();
+            assert!(!cfg.enable_outbound_original_source);
+
+            // Test unset (default is false)
+            env::remove_var(ENABLE_OUTBOUND_ORIG_SRC);
+            let cfg = construct_config(ProxyConfig::default()).unwrap();
+            assert!(!cfg.enable_outbound_original_source);
+        }
+    }
 }
diff --git a/src/proxy/outbound.rs b/src/proxy/outbound.rs
index 644b6c132b..db91f68d45 100644
--- a/src/proxy/outbound.rs
+++ b/src/proxy/outbound.rs
@@ -227,7 +227,7 @@ impl OutboundConnection {
                     .await
             }
             OutboundProtocol::TCP => {
-                self.proxy_to_tcp(source_stream, &req, connection_result_builder)
+                self.proxy_to_tcp(source_stream, source_addr, &req, connection_result_builder)
                     .await
             }
         };
@@ -397,14 +397,19 @@ impl OutboundConnection {
     async fn proxy_to_tcp(
         &mut self,
         stream: TcpStream,
+        source_addr: SocketAddr,
         req: &Request,
         connection_stats_builder: Box<ConnectionResultBuilder>,
     ) {
         let connection_stats = Box::new(connection_stats_builder.build());
-
+        let local = if self.pi.cfg.enable_outbound_original_source {
+            Some(source_addr.ip())
+        } else {
+            None
+        };
         let res = (async {
             let outbound = super::freebind_connect(
-                None, // No need to spoof source IP on outbound
+                local,
                 req.actual_destination,
                 self.pi.socket_factory.as_ref(),
             )
diff --git a/src/proxy/pool.rs b/src/proxy/pool.rs
index e69d92797d..81d04489dc 100644
--- a/src/proxy/pool.rs
+++ b/src/proxy/pool.rs
@@ -83,7 +83,12 @@ impl ConnSpawner {
 
         let cert = self.local_workload.fetch_certificate().await?;
         let connector = cert.outbound_connector(key.dst_id.clone())?;
-        let tcp_stream = super::freebind_connect(None, key.dst, self.socket_factory.as_ref())
+        let local = if self.cfg.enable_outbound_original_source {
+            Some(key.src)
+        } else {
+            None
+        };
+        let tcp_stream = super::freebind_connect(local, key.dst, self.socket_factory.as_ref())
             .await
             .map_err(|e: io::Error| match e.kind() {
                 io::ErrorKind::TimedOut => Error::MaybeHBONENetworkPolicyError(e),