diff --git a/frontend/__tests__/components/features/conversation/agent-status.test.tsx b/frontend/__tests__/components/features/conversation/agent-status.test.tsx
new file mode 100644
index 0000000000..a121ed37a8
--- /dev/null
+++ b/frontend/__tests__/components/features/conversation/agent-status.test.tsx
@@ -0,0 +1,71 @@
+import { render, screen } from "@testing-library/react";
+import { describe, it, expect, vi } from "vitest";
+import { QueryClient, QueryClientProvider } from "@tanstack/react-query";
+import { MemoryRouter } from "react-router";
+import { AgentStatus } from "#/components/features/controls/agent-status";
+import { AgentState } from "#/types/agent-state";
+import { useAgentState } from "#/hooks/use-agent-state";
+import { useConversationStore } from "#/state/conversation-store";
+
+vi.mock("#/hooks/use-agent-state");
+
+vi.mock("#/hooks/use-conversation-id", () => ({
+  useConversationId: () => ({ conversationId: "test-id" }),
+}));
+
+const wrapper = ({ children }: { children: React.ReactNode }) => (
+  <MemoryRouter>
+    <QueryClientProvider client={new QueryClient()}>
+      {children}
+    </QueryClientProvider>
+  </MemoryRouter>
+);
+
+const renderAgentStatus = ({
+  isPausing = false,
+}: { isPausing?: boolean } = {}) =>
+  render(
+    <AgentStatus
+      handleStop={vi.fn()}
+      handleResumeAgent={vi.fn()}
+      isPausing={isPausing}
+    />,
+    { wrapper },
+  );
+
+describe("AgentStatus - isLoading logic", () => {
+  it("should show loading when curAgentState is INIT", () => {
+    vi.mocked(useAgentState).mockReturnValue({
+      curAgentState: AgentState.INIT,
+    });
+
+    renderAgentStatus();
+
+    expect(screen.getByTestId("agent-loading-spinner")).toBeInTheDocument();
+  });
+
+  it("should show loading when isPausing is true, even if shouldShownAgentLoading is false", () => {
+    vi.mocked(useAgentState).mockReturnValue({
+      curAgentState: AgentState.AWAITING_USER_INPUT,
+    });
+
+    renderAgentStatus({ isPausing: true });
+
+    expect(screen.getByTestId("agent-loading-spinner")).toBeInTheDocument();
+  });
+
+  it("should NOT update global shouldShownAgentLoading when only isPausing is true", () => {
+    vi.mocked(useAgentState).mockReturnValue({
+      curAgentState: AgentState.AWAITING_USER_INPUT,
+    });
+
+    renderAgentStatus({ isPausing: true });
+
+    // Loading spinner shows (because isPausing)
+    expect(screen.getByTestId("agent-loading-spinner")).toBeInTheDocument();
+
+    // But global state should be false (because shouldShownAgentLoading is false)
+    const { shouldShownAgentLoading } = useConversationStore.getState();
+    expect(shouldShownAgentLoading).toBe(false);
+  });
+});
diff --git a/frontend/src/components/features/controls/agent-status.tsx b/frontend/src/components/features/controls/agent-status.tsx
index 078eb5f40f..675b5881a3 100644
--- a/frontend/src/components/features/controls/agent-status.tsx
+++ b/frontend/src/components/features/controls/agent-status.tsx
@@ -59,13 +59,15 @@ export function AgentStatus({
   );
 
   const shouldShownAgentLoading =
-    isPausing ||
     curAgentState === AgentState.INIT ||
     curAgentState === AgentState.LOADING ||
     (webSocketStatus === "CONNECTING" && taskStatus !== "ERROR") ||
     isTaskPolling(taskStatus) ||
     isTaskPolling(subConversationTaskStatus);
 
+  // For UI rendering - includes pause state
+  const isLoading = shouldShownAgentLoading || isPausing;
+
   const shouldShownAgentError =
     curAgentState === AgentState.ERROR ||
     curAgentState === AgentState.RATE_LIMITED ||
@@ -93,25 +95,28 @@ export function AgentStatus({
       <div
         className={cn(
           "bg-[#525252] box-border content-stretch flex flex-row gap-[3px] items-center justify-center overflow-clip px-0.5 py-1 relative rounded-[100px] shrink-0 size-6 transition-all duration-200 active:scale-95",
-          !shouldShownAgentLoading &&
+          !isLoading &&
             (shouldShownAgentStop || shouldShownAgentResume) &&
             "hover:bg-[#737373] cursor-pointer",
         )}
       >
-        {shouldShownAgentLoading && <AgentLoading />}
-        {!shouldShownAgentLoading && shouldShownAgentStop && (
+        {isLoading && <AgentLoading />}
+        {!isLoading && shouldShownAgentStop && (
           <ChatStopButton handleStop={handleStop} />
         )}
-        {!shouldShownAgentLoading && shouldShownAgentResume && (
+        {!isLoading && shouldShownAgentResume && (
           <ChatResumeAgentButton
             onAgentResumed={handleResumeAgent}
             disabled={disabled}
           />
         )}
-        {!shouldShownAgentLoading && shouldShownAgentError && (
-          <CircleErrorIcon className="w-4 h-4" />
+        {!isLoading && shouldShownAgentError && (
+          <CircleErrorIcon
+            className="w-4 h-4"
+            data-testid="circle-error-icon"
+          />
         )}
-        {!shouldShownAgentLoading &&
+        {!isLoading &&
           !shouldShownAgentStop &&
           !shouldShownAgentResume &&
           !shouldShownAgentError && <ClockIcon className="w-4 h-4" />}