diff --git a/packages/@adobe/react-spectrum/src/dialog/AlertDialog.tsx b/packages/@adobe/react-spectrum/src/dialog/AlertDialog.tsx
index e93f0ae8325..54ac621e20a 100644
--- a/packages/@adobe/react-spectrum/src/dialog/AlertDialog.tsx
+++ b/packages/@adobe/react-spectrum/src/dialog/AlertDialog.tsx
@@ -65,7 +65,8 @@ export const AlertDialog = forwardRef(function AlertDialog(
   props: SpectrumAlertDialogProps,
   ref: DOMRef
 ) {
-  let {onClose = () => {}} = useContext(DialogContext) || ({} as DialogContextValue);
+  let outerContext = useContext(DialogContext) || ({} as DialogContextValue);
+  let {onClose = () => {}} = outerContext;
 
   let {
     variant,
@@ -94,54 +95,70 @@ export const AlertDialog = forwardRef(function AlertDialog(
     }
   }
 
+  // Provide a context that forwards the onCancel callback when Escape dismisses the dialog.
+  // The Escape key is handled by the overlay (Modal/Tray), which calls state.close() directly
+  // and bypasses the cancel button's onPress handler. By injecting an onKeyDown into the
+  // dialog's context we ensure onCancel fires for keyboard-initiated dismissals too.
+  let contextWithEscapeCancel: DialogContextValue = {
+    ...outerContext,
+    onKeyDown: e => {
+      if (e.key === 'Escape' && props.onCancel) {
+        props.onCancel();
+      }
+      outerContext.onKeyDown?.(e);
+    }
+  };
+
   return (
-    <Dialog
-      UNSAFE_style={styleProps.style}
-      UNSAFE_className={classNames(
-        styles,
-        {[`spectrum-Dialog--${variant}`]: variant},
-        styleProps.className
-      )}
-      isHidden={styleProps.hidden}
-      size="M"
-      role="alertdialog"
-      ref={ref}
-      {...filterDOMProps(props)}>
-      <Heading>{title}</Heading>
-      {(variant === 'error' || variant === 'warning') && (
-        <AlertMedium slot="typeIcon" aria-label={stringFormatter.format('alert')} />
-      )}
-      <Divider />
-      <Content>{children}</Content>
-      <ButtonGroup align="end">
-        {cancelLabel && (
-          <Button
-            variant="secondary"
-            onPress={() => chain(onClose(), onCancel())}
-            autoFocus={autoFocusButton === 'cancel'}
-            data-testid="rsp-AlertDialog-cancelButton">
-            {cancelLabel}
-          </Button>
+    <DialogContext.Provider value={contextWithEscapeCancel}>
+      <Dialog
+        UNSAFE_style={styleProps.style}
+        UNSAFE_className={classNames(
+          styles,
+          {[`spectrum-Dialog--${variant}`]: variant},
+          styleProps.className
+        )}
+        isHidden={styleProps.hidden}
+        size="M"
+        role="alertdialog"
+        ref={ref}
+        {...filterDOMProps(props)}>
+        <Heading>{title}</Heading>
+        {(variant === 'error' || variant === 'warning') && (
+          <AlertMedium slot="typeIcon" aria-label={stringFormatter.format('alert')} />
         )}
-        {secondaryActionLabel && (
+        <Divider />
+        <Content>{children}</Content>
+        <ButtonGroup align="end">
+          {cancelLabel && (
+            <Button
+              variant="secondary"
+              onPress={() => chain(onClose(), onCancel())}
+              autoFocus={autoFocusButton === 'cancel'}
+              data-testid="rsp-AlertDialog-cancelButton">
+              {cancelLabel}
+            </Button>
+          )}
+          {secondaryActionLabel && (
+            <Button
+              variant="secondary"
+              onPress={() => chain(onClose(), onSecondaryAction())}
+              isDisabled={isSecondaryActionDisabled}
+              autoFocus={autoFocusButton === 'secondary'}
+              data-testid="rsp-AlertDialog-secondaryButton">
+              {secondaryActionLabel}
+            </Button>
+          )}
           <Button
-            variant="secondary"
-            onPress={() => chain(onClose(), onSecondaryAction())}
-            isDisabled={isSecondaryActionDisabled}
-            autoFocus={autoFocusButton === 'secondary'}
-            data-testid="rsp-AlertDialog-secondaryButton">
-            {secondaryActionLabel}
+            variant={confirmVariant}
+            onPress={() => chain(onClose(), onPrimaryAction())}
+            isDisabled={isPrimaryActionDisabled}
+            autoFocus={autoFocusButton === 'primary'}
+            data-testid="rsp-AlertDialog-confirmButton">
+            {primaryActionLabel}
           </Button>
-        )}
-        <Button
-          variant={confirmVariant}
-          onPress={() => chain(onClose(), onPrimaryAction())}
-          isDisabled={isPrimaryActionDisabled}
-          autoFocus={autoFocusButton === 'primary'}
-          data-testid="rsp-AlertDialog-confirmButton">
-          {primaryActionLabel}
-        </Button>
-      </ButtonGroup>
-    </Dialog>
+        </ButtonGroup>
+      </Dialog>
+    </DialogContext.Provider>
   );
 });
diff --git a/packages/@adobe/react-spectrum/src/dialog/Dialog.tsx b/packages/@adobe/react-spectrum/src/dialog/Dialog.tsx
index 4bdcc4f298c..b6f0392e458 100644
--- a/packages/@adobe/react-spectrum/src/dialog/Dialog.tsx
+++ b/packages/@adobe/react-spectrum/src/dialog/Dialog.tsx
@@ -55,7 +55,11 @@ let sizeMap = {
  */
 export const Dialog = React.forwardRef(function Dialog(props: SpectrumDialogProps, ref: DOMRef) {
   props = useSlotProps(props, 'dialog');
-  let {type = 'modal', ...contextProps} = useContext(DialogContext) || ({} as DialogContextValue);
+  let {
+    type = 'modal',
+    onKeyDown: contextOnKeyDown,
+    ...contextProps
+  } = useContext(DialogContext) || ({} as DialogContextValue);
   let {
     children,
     isDismissable = contextProps.isDismissable,
@@ -72,6 +76,9 @@ export const Dialog = React.forwardRef(function Dialog(props: SpectrumDialogProp
   let gridRef = useRef(null);
   let sizeVariant = sizeMap[type] || sizeMap[size];
   let {dialogProps, titleProps} = useDialog(mergeProps(contextProps, props), domRef);
+  if (contextOnKeyDown) {
+    dialogProps = mergeProps(dialogProps, {onKeyDown: contextOnKeyDown});
+  }
 
   let hasHeader = useHasChild(`.${styles['spectrum-Dialog-header']}`, unwrapDOMRef(gridRef));
   let hasHeading = useHasChild(`.${styles['spectrum-Dialog-heading']}`, unwrapDOMRef(gridRef));
diff --git a/packages/@adobe/react-spectrum/test/dialog/AlertDialog.test.js b/packages/@adobe/react-spectrum/test/dialog/AlertDialog.test.js
index 9a85f56405a..27c4e2ec5d3 100644
--- a/packages/@adobe/react-spectrum/test/dialog/AlertDialog.test.js
+++ b/packages/@adobe/react-spectrum/test/dialog/AlertDialog.test.js
@@ -246,4 +246,50 @@ describe('AlertDialog', function () {
     let primaryBtn = getByTestId('rsp-AlertDialog-confirmButton');
     expect(primaryBtn).toBeDefined();
   });
+
+  it('fires onCancel when Escape key is pressed', async function () {
+    let user = userEvent.setup({delay: null, pointerMap});
+    let onCancelSpy = jest.fn();
+    let {getByRole} = render(
+      <Provider theme={theme}>
+        <AlertDialog
+          variant="confirmation"
+          title="the title"
+          primaryActionLabel="confirm"
+          cancelLabel="cancel"
+          onCancel={onCancelSpy}>
+          Content body
+        </AlertDialog>
+      </Provider>
+    );
+
+    let dialog = getByRole('alertdialog');
+    expect(document.activeElement).toBe(dialog);
+
+    await user.keyboard('{Escape}');
+    expect(onCancelSpy).toHaveBeenCalledTimes(1);
+  });
+
+  it('does not fire onCancel on Escape when onCancel prop is not provided', async function () {
+    let user = userEvent.setup({delay: null, pointerMap});
+    let onPrimaryAction = jest.fn();
+    let {getByRole} = render(
+      <Provider theme={theme}>
+        <AlertDialog
+          variant="confirmation"
+          title="the title"
+          primaryActionLabel="confirm"
+          onPrimaryAction={onPrimaryAction}>
+          Content body
+        </AlertDialog>
+      </Provider>
+    );
+
+    let dialog = getByRole('alertdialog');
+    expect(document.activeElement).toBe(dialog);
+
+    // Should not throw or call anything unexpected
+    await user.keyboard('{Escape}');
+    expect(onPrimaryAction).toHaveBeenCalledTimes(0);
+  });
 });