diff --git a/.dockerignore b/.dockerignore
new file mode 100644
index 000000000..279452a02
--- /dev/null
+++ b/.dockerignore
@@ -0,0 +1,21 @@
+# Keep Docker build contexts lean for CloudXR compose builds.
+# Ignore everything by default, then allow only what current Dockerfiles need.
+
+*
+
+# Allow Docker metadata files.
+!.dockerignore
+
+# Allow CloudXR Dockerfiles and runtime assets.
+!deps/cloudxr/
+
+# Allow build artifacts and tests consumed by Dockerfile.test and Dockerfile.runtime.
+!install/
+!examples/
+
+# Allow building from source for ros2 workflows
+!cmake/
+!deps/
+!src/
+!CMakeLists.txt
+!VERSION
diff --git a/.github/workflows/build-ubuntu.yml b/.github/workflows/build-ubuntu.yml
index 5c1f91411..c596c6b58 100644
--- a/.github/workflows/build-ubuntu.yml
+++ b/.github/workflows/build-ubuntu.yml
@@ -165,7 +165,22 @@ jobs:
         ngc-cli-api-key: ${{ secrets.NGC_TELEOP_CORE_GITHUB_SERVICE_KEY }}
 
     - name: Set up Docker Buildx
-      uses: docker/setup-buildx-action@v3
+      uses: docker/setup-buildx-action@v4.0.0
+
+    - name: Cache teleop_ros2 base stage
+      uses: docker/build-push-action@v7
+      with:
+        context: .
+        file: examples/teleop_ros2/Dockerfile
+        target: base
+        build-args: |
+          ROS_DISTRO=${{ matrix.ros_distro }}
+          PYTHON_VERSION=${{ matrix.python_version }}
+        tags: teleop_ros2_base:${{ matrix.ros_distro }}-py${{ matrix.python_version }}
+        load: true
+        push: false
+        cache-from: type=gha,scope=teleop-ros2-base-${{ matrix.ros_distro }}-py${{ matrix.python_version }}
+        cache-to: type=gha,mode=max,scope=teleop-ros2-base-${{ matrix.ros_distro }}-py${{ matrix.python_version }}
 
     - name: Build teleop_ros2 image
       run: |
@@ -208,7 +223,7 @@ jobs:
         tar -xvf isaacteleop-install.tar -C install
 
     - name: Set up Docker Buildx
-      uses: docker/setup-buildx-action@v3
+      uses: docker/setup-buildx-action@v4.0.0
 
     - name: Run Tests with CloudXR
       env:
diff --git a/cmake/IsaacTeleopVersion.cmake b/cmake/IsaacTeleopVersion.cmake
index b6efc6746..993e66b0c 100644
--- a/cmake/IsaacTeleopVersion.cmake
+++ b/cmake/IsaacTeleopVersion.cmake
@@ -14,7 +14,6 @@
 #   * RC (CI + branch release/X.Y.x): branch must match base version; Python version X.Y.PATCHrc, no local.
 #   * Local working copy (non-CI): Python version X.Y+local and CMake version X.Y (patch omitted).
 function(isaac_teleop_read_version version_file out_cmake_version_var out_pyproject_version_var)
-	find_package(Git REQUIRED)
 	get_filename_component(_isaac_teleop_version_file "${version_file}" ABSOLUTE)
 	if(NOT EXISTS "${_isaac_teleop_version_file}")
 		message(FATAL_ERROR "Version file not found: ${_isaac_teleop_version_file}")
@@ -22,79 +21,12 @@ function(isaac_teleop_read_version version_file out_cmake_version_var out_pyproj
 	file(READ "${_isaac_teleop_version_file}" _isaac_teleop_version_base)
 	string(STRIP "${_isaac_teleop_version_base}" _isaac_teleop_version_base)
 
-	execute_process(
-		COMMAND "${GIT_EXECUTABLE}" -C "${CMAKE_CURRENT_SOURCE_DIR}" rev-parse --show-toplevel
-		OUTPUT_VARIABLE _isaac_teleop_git_root
-		OUTPUT_STRIP_TRAILING_WHITESPACE
-		ERROR_QUIET
-		RESULT_VARIABLE _isaac_teleop_git_root_result
-	)
-	if(NOT _isaac_teleop_git_root_result EQUAL 0 OR _isaac_teleop_git_root STREQUAL "")
-		message(FATAL_ERROR "Failed to determine git root. Ensure this is a git repository and git is available.")
-	endif()
-	execute_process(
-		COMMAND "${GIT_EXECUTABLE}" -C "${_isaac_teleop_git_root}" rev-list -n 1 HEAD -- "${_isaac_teleop_version_file}"
-		OUTPUT_VARIABLE _isaac_teleop_version_commit
-		OUTPUT_STRIP_TRAILING_WHITESPACE
-		ERROR_QUIET
-		RESULT_VARIABLE _isaac_teleop_version_commit_result
-	)
-	if(NOT _isaac_teleop_version_commit_result EQUAL 0 OR _isaac_teleop_version_commit STREQUAL "")
-		message(FATAL_ERROR "Failed to locate last commit for version file: ${_isaac_teleop_version_file}")
-	endif()
-	execute_process(
-		COMMAND "${GIT_EXECUTABLE}" -C "${_isaac_teleop_git_root}" rev-list --count "${_isaac_teleop_version_commit}..HEAD"
-		OUTPUT_VARIABLE _isaac_teleop_git_count
-		OUTPUT_STRIP_TRAILING_WHITESPACE
-		ERROR_QUIET
-		RESULT_VARIABLE _isaac_teleop_git_count_result
-	)
-	if(NOT _isaac_teleop_git_count_result EQUAL 0)
-		message(FATAL_ERROR "Failed to count commits since ${_isaac_teleop_version_commit}.")
-	endif()
-	if(NOT _isaac_teleop_git_count MATCHES "^[0-9]+$")
-		message(FATAL_ERROR "Invalid git commit count: '${_isaac_teleop_git_count}'")
-	endif()
-
-	execute_process(
-		COMMAND "${GIT_EXECUTABLE}" -C "${_isaac_teleop_git_root}" rev-parse --abbrev-ref HEAD
-		OUTPUT_VARIABLE _isaac_teleop_git_branch
-		OUTPUT_STRIP_TRAILING_WHITESPACE
-		ERROR_QUIET
-		RESULT_VARIABLE _isaac_teleop_git_branch_result
-	)
-	if(NOT _isaac_teleop_git_branch_result EQUAL 0 OR _isaac_teleop_git_branch STREQUAL "")
-		message(FATAL_ERROR "Failed to determine git branch name.")
-	endif()
-	if(_isaac_teleop_git_branch STREQUAL "HEAD")
-		if(DEFINED ENV{GITHUB_REF_NAME} AND NOT "$ENV{GITHUB_REF_NAME}" STREQUAL "")
-			set(_isaac_teleop_git_branch "$ENV{GITHUB_REF_NAME}")
-		elseif(DEFINED ENV{GITHUB_HEAD_REF} AND NOT "$ENV{GITHUB_HEAD_REF}" STREQUAL "")
-			set(_isaac_teleop_git_branch "$ENV{GITHUB_HEAD_REF}")
-		elseif(DEFINED ENV{CI_COMMIT_REF_NAME} AND NOT "$ENV{CI_COMMIT_REF_NAME}" STREQUAL "")
-			set(_isaac_teleop_git_branch "$ENV{CI_COMMIT_REF_NAME}")
-		endif()
-	endif()
-
-	execute_process(
-		COMMAND "${GIT_EXECUTABLE}" -C "${_isaac_teleop_git_root}" describe --tags --exact-match
-		OUTPUT_VARIABLE _isaac_teleop_git_tag
-		OUTPUT_STRIP_TRAILING_WHITESPACE
-		ERROR_QUIET
-		RESULT_VARIABLE _isaac_teleop_git_tag_result
-	)
-	if(NOT _isaac_teleop_git_tag_result EQUAL 0)
-		set(_isaac_teleop_git_tag "")
-	endif()
-
 	string(REGEX MATCH "^([0-9]+)\\.([0-9]+)\\.x" _isaac_teleop_version_match "${_isaac_teleop_version_base}")
 	if(NOT _isaac_teleop_version_match)
 		message(FATAL_ERROR "Base version must be in MAJOR.MINOR.x format; actual content: '${_isaac_teleop_version_base}'")
 	endif()
 	set(_isaac_teleop_version_major "${CMAKE_MATCH_1}")
 	set(_isaac_teleop_version_minor "${CMAKE_MATCH_2}")
-	set(_isaac_teleop_version_patch "${_isaac_teleop_git_count}")
-	set(_isaac_teleop_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}.${_isaac_teleop_version_patch}")
 
 	set(_isaac_teleop_is_ci FALSE)
 	if(DEFINED ENV{CI} AND NOT "$ENV{CI}" STREQUAL "")
@@ -104,46 +36,122 @@ function(isaac_teleop_read_version version_file out_cmake_version_var out_pyproj
 		endif()
 	endif()
 
-	set(_isaac_teleop_pyproject_version "")
+	set(_isaac_teleop_git_count "0")
+	set(_isaac_teleop_git_branch "")
+	set(_isaac_teleop_git_tag "")
+	set(_isaac_teleop_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}")
 	set(_isaac_teleop_build_kind "local")
+	set(_isaac_teleop_pyproject_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}+local")
+
+	if(_isaac_teleop_is_ci)
+		find_package(Git REQUIRED)
 
-	if(_isaac_teleop_is_ci AND NOT _isaac_teleop_git_tag STREQUAL "")
-		if(NOT _isaac_teleop_git_tag MATCHES "^v([0-9]+)\\.([0-9]+)\\.([0-9]+)$")
-			message(FATAL_ERROR "Invalid release tag format: '${_isaac_teleop_git_tag}' (expected vMAJOR.MINOR.PATCH)")
+		execute_process(
+			COMMAND "${GIT_EXECUTABLE}" -C "${CMAKE_CURRENT_SOURCE_DIR}" rev-parse --show-toplevel
+			OUTPUT_VARIABLE _isaac_teleop_git_root
+			OUTPUT_STRIP_TRAILING_WHITESPACE
+			ERROR_QUIET
+			RESULT_VARIABLE _isaac_teleop_git_root_result
+		)
+		if(NOT _isaac_teleop_git_root_result EQUAL 0 OR _isaac_teleop_git_root STREQUAL "")
+			message(FATAL_ERROR "Failed to determine git root. Ensure this is a git repository and git is available.")
 		endif()
-		set(_isaac_teleop_tag_version "${CMAKE_MATCH_1}.${CMAKE_MATCH_2}.${CMAKE_MATCH_3}")
-		if(NOT _isaac_teleop_tag_version STREQUAL "${_isaac_teleop_version}")
-			message(FATAL_ERROR "Release tag ${_isaac_teleop_git_tag} does not match calculated version ${_isaac_teleop_version}.")
+		execute_process(
+			COMMAND "${GIT_EXECUTABLE}" -C "${_isaac_teleop_git_root}" rev-list -n 1 HEAD -- "${_isaac_teleop_version_file}"
+			OUTPUT_VARIABLE _isaac_teleop_version_commit
+			OUTPUT_STRIP_TRAILING_WHITESPACE
+			ERROR_QUIET
+			RESULT_VARIABLE _isaac_teleop_version_commit_result
+		)
+		if(NOT _isaac_teleop_version_commit_result EQUAL 0 OR _isaac_teleop_version_commit STREQUAL "")
+			message(FATAL_ERROR "Failed to locate last commit for version file: ${_isaac_teleop_version_file}")
 		endif()
-		set(_isaac_teleop_pyproject_version "${_isaac_teleop_tag_version}")
-		set(_isaac_teleop_build_kind "release")
-	elseif(_isaac_teleop_is_ci AND _isaac_teleop_git_branch MATCHES "^release/([0-9]+)\\.([0-9]+)\\.x$")
-		if(NOT "${CMAKE_MATCH_1}" STREQUAL "${_isaac_teleop_version_major}" OR NOT "${CMAKE_MATCH_2}" STREQUAL "${_isaac_teleop_version_minor}")
-			message(FATAL_ERROR "Release branch ${_isaac_teleop_git_branch} does not match base version ${_isaac_teleop_version_base}.")
+		execute_process(
+			COMMAND "${GIT_EXECUTABLE}" -C "${_isaac_teleop_git_root}" rev-list --count "${_isaac_teleop_version_commit}..HEAD"
+			OUTPUT_VARIABLE _isaac_teleop_git_count
+			OUTPUT_STRIP_TRAILING_WHITESPACE
+			ERROR_QUIET
+			RESULT_VARIABLE _isaac_teleop_git_count_result
+		)
+		if(NOT _isaac_teleop_git_count_result EQUAL 0)
+			message(FATAL_ERROR "Failed to count commits since ${_isaac_teleop_version_commit}.")
 		endif()
-		set(_isaac_teleop_pyproject_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}.${_isaac_teleop_version_patch}rc1")
-		set(_isaac_teleop_build_kind "rc")
-	elseif(_isaac_teleop_is_ci AND _isaac_teleop_git_branch STREQUAL "main")
-		set(_isaac_teleop_pyproject_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}.${_isaac_teleop_version_patch}a1")
-		set(_isaac_teleop_build_kind "alpha")
-	elseif(_isaac_teleop_is_ci)
-		string(TOLOWER "${_isaac_teleop_git_branch}" _isaac_teleop_label)
-		string(REGEX REPLACE "[^a-z0-9._-]" "." _isaac_teleop_label "${_isaac_teleop_label}") # replace disallowed chars with dots
-		string(REGEX REPLACE "[._-]+" "." _isaac_teleop_label "${_isaac_teleop_label}") # collapse separator runs to a single dot
-		string(REGEX REPLACE "^[._-]+" "" _isaac_teleop_label "${_isaac_teleop_label}") # trim leading separators
-		string(REGEX REPLACE "[._-]+$" "" _isaac_teleop_label "${_isaac_teleop_label}") # trim trailing separators
-		if(_isaac_teleop_label STREQUAL "")
-			set(_isaac_teleop_label "unknown")
+		if(NOT _isaac_teleop_git_count MATCHES "^[0-9]+$")
+			message(FATAL_ERROR "Invalid git commit count: '${_isaac_teleop_git_count}'")
+		endif()
+
+		execute_process(
+			COMMAND "${GIT_EXECUTABLE}" -C "${_isaac_teleop_git_root}" rev-parse --abbrev-ref HEAD
+			OUTPUT_VARIABLE _isaac_teleop_git_branch
+			OUTPUT_STRIP_TRAILING_WHITESPACE
+			ERROR_QUIET
+			RESULT_VARIABLE _isaac_teleop_git_branch_result
+		)
+		if(NOT _isaac_teleop_git_branch_result EQUAL 0 OR _isaac_teleop_git_branch STREQUAL "")
+			message(FATAL_ERROR "Failed to determine git branch name.")
+		endif()
+		if(_isaac_teleop_git_branch STREQUAL "HEAD")
+			if(DEFINED ENV{GITHUB_REF_NAME} AND NOT "$ENV{GITHUB_REF_NAME}" STREQUAL "")
+				set(_isaac_teleop_git_branch "$ENV{GITHUB_REF_NAME}")
+			elseif(DEFINED ENV{GITHUB_HEAD_REF} AND NOT "$ENV{GITHUB_HEAD_REF}" STREQUAL "")
+				set(_isaac_teleop_git_branch "$ENV{GITHUB_HEAD_REF}")
+			elseif(DEFINED ENV{CI_COMMIT_REF_NAME} AND NOT "$ENV{CI_COMMIT_REF_NAME}" STREQUAL "")
+				set(_isaac_teleop_git_branch "$ENV{CI_COMMIT_REF_NAME}")
+			endif()
+		endif()
+
+		execute_process(
+			COMMAND "${GIT_EXECUTABLE}" -C "${_isaac_teleop_git_root}" describe --tags --exact-match
+			OUTPUT_VARIABLE _isaac_teleop_git_tag
+			OUTPUT_STRIP_TRAILING_WHITESPACE
+			ERROR_QUIET
+			RESULT_VARIABLE _isaac_teleop_git_tag_result
+		)
+		if(NOT _isaac_teleop_git_tag_result EQUAL 0)
+			set(_isaac_teleop_git_tag "")
+		endif()
+
+		set(_isaac_teleop_version_patch "${_isaac_teleop_git_count}")
+		set(_isaac_teleop_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}.${_isaac_teleop_version_patch}")
+
+		if(NOT _isaac_teleop_git_tag STREQUAL "")
+			if(NOT _isaac_teleop_git_tag MATCHES "^v([0-9]+)\\.([0-9]+)\\.([0-9]+)$")
+				message(FATAL_ERROR "Invalid release tag format: '${_isaac_teleop_git_tag}' (expected vMAJOR.MINOR.PATCH)")
+			endif()
+			set(_isaac_teleop_tag_version "${CMAKE_MATCH_1}.${CMAKE_MATCH_2}.${CMAKE_MATCH_3}")
+			if(NOT _isaac_teleop_tag_version STREQUAL "${_isaac_teleop_version}")
+				message(FATAL_ERROR "Release tag ${_isaac_teleop_git_tag} does not match calculated version ${_isaac_teleop_version}.")
+			endif()
+			set(_isaac_teleop_pyproject_version "${_isaac_teleop_tag_version}")
+			set(_isaac_teleop_build_kind "release")
+		elseif(_isaac_teleop_git_branch MATCHES "^release/([0-9]+)\\.([0-9]+)\\.x$")
+			if(NOT "${CMAKE_MATCH_1}" STREQUAL "${_isaac_teleop_version_major}" OR NOT "${CMAKE_MATCH_2}" STREQUAL "${_isaac_teleop_version_minor}")
+				message(FATAL_ERROR "Release branch ${_isaac_teleop_git_branch} does not match base version ${_isaac_teleop_version_base}.")
+			endif()
+			set(_isaac_teleop_pyproject_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}.${_isaac_teleop_version_patch}rc1")
+			set(_isaac_teleop_build_kind "rc")
+		elseif(_isaac_teleop_git_branch STREQUAL "main")
+			set(_isaac_teleop_pyproject_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}.${_isaac_teleop_version_patch}a1")
+			set(_isaac_teleop_build_kind "alpha")
+		else()
+			string(TOLOWER "${_isaac_teleop_git_branch}" _isaac_teleop_label)
+			string(REGEX REPLACE "[^a-z0-9._-]" "." _isaac_teleop_label "${_isaac_teleop_label}") # replace disallowed chars with dots
+			string(REGEX REPLACE "[._-]+" "." _isaac_teleop_label "${_isaac_teleop_label}") # collapse separator runs to a single dot
+			string(REGEX REPLACE "^[._-]+" "" _isaac_teleop_label "${_isaac_teleop_label}") # trim leading separators
+			string(REGEX REPLACE "[._-]+$" "" _isaac_teleop_label "${_isaac_teleop_label}") # trim trailing separators
+			if(_isaac_teleop_label STREQUAL "")
+				set(_isaac_teleop_label "unknown")
+			endif()
+			set(_isaac_teleop_pyproject_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}.${_isaac_teleop_version_patch}.dev0+${_isaac_teleop_label}")
+			set(_isaac_teleop_build_kind "dev")
 		endif()
-		set(_isaac_teleop_pyproject_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}.${_isaac_teleop_version_patch}.dev0+${_isaac_teleop_label}")
-		set(_isaac_teleop_build_kind "dev")
-	else()
-		set(_isaac_teleop_pyproject_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}+local")
-		set(_isaac_teleop_build_kind "local")
-		set(_isaac_teleop_version "${_isaac_teleop_version_major}.${_isaac_teleop_version_minor}")
 	endif()
 
 	set(${out_cmake_version_var} "${_isaac_teleop_version}" PARENT_SCOPE)
 	set(${out_pyproject_version_var} "${_isaac_teleop_pyproject_version}" PARENT_SCOPE)
-	message(STATUS "IsaacTeleop version: ${_isaac_teleop_version} (${_isaac_teleop_version_base} + ${_isaac_teleop_git_count} commits) python: ${_isaac_teleop_pyproject_version} kind: ${_isaac_teleop_build_kind}")
+	if(_isaac_teleop_is_ci)
+		message(STATUS "IsaacTeleop version: ${_isaac_teleop_version} (${_isaac_teleop_version_base} + ${_isaac_teleop_git_count} commits) python: ${_isaac_teleop_pyproject_version} kind: ${_isaac_teleop_build_kind}")
+	else()
+		message(STATUS "IsaacTeleop version: ${_isaac_teleop_version} (${_isaac_teleop_version_base}; local build) python: ${_isaac_teleop_pyproject_version} kind: ${_isaac_teleop_build_kind}")
+	endif()
 endfunction()
diff --git a/deps/cloudxr/Dockerfile.test b/deps/cloudxr/Dockerfile.test
index fb706dd6f..69f8fc777 100644
--- a/deps/cloudxr/Dockerfile.test
+++ b/deps/cloudxr/Dockerfile.test
@@ -21,12 +21,12 @@ WORKDIR /app
 # Install uv for fast Python package management
 COPY --from=ghcr.io/astral-sh/uv:latest /uv /usr/local/bin/uv
 
-# Copy the install directory (contains wheels, libs, native test binaries, etc.)
-COPY install/ /app/install/
-
 # Copy test files
 COPY examples/oxr/python/ /app/tests/
 
+# Copy the install directory (contains wheels, libs, native test binaries, etc.)
+COPY install/ /app/install/
+
 # Install Python dependencies using uv
 WORKDIR /app/tests
 RUN uv venv --python $PYTHON_VERSION /app/venv && \
@@ -39,7 +39,5 @@ ENV PATH="/app/venv/bin:$PATH"
 ENV PYTHONPATH="/app/install/lib:$PYTHONPATH"
 ENV XR_RUNTIME_JSON="/openxr/openxr_cloudxr.json"
 
-WORKDIR /app/tests
-
 # Default command runs the test script
 CMD ["python", "test_extensions.py"]
diff --git a/deps/cloudxr/docker-compose.test.yaml b/deps/cloudxr/docker-compose.test.yaml
index b631cc194..48635b8a4 100644
--- a/deps/cloudxr/docker-compose.test.yaml
+++ b/deps/cloudxr/docker-compose.test.yaml
@@ -31,8 +31,13 @@ services:
               capabilities: [ gpu ]
 
   # Test runner container
-  # Build with: docker build -t isaacteleop-tests:latest -f deps/cloudxr/Dockerfile.test .
+  # Build handled via docker compose using this service's build definition.
   isaacteleop-tests:
+    build:
+      context: ${CXR_BUILD_CONTEXT:?CXR_BUILD_CONTEXT must point to repository root}
+      dockerfile: deps/cloudxr/Dockerfile.test
+      args:
+        PYTHON_VERSION:
     image: isaacteleop-tests:latest
     pull_policy: never
     network_mode: host
diff --git a/examples/teleop_ros2/Dockerfile b/examples/teleop_ros2/Dockerfile
index a0fe4352d..338b92d13 100644
--- a/examples/teleop_ros2/Dockerfile
+++ b/examples/teleop_ros2/Dockerfile
@@ -64,9 +64,7 @@ ARG PYTHON_VERSION
 
 RUN apt-get update && apt-get install -y --no-install-recommends \
     build-essential \
-    clang-format \
     cmake \
-    git \
     pkg-config \
     && rm -rf /var/lib/apt/lists/*
 
diff --git a/scripts/run_tests_with_cloudxr.sh b/scripts/run_tests_with_cloudxr.sh
index a86b8e24a..b4ced5617 100755
--- a/scripts/run_tests_with_cloudxr.sh
+++ b/scripts/run_tests_with_cloudxr.sh
@@ -248,22 +248,24 @@ fi
 export EXPECTED_ISAACTELEOP_VERSION
 log_info "Expected isaacteleop version from wheel artifact: $EXPECTED_ISAACTELEOP_VERSION"
 
-# Build test container
-log_info "Building test container..."
+# Build CloudXR runtime + test services via compose
+log_info "Building CloudXR runtime and test containers..."
 
-BUILD_ARGS="-q"
+COMPOSE_BUILD_ARGS=()
 if [ "$FORCE_BUILD" = true ]; then
-    BUILD_ARGS="$BUILD_ARGS --no-cache"
+    COMPOSE_BUILD_ARGS+=(--no-cache)
 fi
 
-docker build \
-    $BUILD_ARGS \
-    --build-arg PYTHON_VERSION="$PYTHON_VERSION" \
-    -t isaacteleop-tests:latest \
-    -f deps/cloudxr/Dockerfile.test \
-    .
+docker compose \
+    -p "$COMPOSE_PROJECT" \
+    --env-file "$ENV_DEFAULT" \
+    ${ENV_LOCAL:+--env-file "$ENV_LOCAL"} \
+    ${ENV_TEST:+--env-file "$ENV_TEST"} \
+    -f "$COMPOSE_RUNTIME" \
+    -f "$COMPOSE_TEST" \
+    build "${COMPOSE_BUILD_ARGS[@]}" cloudxr-runtime isaacteleop-tests
 
-log_success "Test container built successfully"
+log_success "CloudXR runtime and test containers built successfully"
 
 # Start CloudXR runtime services
 log_info "Starting CloudXR runtime services..."
@@ -275,7 +277,7 @@ docker compose \
     ${ENV_TEST:+--env-file "$ENV_TEST"} \
     -f "$COMPOSE_RUNTIME" \
     -f "$COMPOSE_TEST" \
-    up --build -d cloudxr-runtime
+    up -d cloudxr-runtime
 
 # Wait for CloudXR runtime to be healthy
 log_info "Waiting for CloudXR runtime to be healthy..."