diff --git a/pkg/compose/build.go b/pkg/compose/build.go
index 5af6bd8e89a..d3bccf76bcc 100644
--- a/pkg/compose/build.go
+++ b/pkg/compose/build.go
@@ -49,6 +49,8 @@ import (
 	"github.com/moby/buildkit/util/progress/progressui"
 	specs "github.com/opencontainers/image-spec/specs-go/v1"
 	"github.com/sirupsen/logrus"
+	"go.opentelemetry.io/otel/attribute"
+	"go.opentelemetry.io/otel/trace"
 
 	// required to get default driver registered
 	_ "github.com/docker/buildx/driver/docker"
@@ -60,8 +62,11 @@ func (s *composeService) Build(ctx context.Context, project *types.Project, opti
 		return err
 	}
 	return progress.RunWithTitle(ctx, func(ctx context.Context) error {
-		_, err := s.build(ctx, project, options, nil)
-		return err
+		return tracing.SpanWrapFunc("project/build", tracing.ProjectOptions(ctx, project),
+			func(ctx context.Context) error {
+				_, err := s.build(ctx, project, options, nil)
+				return err
+			})(ctx)
 	}, s.stdinfo(), "Building")
 }
 
@@ -100,6 +105,7 @@ func (s *composeService) build(ctx context.Context, project *types.Project, opti
 		return nil, err
 	}
 	if bake {
+		trace.SpanFromContext(ctx).SetAttributes(attribute.String("builder", "bake"))
 		return s.doBuildBake(ctx, project, serviceToBuild, options)
 	}
 
@@ -196,6 +202,7 @@ func (s *composeService) build(ctx context.Context, project *types.Project, opti
 		serviceName := fmt.Sprintf("Service %s", name)
 
 		if !buildkitEnabled {
+			trace.SpanFromContext(ctx).SetAttributes(attribute.String("builder", "classic"))
 			cw.Event(progress.BuildingEvent(serviceName))
 			id, err := s.doBuildClassic(ctx, project, service, options)
 			if err != nil {
@@ -219,6 +226,7 @@ func (s *composeService) build(ctx context.Context, project *types.Project, opti
 			return err
 		}
 
+		trace.SpanFromContext(ctx).SetAttributes(attribute.String("builder", "buildkit"))
 		digest, err := s.doBuildBuildkit(ctx, name, buildOptions, w, nodes)
 		if err != nil {
 			return err
diff --git a/pkg/compose/watch.go b/pkg/compose/watch.go
index 31c811e77e2..cff1d4f0b9b 100644
--- a/pkg/compose/watch.go
+++ b/pkg/compose/watch.go
@@ -33,6 +33,7 @@ import (
 	ccli "github.com/docker/cli/cli/command/container"
 	pathutil "github.com/docker/compose/v2/internal/paths"
 	"github.com/docker/compose/v2/internal/sync"
+	"github.com/docker/compose/v2/internal/tracing"
 	"github.com/docker/compose/v2/pkg/api"
 	"github.com/docker/compose/v2/pkg/watch"
 	"github.com/docker/docker/api/types/container"
@@ -522,7 +523,16 @@ func (s *composeService) rebuild(ctx context.Context, project *types.Project, se
 	options.LogTo.Log(api.WatchLogger, fmt.Sprintf("Rebuilding service(s) %q after changes were detected...", services))
 	// restrict the build to ONLY this service, not any of its dependencies
 	options.Build.Services = services
-	imageNameToIdMap, err := s.build(ctx, project, *options.Build, nil)
+
+	var (
+		imageNameToIdMap map[string]string
+		err              error
+	)
+	err = tracing.SpanWrapFunc("project/build", tracing.ProjectOptions(ctx, project),
+		func(ctx context.Context) error {
+			imageNameToIdMap, err = s.build(ctx, project, *options.Build, nil)
+			return err
+		})(ctx)
 	if err != nil {
 		options.LogTo.Log(api.WatchLogger, fmt.Sprintf("Build failed. Error: %v", err))
 		return err