diff --git a/httpie/downloads.py b/httpie/downloads.py
index 9c4b895e6f..16c1501528 100644
--- a/httpie/downloads.py
+++ b/httpie/downloads.py
@@ -216,12 +216,23 @@ def start(
         """
         assert not self.status.time_started
 
-        # FIXME: some servers still might sent Content-Encoding: gzip
+        # When Content-Encoding is present (e.g., gzip), requests automatically
+        # decompresses the response. In this case, Content-Length represents
+        # the compressed size, but we receive uncompressed bytes. This causes
+        # a mismatch where downloaded bytes > Content-Length, triggering false
+        # "Incomplete download" errors. Skip using Content-Length in this case.
+        # <https://github.com/httpie/cli/issues/1642>
         # <https://github.com/httpie/cli/issues/423>
-        try:
-            total_size = int(final_response.headers['Content-Length'])
-        except (KeyError, ValueError, TypeError):
+        content_encoding = final_response.headers.get('Content-Encoding')
+        if content_encoding:
+            # Can't use Content-Length for progress tracking when response
+            # is encoded, as the decoded size will differ.
             total_size = None
+        else:
+            try:
+                total_size = int(final_response.headers['Content-Length'])
+            except (KeyError, ValueError, TypeError):
+                total_size = None
 
         if not self._output_file:
             self._output_file = self._get_output_file_from_response(
diff --git a/tests/test_downloads.py b/tests/test_downloads.py
index b646a0e6a5..b74377d793 100644
--- a/tests/test_downloads.py
+++ b/tests/test_downloads.py
@@ -159,6 +159,36 @@ def test_download_no_Content_Length(self, mock_env, httpbin_both):
             downloader.finish()
             assert not downloader.interrupted
 
+    def test_download_with_Content_Encoding_gzip(self, mock_env, httpbin_both):
+        """
+        Test that when Content-Encoding is present, downloads are not flagged
+        as interrupted even if the decompressed bytes exceed Content-Length.
+
+        This verifies the fix for https://github.com/httpie/cli/issues/1642
+        where gzipped responses incorrectly triggered "Incomplete download" errors
+        because Content-Length is the compressed size but requests auto-decompresses.
+        """
+        with open(os.devnull, 'w') as devnull:
+            downloader = Downloader(mock_env, output_file=devnull)
+            downloader.start(
+                initial_url='/',
+                final_response=Response(
+                    url=httpbin_both.url + '/',
+                    headers={
+                        # Compressed size in Content-Length
+                        'Content-Length': 100,
+                        'Content-Encoding': 'gzip',
+                    }
+                )
+            )
+            # Simulate receiving decompressed data (more than Content-Length)
+            downloader.chunk_downloaded(b'x' * 500)
+            downloader.chunk_downloaded(b'y' * 500)
+            downloader.finish()
+            # Should NOT be interrupted since Content-Encoding was present
+            # and Content-Length was correctly ignored
+            assert not downloader.interrupted
+
     def test_download_output_from_content_disposition(self, mock_env, httpbin_both):
         with tempfile.TemporaryDirectory() as tmp_dirname:
             orig_cwd = os.getcwd()