diff --git a/cmd/root.go b/cmd/root.go
index 6e540afa..3871456f 100644
--- a/cmd/root.go
+++ b/cmd/root.go
@@ -384,6 +384,11 @@ func runAgenticLoop(ctx context.Context, mcpAgent *agent.Agent, cli *ui.CLI, mes
 		// Process the initial prompt with tool calls
 		response, err := runAgenticStep(ctx, mcpAgent, cli, messages, config)
 		if err != nil {
+			// Check if this was a user cancellation
+			if err.Error() == "generation cancelled by user" && cli != nil {
+				cli.DisplayCancellation()
+				return nil // Don't treat cancellation as an error for exit code
+			}
 			return err
 		}
 
@@ -536,17 +541,23 @@ func runInteractiveLoop(ctx context.Context, mcpAgent *agent.Agent, cli *ui.CLI,
 		// Display user message
 		cli.DisplayUserMessage(prompt)
 
-		// Add user message to history
-		messages = append(messages, schema.UserMessage(prompt))
+		// Create temporary messages with user input for processing
+		tempMessages := append(messages, schema.UserMessage(prompt))
 
 		// Process the user input with tool calls
-		response, err := runAgenticStep(ctx, mcpAgent, cli, messages, config)
+		response, err := runAgenticStep(ctx, mcpAgent, cli, tempMessages, config)
 		if err != nil {
-			cli.DisplayError(fmt.Errorf("agent error: %v", err))
+			// Check if this was a user cancellation
+			if err.Error() == "generation cancelled by user" {
+				cli.DisplayCancellation()
+			} else {
+				cli.DisplayError(fmt.Errorf("agent error: %v", err))
+			}
 			continue
 		}
 
-		// Add assistant response to history
+		// Only add to history after successful completion
+		messages = append(messages, schema.UserMessage(prompt))
 		messages = append(messages, response)
 	}
 }
diff --git a/internal/agent/agent.go b/internal/agent/agent.go
index ba79433c..135533d7 100644
--- a/internal/agent/agent.go
+++ b/internal/agent/agent.go
@@ -4,7 +4,9 @@ import (
 	"context"
 	"encoding/json"
 	"fmt"
+	"time"
 
+	tea "github.com/charmbracelet/bubbletea"
 	"github.com/cloudwego/eino/components/model"
 	"github.com/cloudwego/eino/components/tool"
 	"github.com/cloudwego/eino/schema"
@@ -104,10 +106,17 @@ func (a *Agent) GenerateWithLoop(ctx context.Context, messages []*schema.Message
 
 	// Main loop
 	for step := 0; a.maxSteps == 0 || step < a.maxSteps; step++ {
-		// Call the LLM
-		response, err := a.model.Generate(ctx, workingMessages, model.WithTools(toolInfos))
+		// Check if context was cancelled before making LLM call
+		select {
+		case <-ctx.Done():
+			return nil, ctx.Err()
+		default:
+		}
+
+		// Call the LLM with cancellation support
+		response, err := a.generateWithCancellation(ctx, workingMessages, toolInfos)
 		if err != nil {
-			return nil, fmt.Errorf("failed to generate response: %v", err)
+			return nil, err
 		}
 
 		// Add response to working messages
@@ -194,6 +203,133 @@ func (a *Agent) GetTools() []tool.BaseTool {
 	return a.toolManager.GetTools()
 }
 
+// generateWithCancellation calls the LLM with ESC key cancellation support
+func (a *Agent) generateWithCancellation(ctx context.Context, messages []*schema.Message, toolInfos []*schema.ToolInfo) (*schema.Message, error) {
+	// Create a cancellable context for just this LLM call
+	llmCtx, cancel := context.WithCancel(ctx)
+	defer cancel()
+
+	// Channel to receive the LLM result
+	resultChan := make(chan struct {
+		message *schema.Message
+		err     error
+	}, 1)
+
+	// Start the LLM generation in a goroutine
+	go func() {
+		message, err := a.model.Generate(llmCtx, messages, model.WithTools(toolInfos))
+		if err != nil {
+			err = fmt.Errorf("failed to generate response: %v", err)
+		}
+		resultChan <- struct {
+			message *schema.Message
+			err     error
+		}{message, err}
+	}()
+
+	// Start ESC key listener (Bubble Tea handles all the complexity)
+	escChan := make(chan bool, 1)
+	stopListening := make(chan bool, 1)
+
+	go func() {
+		if a.listenForESC(stopListening) {
+			escChan <- true
+		} else {
+			escChan <- false
+		}
+	}()
+
+	// Wait for either LLM completion or ESC key
+	select {
+	case result := <-resultChan:
+		// Stop the ESC listener
+		close(stopListening)
+		return result.message, result.err
+	case escPressed := <-escChan:
+		if escPressed {
+			cancel() // Cancel the LLM context
+			return nil, fmt.Errorf("generation cancelled by user")
+		}
+		// ESC listener stopped normally, wait for LLM result
+		result := <-resultChan
+		return result.message, result.err
+	case <-ctx.Done():
+		// Stop the ESC listener
+		close(stopListening)
+		return nil, ctx.Err()
+	}
+}
+
+// escListenerModel is a simple Bubble Tea model for ESC key detection
+type escListenerModel struct {
+	escPressed chan bool
+}
+
+func (m escListenerModel) Init() tea.Cmd {
+	return nil
+}
+
+func (m escListenerModel) Update(msg tea.Msg) (tea.Model, tea.Cmd) {
+	switch msg := msg.(type) {
+	case tea.KeyMsg:
+		if msg.Type == tea.KeyEsc {
+			// Signal ESC was pressed
+			select {
+			case m.escPressed <- true:
+			default:
+			}
+			return m, tea.Quit
+		}
+	}
+	return m, nil
+}
+
+func (m escListenerModel) View() string {
+	return "" // No visual output needed
+}
+
+// listenForESC listens for ESC key press using Bubble Tea and returns true if detected
+func (a *Agent) listenForESC(stopChan chan bool) bool {
+	escPressed := make(chan bool, 1)
+
+	model := escListenerModel{
+		escPressed: escPressed,
+	}
+
+	// Create a Bubble Tea program
+	p := tea.NewProgram(model, tea.WithoutRenderer())
+
+	// Start the program in a goroutine
+	go func() {
+		if _, err := p.Run(); err != nil {
+			// Program failed, try to signal completion
+			select {
+			case escPressed <- false:
+			default:
+			}
+		}
+	}()
+
+	// Wait for either ESC key or stop signal
+	select {
+	case <-stopChan:
+		p.Kill()
+		// Give the program time to fully terminate
+		time.Sleep(50 * time.Millisecond)
+		return false
+	case pressed := <-escPressed:
+		p.Kill()
+		// Give the program time to fully terminate
+		time.Sleep(50 * time.Millisecond)
+		return pressed
+	case <-time.After(30 * time.Second):
+		// Timeout after 30 seconds to prevent hanging
+		p.Kill()
+		time.Sleep(50 * time.Millisecond)
+		return false
+	}
+}
+
 // Close closes the agent and cleans up resources
 func (a *Agent) Close() error {
 	return a.toolManager.Close()
diff --git a/internal/config/config.go b/internal/config/config.go
index 1778183e..238a4bf9 100644
--- a/internal/config/config.go
+++ b/internal/config/config.go
@@ -48,8 +48,6 @@ func (c *Config) Validate() error {
 	return nil
 }
 
-
-
 // LoadSystemPrompt loads system prompt from file or returns the string directly
 func LoadSystemPrompt(input string) (string, error) {
 	if input == "" {
diff --git a/internal/ui/cli.go b/internal/ui/cli.go
index bb547c82..fe8c29df 100644
--- a/internal/ui/cli.go
+++ b/internal/ui/cli.go
@@ -52,7 +52,7 @@ func (c *CLI) GetPrompt() (string, error) {
 
 	var prompt string
 	err := huh.NewForm(huh.NewGroup(huh.NewText().
-		Title("Enter your prompt (Type /help for commands, Ctrl+C to quit)").
+		Title("Enter your prompt (Type /help for commands, Ctrl+C to quit, ESC to cancel generation)").
 		Value(&prompt).
 		CharLimit(5000)),
 	).WithWidth(c.width).
@@ -152,6 +152,13 @@ func (c *CLI) DisplayInfo(message string) {
 	c.displayContainer()
 }
 
+// DisplayCancellation displays a cancellation message
+func (c *CLI) DisplayCancellation() {
+	msg := c.messageRenderer.RenderSystemMessage("Generation cancelled by user (ESC pressed)", time.Now())
+	c.messageContainer.AddMessage(msg)
+	c.displayContainer()
+}
+
 // DisplayDebugConfig displays configuration settings in debug mode using tool response block styling
 func (c *CLI) DisplayDebugConfig(config map[string]any) {
 	msg := c.messageRenderer.RenderDebugConfigMessage(config, time.Now())
@@ -169,6 +176,7 @@ func (c *CLI) DisplayHelp() {
 - ` + "`/history`" + `: Display conversation history
 - ` + "`/quit`" + `: Exit the application
 - ` + "`Ctrl+C`" + `: Exit at any time
+- ` + "`ESC`" + `: Cancel ongoing LLM generation
 
 You can also just type your message to chat with the AI assistant.`