diff --git a/.buildkite/intel/pipeline-intel.yml b/.buildkite/intel/pipeline-intel.yml
index d6134b028..1e2f86af2 100644
--- a/.buildkite/intel/pipeline-intel.yml
+++ b/.buildkite/intel/pipeline-intel.yml
@@ -10,7 +10,7 @@ steps:
           DOCKER_BUILDKIT: "1"
           # Buildkite will automatically replace this with the actual commit hash
           VLLM_IMAGE_TAG: "${BUILDKITE_COMMIT}"
-          VLLM_VERSION: "v0.28.0"
+          VLLM_VERSION: "v0.29.0"
         priority: 100
         timeout_in_minutes: 60
         soft_fail: false
diff --git a/docker/Dockerfile.xpu b/docker/Dockerfile.xpu
index acfa71588..018bc4316 100644
--- a/docker/Dockerfile.xpu
+++ b/docker/Dockerfile.xpu
@@ -1,4 +1,4 @@
-# Target vLLM version: v0.28.0. Keep VLLM_VERSION aligned with the target vLLM
+# Target vLLM version: v0.29.0. Keep VLLM_VERSION aligned with the target vLLM
 # release on every rebase.
 #
 # This file layers vLLM-Omni on top of the published upstream XPU image, which
@@ -18,7 +18,7 @@
 #
 # .buildkite/intel/scripts/run-xpu-test.sh automates that pull-then-build fallback.
 ARG VLLM_BASE_IMAGE=vllm/vllm-openai-xpu
-ARG VLLM_VERSION=v0.28.0
+ARG VLLM_VERSION=v0.29.0
 ARG VLLM_BASE=${VLLM_BASE_IMAGE}:${VLLM_VERSION}
 
 FROM ${VLLM_BASE} AS vllm-omni