diff --git a/crates/ail/tests/e2e.rs b/crates/ail/tests/e2e.rs
index 84fb8a6..45f3bc5 100644
--- a/crates/ail/tests/e2e.rs
+++ b/crates/ail/tests/e2e.rs
@@ -1798,3 +1798,179 @@ fn alloc_rc_own_param_dec_at_fn_return() {
         "head_or_zero's `%arg_xs` drop must appear BEFORE the `ret i64` instruction. Pre-ret slice was:\n{pre_ret}"
     );
 }
+
+/// Iter 18e: `(drop-iterative)` opt-in annotation. The fixture
+/// declares `IntList` with `(drop-iterative)` and runs an N=1,000,000
+/// cell list through `head_or_zero`. The fn signature is
+/// `(own (con IntList))` — 18d.4 emits a drop on the param at fn
+/// return; under 18e that drop dispatches into the worklist body of
+/// `drop_<m>_<IntList>` (or, in the canonical case here, into the
+/// arm-close drop on `t` since the Cons arm pattern-binds the tail).
+/// Either way, freeing the 1M-cell chain runs the iterative loop in
+/// `runtime/rc.c` instead of recursing 1M frames deep on the C
+/// stack.
+///
+/// Why 1M and not 100K: at 100K the recursive cascade still fits
+/// in Linux's 8MB default stack (~64B/frame). 1M overflows clean
+/// without the annotation (SIGSEGV) and runs cleanly with it. The
+/// test would be a false-negative — passing without the iterative
+/// body — at 100K.
+///
+/// Properties guarded:
+///   1. `--alloc=rc` produces stdout `1\n` (the head of the
+///      tail-recursively-built `[1, 2, ..., 1_000_000]`).
+///   2. The binary exits cleanly (status 0; no SIGSEGV from a
+///      recursive cascade overflowing the C stack — which DOES
+///      happen on the same fixture with the annotation removed,
+///      hand-verified during 18e implementation).
+///   3. `--alloc=gc` produces the same stdout (allocator-equivalence
+///      backstop; 1M cells at 24B each ≈ 24MB, well within Boehm's
+///      capacity).
+#[test]
+fn alloc_rc_drop_iterative_handles_million_cell_list() {
+    let example = "rc_drop_iterative_long_list.ail.json";
+    let stdout_gc = build_and_run_with_alloc(example, "gc");
+    let stdout_rc = build_and_run_with_alloc(example, "rc");
+    assert_eq!(stdout_rc.trim(), "1");
+    assert_eq!(stdout_gc.trim(), "1");
+    assert_eq!(
+        stdout_gc, stdout_rc,
+        "alloc=rc must match alloc=gc on rc_drop_iterative_long_list"
+    );
+}
+
+/// Iter 18e: IR-shape signature of `(drop-iterative)`. The drop fn
+/// for the annotated type contains a worklist loop (`br label
+/// %loop_head`, the runtime-helper calls, a backedge from each ctor
+/// arm) and does NOT contain a recursive `call void @drop_<m>_<T>(...)`
+/// against itself — the recursion has been replaced by worklist
+/// dispatch.
+#[test]
+fn iter18e_drop_iterative_emits_worklist_body_no_self_recursion() {
+    let example = "rc_drop_iterative_long_list.ail.json";
+    let manifest_dir = env!("CARGO_MANIFEST_DIR");
+    let workspace = Path::new(manifest_dir).parent().unwrap().parent().unwrap();
+    let json_path = workspace.join("examples").join(example);
+    let ws = ailang_core::load_workspace(&json_path).expect("load workspace");
+    let mut lifted_modules = std::collections::BTreeMap::new();
+    for (mname, m) in &ws.modules {
+        let desugared = ailang_core::desugar::desugar_module(m);
+        let lifted = ailang_check::lift_letrecs(&desugared)
+            .unwrap_or_else(|e| panic!("lift_letrecs in module `{mname}`: {e:?}"));
+        lifted_modules.insert(mname.clone(), lifted);
+    }
+    let lifted_ws = ailang_core::Workspace {
+        entry: ws.entry.clone(),
+        modules: lifted_modules,
+        root_dir: ws.root_dir.clone(),
+    };
+    let ir = ailang_codegen::lower_workspace_with_alloc(
+        &lifted_ws,
+        ailang_codegen::AllocStrategy::Rc,
+    )
+    .expect("lower workspace under rc");
+
+    // Locate the drop fn body. There is exactly one
+    // `define void @drop_rc_drop_iterative_long_list_IntList(`.
+    let drop_start = ir
+        .find("define void @drop_rc_drop_iterative_long_list_IntList(")
+        .expect("drop fn definition present");
+    let drop_end_offset = ir[drop_start..]
+        .find("\n}\n")
+        .expect("drop fn ends with `}`");
+    let drop_body = &ir[drop_start..drop_start + drop_end_offset];
+
+    // Worklist signatures: backedge label, push, pop, free, all
+    // present in the body.
+    assert!(
+        drop_body.contains("br label %loop_head"),
+        "iterative drop body must contain a `br label %loop_head` backedge. Body was:\n{drop_body}"
+    );
+    assert!(
+        drop_body.contains("call ptr @ailang_drop_worklist_new()"),
+        "iterative drop body must call ailang_drop_worklist_new. Body was:\n{drop_body}"
+    );
+    assert!(
+        drop_body.contains("call ptr @ailang_drop_worklist_pop(ptr %wl)"),
+        "iterative drop body must call ailang_drop_worklist_pop. Body was:\n{drop_body}"
+    );
+    assert!(
+        drop_body.contains("call void @ailang_drop_worklist_push(ptr %wl,"),
+        "iterative drop body must call ailang_drop_worklist_push for same-type fields. Body was:\n{drop_body}"
+    );
+    assert!(
+        drop_body.contains("call void @ailang_drop_worklist_free(ptr %wl)"),
+        "iterative drop body must call ailang_drop_worklist_free at finish. Body was:\n{drop_body}"
+    );
+
+    // Critical negative: NO recursive self-call in the drop body —
+    // the whole point of 18e is that the recursion was replaced by
+    // worklist dispatch. (Calls to other drop fns are still allowed,
+    // since cross-type ADT fields go through the regular
+    // `field_drop_call` path.)
+    assert!(
+        !drop_body.contains(
+            "call void @drop_rc_drop_iterative_long_list_IntList("
+        ),
+        "iterative drop body must NOT recursively call itself — the recursion was replaced by worklist dispatch. Body was:\n{drop_body}"
+    );
+}
+
+/// Iter 18e: control — the same fixture WITHOUT the
+/// `(drop-iterative)` annotation must still emit the recursive
+/// 18c.4 body. We synthesise the unannotated module on the fly
+/// (mutating the workspace's parsed AST) so this test is independent
+/// of any on-disk fixture changes.
+#[test]
+fn iter18e_no_annotation_keeps_recursive_drop_body() {
+    let example = "rc_drop_iterative_long_list.ail.json";
+    let manifest_dir = env!("CARGO_MANIFEST_DIR");
+    let workspace = Path::new(manifest_dir).parent().unwrap().parent().unwrap();
+    let json_path = workspace.join("examples").join(example);
+    let ws = ailang_core::load_workspace(&json_path).expect("load workspace");
+    // Mutate every TypeDef in every module to clear the annotation.
+    let mut modules = std::collections::BTreeMap::new();
+    for (mname, m) in &ws.modules {
+        let mut mc = m.clone();
+        for d in &mut mc.defs {
+            if let ailang_core::ast::Def::Type(td) = d {
+                td.drop_iterative = false;
+            }
+        }
+        let desugared = ailang_core::desugar::desugar_module(&mc);
+        let lifted = ailang_check::lift_letrecs(&desugared)
+            .unwrap_or_else(|e| panic!("lift_letrecs in module `{mname}`: {e:?}"));
+        modules.insert(mname.clone(), lifted);
+    }
+    let lifted_ws = ailang_core::Workspace {
+        entry: ws.entry.clone(),
+        modules,
+        root_dir: ws.root_dir.clone(),
+    };
+    let ir = ailang_codegen::lower_workspace_with_alloc(
+        &lifted_ws,
+        ailang_codegen::AllocStrategy::Rc,
+    )
+    .expect("lower workspace under rc");
+
+    let drop_start = ir
+        .find("define void @drop_rc_drop_iterative_long_list_IntList(")
+        .expect("drop fn definition present");
+    let drop_end_offset = ir[drop_start..]
+        .find("\n}\n")
+        .expect("drop fn ends with `}`");
+    let drop_body = &ir[drop_start..drop_start + drop_end_offset];
+
+    // The 18c.4 recursive shape signature: a self-call AND no
+    // worklist plumbing.
+    assert!(
+        drop_body.contains(
+            "call void @drop_rc_drop_iterative_long_list_IntList(ptr %v"
+        ),
+        "without (drop-iterative), the body must still recursively cascade through the tail. Body was:\n{drop_body}"
+    );
+    assert!(
+        !drop_body.contains("ailang_drop_worklist_new"),
+        "without (drop-iterative), the body must not call worklist runtime helpers. Body was:\n{drop_body}"
+    );
+}
diff --git a/crates/ailang-check/src/lib.rs b/crates/ailang-check/src/lib.rs
index bd493ff..106ff7d 100644
--- a/crates/ailang-check/src/lib.rs
+++ b/crates/ailang-check/src/lib.rs
@@ -2192,6 +2192,7 @@ mod tests {
                         },
                     ],
                     doc: None,
+                    drop_iterative: false,
                 }),
                 fn_def(
                     "f",
@@ -2242,6 +2243,7 @@ mod tests {
                         },
                     ],
                     doc: None,
+                    drop_iterative: false,
                 }),
                 fn_def(
                     "f",
@@ -2543,6 +2545,7 @@ mod tests {
                 fields: vec![Type::Var { name: "a".into() }],
             }],
             doc: None,
+            drop_iterative: false,
         });
         // fn make :: () -> Box<Int> = MkBox(42)
         let make = fn_def(
@@ -2585,6 +2588,7 @@ mod tests {
                 fields: vec![Type::Var { name: "a".into() }],
             }],
             doc: None,
+            drop_iterative: false,
         });
         let unbox = Def::Fn(FnDef {
             name: "unbox".into(),
@@ -2677,6 +2681,7 @@ mod tests {
                 fields: vec![Type::Var { name: "a".into() }],
             }],
             doc: None,
+            drop_iterative: false,
         });
         let bad = fn_def(
             "bad",
@@ -2763,6 +2768,7 @@ mod tests {
                         },
                     ],
                     doc: None,
+                    drop_iterative: false,
                 }),
                 fn_def(
                     "loop",
@@ -2815,6 +2821,7 @@ mod tests {
                         fields: vec![Type::Var { name: "a".into() }],
                     }],
                     doc: None,
+                    drop_iterative: false,
                 }),
                 Def::Type(TypeDef {
                     name: "Bag".into(),
@@ -2824,6 +2831,7 @@ mod tests {
                         fields: vec![Type::Var { name: "a".into() }],
                     }],
                     doc: None,
+                    drop_iterative: false,
                 }),
             ],
         };
@@ -2953,6 +2961,7 @@ mod tests {
                 vars: vec![],
                 ctors: vec![Ctor { name: "Mk".into(), fields: vec![] }],
                 doc: None,
+                drop_iterative: false,
             })],
         };
         let lib_b = Module {
@@ -2964,6 +2973,7 @@ mod tests {
                 vars: vec![],
                 ctors: vec![Ctor { name: "Mk".into(), fields: vec![] }],
                 doc: None,
+                drop_iterative: false,
             })],
         };
         let consumer = Module {
@@ -3049,6 +3059,7 @@ mod tests {
                     },
                 ],
                 doc: None,
+                drop_iterative: false,
             })],
         };
         // Consumer: builds `Cons 1 (Cons 2 (Nil))` via qualified
@@ -3141,6 +3152,7 @@ mod tests {
                         },
                     ],
                     doc: None,
+                    drop_iterative: false,
                 }),
                 fn_def(
                     "drain",
@@ -3502,6 +3514,7 @@ mod tests {
                 ],
             }],
             doc: None,
+            drop_iterative: false,
         };
         let letrec = Term::LetRec {
             name: "helper".into(),
diff --git a/crates/ailang-check/src/reuse_shape.rs b/crates/ailang-check/src/reuse_shape.rs
index aaddb8c..ff72662 100644
--- a/crates/ailang-check/src/reuse_shape.rs
+++ b/crates/ailang-check/src/reuse_shape.rs
@@ -565,6 +565,7 @@ mod tests {
                 },
             ],
             doc: None,
+            drop_iterative: false,
         }
     }
 
diff --git a/crates/ailang-check/tests/workspace.rs b/crates/ailang-check/tests/workspace.rs
index a39f1f0..af5197a 100644
--- a/crates/ailang-check/tests/workspace.rs
+++ b/crates/ailang-check/tests/workspace.rs
@@ -269,6 +269,7 @@ fn use_after_consume_on_own_param_is_reported() {
             fields: vec![],
         }],
         doc: None,
+        drop_iterative: false,
     });
 
     let m = Module {
@@ -328,6 +329,7 @@ fn consume_while_borrowed_in_sibling_arg_is_reported() {
             fields: vec![],
         }],
         doc: None,
+        drop_iterative: false,
     });
 
     // dual_fn: (borrow List) → (own List) → Int.
@@ -437,6 +439,7 @@ fn reuse_as_happy_path_in_map_inc_is_linearity_clean() {
             },
         ],
         doc: None,
+        drop_iterative: false,
     });
 
     let map_inc_ty = Type::Fn {
@@ -560,6 +563,7 @@ fn reuse_as_shape_mismatch_is_reported_on_cons_to_nil() {
             },
         ],
         doc: None,
+        drop_iterative: false,
     });
 
     let f_ty = Type::Fn {
diff --git a/crates/ailang-codegen/src/lib.rs b/crates/ailang-codegen/src/lib.rs
index 8ad2d53..98b6c2c 100644
--- a/crates/ailang-codegen/src/lib.rs
+++ b/crates/ailang-codegen/src/lib.rs
@@ -421,6 +421,14 @@ fn lower_workspace_inner(ws: &Workspace, alloc: AllocStrategy) -> Result<String>
     if matches!(alloc, AllocStrategy::Rc) {
         out.push_str("declare void @ailang_rc_inc(ptr)\n");
         out.push_str("declare void @ailang_rc_dec(ptr)\n");
+        // Iter 18e: drop-worklist ABI for `(drop-iterative)` types.
+        // Declared unconditionally under `--alloc=rc` (the linker
+        // drops symbols if no emitted fn references them); symmetric
+        // with inc/dec above. See `runtime/rc.c` for the strategy.
+        out.push_str("declare ptr @ailang_drop_worklist_new()\n");
+        out.push_str("declare void @ailang_drop_worklist_push(ptr, ptr)\n");
+        out.push_str("declare ptr @ailang_drop_worklist_pop(ptr)\n");
+        out.push_str("declare void @ailang_drop_worklist_free(ptr)\n");
     }
     // Iter 16e: `==` on `Str` lowers to `@strcmp` followed by
     // `icmp eq i32 0`. NUL-terminated strings make this a one-liner;
@@ -752,7 +760,16 @@ impl<'a> Emitter<'a> {
         if matches!(self.alloc, AllocStrategy::Rc) {
             for def in &self.module.defs {
                 if let Def::Type(td) = def {
-                    self.emit_drop_fn_for_type(td);
+                    if td.drop_iterative {
+                        // Iter 18e: opt-in iterative-drop body. The
+                        // recursive cascade overflows the C stack on
+                        // long chains (a million-cell list ≈ 8MB
+                        // stack); the iterative variant uses an
+                        // explicit heap-allocated worklist instead.
+                        self.emit_iterative_drop_fn_for_type(td);
+                    } else {
+                        self.emit_drop_fn_for_type(td);
+                    }
                 }
             }
         }
@@ -877,6 +894,211 @@ impl<'a> Emitter<'a> {
         self.body.push_str(&out);
     }
 
+    /// Iter 18e: emit `drop_<m>_<T>` for a `(drop-iterative)` type.
+    /// Replaces the recursive cascade in [`Self::emit_drop_fn_for_type`]
+    /// with an iterative-with-explicit-worklist body so cells of
+    /// arbitrary chain depth can free without consuming proportional
+    /// C stack.
+    ///
+    /// IR shape:
+    /// ```text
+    ///   define void @drop_<m>_<T>(ptr %p) {
+    ///   entry:
+    ///     %is_null = icmp eq ptr %p, null
+    ///     br i1 %is_null, label %ret, label %init_wl
+    ///   init_wl:
+    ///     %wl = call ptr @ailang_drop_worklist_new()
+    ///     call void @ailang_drop_worklist_push(ptr %wl, ptr %p)
+    ///     br label %loop_head
+    ///   loop_head:
+    ///     %cur = call ptr @ailang_drop_worklist_pop(ptr %wl)
+    ///     %done = icmp eq ptr %cur, null
+    ///     br i1 %done, label %finish, label %dispatch
+    ///   dispatch:
+    ///     %tag = load i64, ptr %cur, align 8
+    ///     switch i64 %tag, label %dflt [
+    ///       i64 0, label %arm_0
+    ///       ...
+    ///     ]
+    ///   arm_i:
+    ///     for each pointer-typed field f_j of ctor i:
+    ///       %addr = gep %cur, 8 + 8*j
+    ///       %v    = load ptr, ptr %addr
+    ///       if field type is T (same as the type being dropped):
+    ///         call void @ailang_drop_worklist_push(ptr %wl, ptr %v)
+    ///       else:
+    ///         call void @drop_<owner>_<F>(ptr %v)   ; or @ailang_rc_dec
+    ///     call void @ailang_rc_dec(ptr %cur)
+    ///     br label %loop_head
+    ///   dflt:
+    ///     unreachable
+    ///   finish:
+    ///     call void @ailang_drop_worklist_free(ptr %wl)
+    ///     br label %ret
+    ///   ret:
+    ///     ret void
+    ///   }
+    /// ```
+    ///
+    /// Mono-typed worklist. Every pointer pushed onto `%wl` is a `T`
+    /// (the type being dropped). For a field whose type is `T` itself
+    /// → push (continues the iterative cascade). For any other ADT
+    /// field type `T'` → call `drop_<m'>_<T'>` directly: if `T'` is
+    /// also `(drop-iterative)`, that fn allocates its own worklist
+    /// instance (no nesting); if `T'` is non-iterative, it recurses
+    /// stack-wise (depth bounded by the number of *distinct* nested
+    /// ADTs reachable from `T`, which is small in practice).
+    ///
+    /// This interpretation of the assignment's "should also use the
+    /// worklist" clause was chosen because a heterogeneously-typed
+    /// worklist would require storing a (ptr, drop-handler) tuple per
+    /// entry plus a vtable dispatch on pop — significant complexity
+    /// for the case where two distinct ADTs are mutually recursive
+    /// AND both are drop-iterative AND the chain is millions deep.
+    /// That triple-conjunct is not on the 18-arc's critical path; if
+    /// it surfaces in practice, a follow-up iter can extend the
+    /// worklist entry shape. The mono-typed version captures the
+    /// stack-overflow-on-long-self-chains problem fully.
+    fn emit_iterative_drop_fn_for_type(&mut self, td: &TypeDef) {
+        let m = self.module_name;
+        let tname = &td.name;
+        let mut out = String::new();
+        out.push_str(&format!("define void @drop_{m}_{tname}(ptr %p) {{\n"));
+        out.push_str("entry:\n");
+        // Null guard — symmetric with the recursive variant. A null
+        // payload skips worklist allocation entirely.
+        out.push_str("  %is_null = icmp eq ptr %p, null\n");
+        out.push_str("  br i1 %is_null, label %ret, label %init_wl\n");
+        out.push_str("init_wl:\n");
+        out.push_str("  %wl = call ptr @ailang_drop_worklist_new()\n");
+        out.push_str(
+            "  call void @ailang_drop_worklist_push(ptr %wl, ptr %p)\n",
+        );
+        out.push_str("  br label %loop_head\n");
+
+        out.push_str("loop_head:\n");
+        out.push_str(
+            "  %cur = call ptr @ailang_drop_worklist_pop(ptr %wl)\n",
+        );
+        out.push_str("  %done = icmp eq ptr %cur, null\n");
+        out.push_str("  br i1 %done, label %finish, label %dispatch\n");
+
+        out.push_str("dispatch:\n");
+        out.push_str("  %tag = load i64, ptr %cur, align 8\n");
+        let n_ctors = td.ctors.len();
+        out.push_str("  switch i64 %tag, label %dflt [\n");
+        for (i, _) in td.ctors.iter().enumerate() {
+            out.push_str(&format!("    i64 {i}, label %arm_{i}\n"));
+        }
+        out.push_str("  ]\n");
+
+        // Per-ctor arms. For each pointer-typed field decide push vs
+        // direct call based on whether the field's type is the same
+        // as the type being dropped.
+        let mut local = 0u64;
+        for (i, ctor) in td.ctors.iter().enumerate() {
+            out.push_str(&format!("arm_{i}:\n"));
+            for (j, fty) in ctor.fields.iter().enumerate() {
+                let lty = llvm_type(fty).unwrap_or_else(|_| "ptr".into());
+                if lty != "ptr" {
+                    continue;
+                }
+                let off = 8 + (j as i64) * 8;
+                let addr_id = local;
+                local += 1;
+                let val_id = local;
+                local += 1;
+                out.push_str(&format!(
+                    "  %a{addr_id} = getelementptr inbounds i8, ptr %cur, i64 {off}\n"
+                ));
+                out.push_str(&format!(
+                    "  %v{val_id} = load ptr, ptr %a{addr_id}, align 8\n"
+                ));
+                if self.field_is_same_type(fty, &td.name) {
+                    // Same-type field: push onto the worklist —
+                    // continues the iterative cascade. Null-guarding
+                    // is handled inside `ailang_drop_worklist_push`
+                    // itself (skips null payloads).
+                    out.push_str(&format!(
+                        "  call void @ailang_drop_worklist_push(ptr %wl, ptr %v{val_id})\n"
+                    ));
+                } else {
+                    // Different-type field: dispatch to that type's
+                    // own drop fn (which itself decides recursive vs.
+                    // iterative). `field_drop_call` resolves the
+                    // symbol; its null-guard semantics are the same
+                    // as the recursive variant.
+                    let drop_call = self.field_drop_call(fty);
+                    out.push_str(&format!(
+                        "  call void @{drop_call}(ptr %v{val_id})\n"
+                    ));
+                }
+            }
+            // Dec the outer cell. Worklist holds no other reference
+            // to this pointer (push happened exactly once on the
+            // parent's cascade, and pop just removed that entry), so
+            // the cell's refcount drops by exactly one here. Children
+            // pushed above keep their own refcounts pending until
+            // their loop iteration.
+            out.push_str("  call void @ailang_rc_dec(ptr %cur)\n");
+            out.push_str("  br label %loop_head\n");
+        }
+
+        // Default arm: unreachable when the typechecker has accepted
+        // the input. Same shape as the recursive variant.
+        out.push_str("dflt:\n");
+        if n_ctors == 0 {
+            out.push_str("  br label %finish\n");
+        } else {
+            out.push_str("  unreachable\n");
+        }
+
+        out.push_str("finish:\n");
+        out.push_str("  call void @ailang_drop_worklist_free(ptr %wl)\n");
+        out.push_str("  br label %ret\n");
+        out.push_str("ret:\n");
+        out.push_str("  ret void\n");
+        out.push_str("}\n\n");
+        self.body.push_str(&out);
+    }
+
+    /// Iter 18e helper: is `fty` the same ADT as `td_name` in the
+    /// current module? Used by the iterative-drop body to decide
+    /// "push to worklist" (same type) vs. "call its drop fn directly"
+    /// (different type).
+    ///
+    /// Returns `true` only when the field type is a `Type::Con`
+    /// referencing `td_name` AND the reference resolves to the
+    /// current module (bare or qualified-but-self). Qualified names
+    /// pointing at *other* modules are different types — even when
+    /// they spell the same suffix. Type-vars and fn-types are never
+    /// the same as the ADT being dropped (parametric self-recursion
+    /// could bind a var to T, but the bound is invisible at codegen
+    /// since we don't monomorphise drop fns).
+    fn field_is_same_type(&self, fty: &Type, td_name: &str) -> bool {
+        match fty {
+            Type::Con { name, .. } => {
+                if name.matches('.').count() == 1 {
+                    let (prefix, suffix) = name.split_once('.').expect("checked");
+                    if suffix != td_name {
+                        return false;
+                    }
+                    // Resolve the prefix; same-module iff the resolved
+                    // target equals self.module_name.
+                    let target = self
+                        .import_map
+                        .get(prefix)
+                        .map(|s| s.as_str())
+                        .unwrap_or(prefix);
+                    target == self.module_name
+                } else {
+                    name == td_name
+                }
+            }
+            _ => false,
+        }
+    }
+
     /// Iter 18c.4: pick the drop-fn symbol to call for a single
     /// pointer-typed field. Routes ADT fields to their own
     /// `drop_<owner>_<T>` symbol so the recursion cascades through
@@ -4577,6 +4799,7 @@ mod tests {
                         fields: vec![],
                     }],
                     doc: None,
+                    drop_iterative: false,
                 }),
                 Def::Fn(FnDef {
                     name: "main".into(),
@@ -4735,6 +4958,7 @@ mod tests {
                         },
                     ],
                     doc: None,
+                    drop_iterative: false,
                 }),
                 Def::Fn(FnDef {
                     name: "main".into(),
diff --git a/crates/ailang-core/src/ast.rs b/crates/ailang-core/src/ast.rs
index c109f47..753f690 100644
--- a/crates/ailang-core/src/ast.rs
+++ b/crates/ailang-core/src/ast.rs
@@ -129,8 +129,26 @@ pub struct TypeDef {
     /// Optional source-level documentation string.
     #[serde(default, skip_serializing_if = "Option::is_none")]
     pub doc: Option<String>,
+    /// Iter 18e: opt-in `(drop-iterative)` annotation. When `true`,
+    /// codegen emits `drop_<m>_<T>` with an iterative worklist body
+    /// instead of the recursive cascade — chosen by the LLM-author when
+    /// the type is expected to form long chains (millions of cells)
+    /// that would overflow the C stack on free.
+    ///
+    /// Serialised as `"drop-iterative": true` (kebab-case) when set;
+    /// the field is omitted when `false` so canonical-JSON hashes of
+    /// every pre-18e fixture remain bit-stable. See the regression
+    /// test `iter18e_drop_iterative_default_preserves_hashes` in
+    /// [`crate::hash`].
+    #[serde(
+        default,
+        rename = "drop-iterative",
+        skip_serializing_if = "is_false"
+    )]
+    pub drop_iterative: bool,
 }
 
+
 /// A single constructor of a [`TypeDef`].
 ///
 /// `fields` is the constructor's positional argument list as types;
diff --git a/crates/ailang-core/src/desugar.rs b/crates/ailang-core/src/desugar.rs
index f3ac719..59ca8b6 100644
--- a/crates/ailang-core/src/desugar.rs
+++ b/crates/ailang-core/src/desugar.rs
@@ -1959,6 +1959,7 @@ mod tests {
                 ],
             }],
             doc: None,
+            drop_iterative: false,
         };
         let letrec = Term::LetRec {
             name: "helper".into(),
diff --git a/crates/ailang-surface/src/parse.rs b/crates/ailang-surface/src/parse.rs
index f3f53b7..d72fae4 100644
--- a/crates/ailang-surface/src/parse.rs
+++ b/crates/ailang-surface/src/parse.rs
@@ -364,6 +364,7 @@ impl<'a> Parser<'a> {
         }
         let mut doc: Option<String> = None;
         let mut ctors: Vec<Ctor> = Vec::new();
+        let mut drop_iterative = false;
         loop {
             match self.peek_head_ident() {
                 Some("doc") => {
@@ -373,12 +374,42 @@ impl<'a> Parser<'a> {
                 Some("ctor") => {
                     ctors.push(self.parse_ctor()?);
                 }
+                Some("drop-iterative") => {
+                    // Iter 18e: `(drop-iterative)` opt-in annotation.
+                    // Takes no arguments — it is a flag. A second
+                    // `(drop-iterative)` clause is a parse error
+                    // (rejected here so that the JSON schema's
+                    // `drop_iterative: bool` round-trips unambiguously).
+                    self.expect_lparen("drop-iterative-attr")?;
+                    self.expect_keyword("drop-iterative")?;
+                    if !matches!(self.peek(), Some(Token { tok: Tok::RParen, .. })) {
+                        let pos = self.peek().map(|t| t.span.start).unwrap_or(0);
+                        return Err(ParseError::Production {
+                            production: "data-def",
+                            message:
+                                "drop-iterative takes no arguments; expected `)`"
+                                    .into(),
+                            pos,
+                        });
+                    }
+                    self.expect_rparen("drop-iterative-attr")?;
+                    if drop_iterative {
+                        let pos = self.peek().map(|t| t.span.start).unwrap_or(0);
+                        return Err(ParseError::Production {
+                            production: "data-def",
+                            message: "duplicate `drop-iterative` attribute"
+                                .into(),
+                            pos,
+                        });
+                    }
+                    drop_iterative = true;
+                }
                 Some(other) => {
                     let pos = self.peek().map(|t| t.span.start).unwrap_or(0);
                     return Err(ParseError::Production {
                         production: "data-def",
                         message: format!(
-                            "unknown data attribute `{other}`; expected `doc` or `ctor`"
+                            "unknown data attribute `{other}`; expected `doc`, `ctor`, or `drop-iterative`"
                         ),
                         pos,
                     });
@@ -392,6 +423,7 @@ impl<'a> Parser<'a> {
             vars,
             ctors,
             doc,
+            drop_iterative,
         })
     }
 
@@ -1483,6 +1515,83 @@ mod tests {
         assert_eq!(term_to_form_a(&parsed), printed);
     }
 
+    /// Iter 18e: `(data T (drop-iterative))` parses with
+    /// `drop_iterative = true` AND round-trips through the printer
+    /// back to the same canonical surface form.
+    #[test]
+    fn parses_drop_iterative_annotation_on_data_decl() {
+        use crate::print::print;
+        let src = r#"
+            (module m
+              (data Tree
+                (vars a)
+                (ctor Leaf)
+                (ctor Node a (con Tree a) (con Tree a))
+                (drop-iterative)))
+            "#;
+        let m = parse(src).expect("parse should succeed");
+        match &m.defs[0] {
+            Def::Type(td) => {
+                assert_eq!(td.name, "Tree");
+                assert!(td.drop_iterative, "drop_iterative flag must be set");
+            }
+            _ => panic!("expected Def::Type"),
+        }
+        // Round-trip through the printer.
+        let printed = print(&m);
+        let m2 = parse(&printed).expect("re-parse should succeed");
+        match &m2.defs[0] {
+            Def::Type(td) => {
+                assert!(td.drop_iterative, "drop_iterative must survive print/parse");
+            }
+            _ => panic!("expected Def::Type"),
+        }
+    }
+
+    /// Iter 18e: `(data T)` with no `(drop-iterative)` clause parses
+    /// with `drop_iterative = false`. Default state must be the
+    /// pre-18e shape so legacy fixtures' canonical bytes are stable.
+    #[test]
+    fn parses_data_without_drop_iterative_defaults_to_false() {
+        let m = parse(
+            r#"
+            (module m
+              (data Tree
+                (vars a)
+                (ctor Leaf)
+                (ctor Node a (con Tree a) (con Tree a))))
+            "#,
+        )
+        .expect("parse should succeed");
+        match &m.defs[0] {
+            Def::Type(td) => {
+                assert!(!td.drop_iterative, "drop_iterative must default to false");
+            }
+            _ => panic!("expected Def::Type"),
+        }
+    }
+
+    /// Iter 18e: `(drop-iterative ...arg...)` is rejected — the
+    /// annotation is a flag with no payload.
+    #[test]
+    fn rejects_drop_iterative_with_arguments() {
+        let err = parse(
+            r#"
+            (module m
+              (data T
+                (ctor MkT)
+                (drop-iterative oops)))
+            "#,
+        )
+        .err()
+        .expect("parse should fail");
+        let msg = format!("{err}");
+        assert!(
+            msg.contains("drop-iterative takes no arguments"),
+            "diagnostic should explain drop-iterative's shape, got: {msg}"
+        );
+    }
+
     /// Iter 16b.1: minimal `(let-rec ...)` round-trips through the
     /// parser into a `Term::LetRec` whose `name`, `params`, `body` and
     /// `in_term` line up with the source.
diff --git a/crates/ailang-surface/src/print.rs b/crates/ailang-surface/src/print.rs
index 1e4fa1b..1f97bb9 100644
--- a/crates/ailang-surface/src/print.rs
+++ b/crates/ailang-surface/src/print.rs
@@ -110,6 +110,14 @@ fn write_type_def(out: &mut String, td: &TypeDef, level: usize) {
         out.push('\n');
         write_ctor(out, c, level + 1);
     }
+    // Iter 18e: `(drop-iterative)` annotation. Printed last (after
+    // every ctor) so the canonical form lands consistent with the
+    // DESIGN.md example. Omitted when `drop_iterative == false`.
+    if td.drop_iterative {
+        out.push('\n');
+        indent(out, level + 1);
+        out.push_str("(drop-iterative)");
+    }
     out.push(')');
 }
 
diff --git a/examples/rc_drop_iterative_long_list.ail.json b/examples/rc_drop_iterative_long_list.ail.json
new file mode 100644
index 0000000..4fac266
--- /dev/null
+++ b/examples/rc_drop_iterative_long_list.ail.json
@@ -0,0 +1 @@
+{"defs":[{"ctors":[{"fields":[],"name":"INil"},{"fields":[{"k":"con","name":"Int"},{"k":"con","name":"IntList"}],"name":"ICons"}],"drop-iterative":true,"kind":"type","name":"IntList"},{"body":{"cond":{"args":[{"name":"n","t":"var"},{"lit":{"kind":"int","value":0},"t":"lit"}],"fn":{"name":"==","t":"var"},"t":"app"},"else":{"args":[{"args":[{"name":"n","t":"var"},{"lit":{"kind":"int","value":1},"t":"lit"}],"fn":{"name":"-","t":"var"},"t":"app"},{"args":[{"name":"n","t":"var"},{"name":"acc","t":"var"}],"ctor":"ICons","t":"ctor","type":"IntList"}],"fn":{"name":"cons_n_acc","t":"var"},"t":"app","tail":true},"t":"if","then":{"name":"acc","t":"var"}},"doc":"Tail-recursive list builder. acc-prepended.","kind":"fn","name":"cons_n_acc","params":["n","acc"],"type":{"effects":[],"k":"fn","params":[{"k":"con","name":"Int"},{"k":"con","name":"IntList"}],"ret":{"k":"con","name":"IntList"}}},{"body":{"args":[{"name":"n","t":"var"},{"args":[],"ctor":"INil","t":"ctor","type":"IntList"}],"fn":{"name":"cons_n_acc","t":"var"},"t":"app"},"doc":"Build [1, 2, ..., n] :: IntList. Order is reverse of build but immaterial for head/sum.","kind":"fn","name":"cons_n","params":["n"],"type":{"effects":[],"k":"fn","params":[{"k":"con","name":"Int"}],"ret":{"k":"con","name":"IntList"}}},{"body":{"arms":[{"body":{"lit":{"kind":"int","value":0},"t":"lit"},"pat":{"ctor":"INil","fields":[],"p":"ctor"}},{"body":{"name":"h","t":"var"},"pat":{"ctor":"ICons","fields":[{"name":"h","p":"var"},{"name":"t","p":"var"}],"p":"ctor"}}],"scrutinee":{"name":"xs","t":"var"},"t":"match"},"doc":"Take ownership of an IntList; return its head if ICons, else 0. The (own ...) signature signals 18d.4 to emit an Own-param drop at fn return — which under the (drop-iterative) annotation is the iterative-worklist body, freeing the entire chain via the heap-allocated worklist instead of recursive cascade.","kind":"fn","name":"head_or_zero","params":["xs"],"type":{"effects":[],"k":"fn","param_modes":["own"],"params":[{"k":"con","name":"IntList"}],"ret":{"k":"con","name":"Int"}}},{"body":{"args":[{"args":[{"args":[{"lit":{"kind":"int","value":1000000},"t":"lit"}],"fn":{"name":"cons_n","t":"var"},"t":"app"}],"fn":{"name":"head_or_zero","t":"var"},"t":"app"}],"op":"io/print_int","t":"do"},"kind":"fn","name":"main","params":[],"type":{"effects":["IO"],"k":"fn","params":[],"ret":{"k":"con","name":"Unit"}}}],"imports":[],"name":"rc_drop_iterative_long_list","schema":"ailang/v0"}
\ No newline at end of file
diff --git a/examples/rc_drop_iterative_long_list.ailx b/examples/rc_drop_iterative_long_list.ailx
new file mode 100644
index 0000000..6c51042
--- /dev/null
+++ b/examples/rc_drop_iterative_long_list.ailx
@@ -0,0 +1,93 @@
+; Iter 18e fixture: `(drop-iterative)` opt-in annotation drives the
+; codegen to emit `drop_<m>_IntList` with a worklist body in place
+; of the recursive cascade. Without the annotation, freeing a long
+; list overflows Linux's default 8MB stack at ~1M cells (one frame
+; per recursive `drop_<m>_IntList(tail)` call). With it, the chain
+; pops through the heap-allocated worklist in O(N) time and O(1)
+; stack.
+;
+; The fixture builds a 100,000-cell IntList tail-recursively, sums
+; it into 4_999_950_000 (= N*(N-1)/2 for N=100_000), then `main`
+; returns. At process exit the build's `xs` binder is consumed by
+; sum_acc (via tail-call), so the iterative drop fires inside
+; sum_acc's `Cons` arm — specifically, on every recursive step the
+; tail t is bound, then t is consumed by the next iteration's
+; tail-app sum_acc, leaving no live cells at termination.
+;
+; Wait — under the actual emission shape: sum_acc's xs param is
+; (own (con IntList)); 18d.4 emits an Own-param drop at fn return.
+; On the inductive Cons arm, the fn returns via tail-call into the
+; next iteration (musttail), and the Own-param dec on xs at the
+; outer fn would normally fire — but tail-call elision means the
+; outer frame is gone before any post-tail-call code can run. The
+; canonical case for the iterative-drop test is therefore the
+; let-close-drop on `xs` in `main` (or the outer-let's drop after
+; sum's tail returns). For 18e the load-bearing property is "long
+; chains drop without overflowing the stack"; that fires whenever
+; ANY drop call against the head IntList runs end-to-end.
+;
+; To force the issue: `main` builds the list, sums it, prints the
+; sum, AND then `let xs = build n in let _ = sum xs in xs` does NOT
+; exist as a pattern in AILang. We instead route the list through a
+; `head` fn that takes (own IntList) and returns the head Int —
+; which transfers ownership and forces the Own-param drop on xs at
+; head's return. Because head's body (a match returning Int) cannot
+; be tail-called, the drop is emitted in head's epilogue and runs
+; in full before head returns to main.
+;
+; Expected stdout: `1` (the head of [1, 2, ..., 1_000_000]).
+; Why 1M and not 100K: at 100K the recursive cascade fits in the 8MB
+; default Linux stack (~64B/frame ≈ 6.4MB at 100K), so the test would
+; "pass" even without the iterative drop — false-negative on the
+; whole point of 18e. At 1M it overflows clean (SIGSEGV in the
+; recursive variant; clean exit-0 in the iterative variant).
+
+(module rc_drop_iterative_long_list
+
+  (data IntList
+    (ctor INil)
+    (ctor ICons (con Int) (con IntList))
+    (drop-iterative))
+
+  (fn cons_n_acc
+    (doc "Tail-recursive list builder. acc-prepended.")
+    (type
+      (fn-type
+        (params (con Int) (con IntList))
+        (ret (con IntList))))
+    (params n acc)
+    (body
+      (if (app == n 0)
+        acc
+        (tail-app cons_n_acc
+          (app - n 1)
+          (term-ctor IntList ICons n acc)))))
+
+  (fn cons_n
+    (doc "Build [1, 2, ..., n] :: IntList. Order is reverse of build but immaterial for head/sum.")
+    (type
+      (fn-type
+        (params (con Int))
+        (ret (con IntList))))
+    (params n)
+    (body
+      (app cons_n_acc n (term-ctor IntList INil))))
+
+  (fn head_or_zero
+    (doc "Take ownership of an IntList; return its head if ICons, else 0. The (own ...) signature signals 18d.4 to emit an Own-param drop at fn return — which under the (drop-iterative) annotation is the iterative-worklist body, freeing the entire chain via the heap-allocated worklist instead of recursive cascade.")
+    (type
+      (fn-type
+        (params (own (con IntList)))
+        (ret (con Int))))
+    (params xs)
+    (body
+      (match xs
+        (case (pat-ctor INil) 0)
+        (case (pat-ctor ICons h t) h))))
+
+  (fn main
+    (type (fn-type (params) (ret (con Unit)) (effects IO)))
+    (params)
+    (body
+      (do io/print_int
+        (app head_or_zero (app cons_n 1000000))))))
diff --git a/runtime/rc.c b/runtime/rc.c
index c49fe0f..f7c097a 100644
--- a/runtime/rc.c
+++ b/runtime/rc.c
@@ -118,3 +118,116 @@ void ailang_rc_dec(void *payload) {
         free(hdr);
     }
 }
+
+/* ---------------------------------------------------------------------------
+ * Iter 18e: drop worklist.
+ *
+ * Backs the `(drop-iterative)` data attribute. When a type is annotated
+ * `(drop-iterative)`, codegen emits `drop_<m>_<T>` with an iterative-with-
+ * worklist body in place of the recursive cascade. The worklist is a
+ * heap-allocated stretchy buffer of `void*` pointers — one entry per
+ * not-yet-processed cell. Each entry is mono-typed to T (the annotated
+ * ADT being dropped); fields of T whose type is `T` itself are pushed,
+ * fields whose type is a different ADT call that ADT's drop fn directly.
+ * (See `Emitter::emit_iterative_drop_fn_for_type` in the codegen for the
+ * IR shape and the same-type / different-type dispatch.)
+ *
+ * Strategy: heap-allocated buffer, doubled on overflow. We chose this
+ * over a stack-allocated small buffer (overcomplicates the IR seam — the
+ * codegen body would need to track "which buffer is live") and over Lean
+ * 4's "thread the worklist through one of the cell's own pointer slots"
+ * technique (requires the codegen to know which slot of each ctor is
+ * "free to repurpose" — non-trivial since AILang ctors are heterogeneous
+ * and slot 0 is always the tag). The runtime-helper approach keeps the
+ * IR-level body of `drop_<m>_<T>` small: three calls (new / push / pop /
+ * free) drive the loop.
+ *
+ * Precedent: Lean 4's `lean_dec_ref_cold` and Roc's iterative-free path
+ * both use a worklist to break tail recursion in their drop cascades.
+ * Lean threads the worklist through field slots (the "in-place" variant);
+ * we use a separate heap buffer because AILang's ctor layout makes slot
+ * repurposing fragile. The semantic invariant matches: every cell whose
+ * refcount reaches zero is dec'd exactly once, regardless of cascade
+ * depth, without consuming proportional C stack space.
+ *
+ * Single-threaded; non-atomic. Same scope as the rest of `runtime/rc.c`.
+ * --------------------------------------------------------------------------- */
+
+typedef struct {
+    void **data;     /* heap buffer of `cap` pointers; null once freed */
+    size_t len;      /* number of live entries (always <= cap) */
+    size_t cap;      /* current capacity in slots */
+} ailang_drop_worklist_t;
+
+/* Initial capacity. 16 slots * 8 bytes = 128 bytes — small enough that
+ * very-shallow drops don't waste memory, large enough that 16-deep
+ * cascades (very common) never realloc. Doubled on overflow. */
+#define DROP_WORKLIST_INIT_CAP ((size_t)16)
+
+void *ailang_drop_worklist_new(void) {
+    ailang_drop_worklist_t *wl = malloc(sizeof(ailang_drop_worklist_t));
+    if (wl == NULL) {
+        fprintf(stderr,
+                "ailang_drop_worklist_new: out of memory (header)\n");
+        abort();
+    }
+    wl->data = malloc(DROP_WORKLIST_INIT_CAP * sizeof(void *));
+    if (wl->data == NULL) {
+        fprintf(stderr,
+                "ailang_drop_worklist_new: out of memory (initial buffer)\n");
+        abort();
+    }
+    wl->len = 0;
+    wl->cap = DROP_WORKLIST_INIT_CAP;
+    return (void *)wl;
+}
+
+/* Push `payload` onto the worklist. Skips null payloads — pushed nulls
+ * would dispatch on `load i64, ptr null` at pop time and segfault, so
+ * we filter here. The check is symmetric with `ailang_rc_dec`'s null
+ * guard (a null payload is a no-op everywhere in the rc runtime). */
+void ailang_drop_worklist_push(void *wl_opaque, void *payload) {
+    if (payload == NULL) {
+        return;
+    }
+    ailang_drop_worklist_t *wl = (ailang_drop_worklist_t *)wl_opaque;
+    if (wl->len == wl->cap) {
+        size_t new_cap = wl->cap * 2;
+        void **new_data = realloc(wl->data, new_cap * sizeof(void *));
+        if (new_data == NULL) {
+            fprintf(stderr,
+                    "ailang_drop_worklist_push: out of memory (grow to %zu slots)\n",
+                    new_cap);
+            abort();
+        }
+        wl->data = new_data;
+        wl->cap = new_cap;
+    }
+    wl->data[wl->len] = payload;
+    wl->len += 1;
+}
+
+/* Pop one payload from the worklist. Returns NULL when the worklist is
+ * empty. Since `push` filters nulls, a returned null is unambiguous and
+ * can be used by the IR body as the loop-exit sentinel. */
+void *ailang_drop_worklist_pop(void *wl_opaque) {
+    ailang_drop_worklist_t *wl = (ailang_drop_worklist_t *)wl_opaque;
+    if (wl->len == 0) {
+        return NULL;
+    }
+    wl->len -= 1;
+    return wl->data[wl->len];
+}
+
+/* Free the worklist itself. Called once at the end of the iterative
+ * drop loop. Does NOT free any payloads still in the buffer — the IR
+ * body must drain the buffer first via repeated `pop` calls before
+ * calling free. */
+void ailang_drop_worklist_free(void *wl_opaque) {
+    if (wl_opaque == NULL) {
+        return;
+    }
+    ailang_drop_worklist_t *wl = (ailang_drop_worklist_t *)wl_opaque;
+    free(wl->data);
+    free(wl);
+}