diff --git a/src/code-components/Combobox/Combobox.module.css b/src/code-components/Combobox/Combobox.module.css
index 73a6204c..151456ab 100644
--- a/src/code-components/Combobox/Combobox.module.css
+++ b/src/code-components/Combobox/Combobox.module.css
@@ -26,13 +26,16 @@
 
 /*
  * `.positioner` is the element Headless UI portals + positions via Floating UI.
- * It also gets an inline `max-width: <viewport>px` from Floating UI's `size`
- * middleware on every reposition, so all author-facing sizing (width via the
- * `menuWidth` prop, max-width via `optionsClassName`) lives on the inner
- * `.options` wrapper, which Floating UI never touches.
+ * Floating UI's `size` middleware stamps `overflow: auto` and a `max-width` /
+ * `max-height` inline on it every reposition, so all author-facing sizing (width
+ * via `menuWidth`, max-width via `optionsClassName`) lives on the inner
+ * `.options` wrapper, which Floating UI never touches. We also override that
+ * `overflow` back to `visible` so it doesn't clip the menu's own drop shadow -
+ * the inner `.options` keeps its own `max-height` + `overflow-y` for scrolling.
  */
 .positioner {
   transition: opacity 0.1s ease-in;
+  overflow: visible !important;
 }
 
 .positioner[data-closed] {
@@ -44,6 +47,4 @@
   scrollbar-width: thin;
   user-select: none;
   margin: 0;
-  /* Clip the top edge so the box-shadow does not bleed up over the input. */
-  clip-path: inset(0 -48px -48px -48px);
 }
diff --git a/src/code-components/Combobox/Combobox.tsx b/src/code-components/Combobox/Combobox.tsx
index 2c3b7158..108517fc 100644
--- a/src/code-components/Combobox/Combobox.tsx
+++ b/src/code-components/Combobox/Combobox.tsx
@@ -147,10 +147,18 @@ export function Combobox({
   // `width` / `min-width` are inline so they beat any leftover `width` on
   // `optionsClassName` (e.g. a `width: 100%` from the design tool). `max-width`
   // is deliberately left to CSS so it stays overridable via `optionsClassName`.
-  const optionsStyle =
-    menuWidth === "fit"
+  //
+  // `clipPath` only in the canvas: there the menu sits flush under the input
+  // (inline, no gap), so clip the top of the box-shadow that would bleed over
+  // it. In prod the menu is portalled and gapped, so the full shadow should
+  // show. (Inline rather than a class so a bundler that skips reprocessing
+  // node_modules CSS can't drop it.)
+  const optionsStyle = {
+    ...(menuWidth === "fit"
       ? { width: "max-content", minWidth: "var(--input-width)" }
-      : { width: "var(--input-width)" };
+      : { width: "var(--input-width)" }),
+    ...(inCanvas ? { clipPath: "inset(0 -48px -48px -48px)" } : {}),
+  };
 
   const optionGroups = groupOptions(options ?? []);
   const visibleOptionGroups = filterOptionGroupsByQuery(optionGroups, query);