diff --git a/optimum/habana/transformers/models/mistral/modeling_mistral.py b/optimum/habana/transformers/models/mistral/modeling_mistral.py
index 3758e422a5..c654b3a04b 100644
--- a/optimum/habana/transformers/models/mistral/modeling_mistral.py
+++ b/optimum/habana/transformers/models/mistral/modeling_mistral.py
@@ -46,6 +46,14 @@
 )
 import habana_frameworks.torch.core as htcore
 
+try:
+    from habana_frameworks.torch.hpex.kernels import RotaryPosEmbeddingHelperV2 as FusedRoPE
+
+    has_fused_rope = True
+except ImportError:
+    has_fused_rope = False
+    print("Not using HPU fused kernel for apply_rotary_pos_emb")
+
 try:
     from habana_frameworks.torch.hpex.normalization import FusedRMSNorm as FusedRMSNorm
 except ImportError:
@@ -166,6 +174,7 @@ def forward(
         reuse_cache: Optional[bool] = False,
         cache_idx: Optional[int] = None,
         attn_softmax_bf16: Optional[bool] = False,
+        use_fused_rope: Optional[bool] = True,
         **kwargs,
     ) -> Tuple[torch.Tensor, Optional[torch.Tensor], Optional[Tuple[torch.Tensor]]]:
         """
@@ -207,7 +216,9 @@ def forward(
             else:
                 kv_seq_len += kv_shape
         cos, sin = self.rotary_emb(value_states, seq_len=kv_seq_len)
-        query_states, key_states = apply_rotary_pos_emb(query_states, key_states, cos, sin, position_ids)
+        query_states, key_states = apply_customized_rope(
+            query_states, key_states, cos, sin, position_ids, use_fused_rope=use_fused_rope
+        )
 
         if use_cache:
             # reuse k, v, self_attention
@@ -315,6 +326,7 @@ def forward(
         reuse_cache: Optional[bool] = False,
         cache_idx: Optional[int] = None,
         attn_softmax_bf16: Optional[bool] = False,
+        use_fused_rope: Optional[bool] = True,
         **kwargs,
     ) -> Tuple[torch.FloatTensor, Optional[Tuple[torch.FloatTensor, torch.FloatTensor]]]:
         """
@@ -343,6 +355,7 @@ def forward(
             reuse_cache=reuse_cache,
             cache_idx=cache_idx,
             attn_softmax_bf16=attn_softmax_bf16,
+            use_fused_rope=use_fused_rope,
         )
         hidden_states = residual + hidden_states
 
@@ -386,6 +399,7 @@ def forward(
         reuse_cache: Optional[bool] = False,
         cache_idx: Optional[int] = None,
         attn_softmax_bf16: Optional[bool] = False,
+        use_fused_rope: Optional[bool] = True,
         lazy_mode: Optional[bool] = True,
     ) -> Union[Tuple, BaseModelOutputWithPast]:
         """
@@ -492,6 +506,7 @@ def forward(
                     output_attentions,
                     use_cache,
                     None,
+                    use_fused_rope,
                 )
             else:
                 layer_outputs = decoder_layer(
@@ -505,6 +520,7 @@ def forward(
                     reuse_cache=reuse_cache,
                     cache_idx=cache_idx,
                     attn_softmax_bf16=attn_softmax_bf16,
+                    use_fused_rope=use_fused_rope,
                 )
 
             hidden_states = layer_outputs[0]
@@ -565,6 +581,7 @@ def forward(
         trim_logits: Optional[bool] = False,
         cache_idx: Optional[int] = None,
         attn_softmax_bf16: Optional[bool] = False,
+        use_fused_rope: Optional[bool] = True,
         lazy_mode: Optional[bool] = True,
     ) -> Union[Tuple, CausalLMOutputWithPast]:
         """
@@ -594,6 +611,7 @@ def forward(
             reuse_cache=reuse_cache,
             cache_idx=cache_idx,
             attn_softmax_bf16=attn_softmax_bf16,
+            use_fused_rope=use_fused_rope,
             lazy_mode=lazy_mode,
         )
         hidden_states = outputs[0]
@@ -709,3 +727,20 @@ def prepare_inputs_for_generation(
             }
         )
         return model_inputs
+
+def apply_customized_rope(q, k, cos, sin, position_ids, use_fused_rope=True):
+    if q.device.type == "hpu" and has_fused_rope and use_fused_rope:
+        # TODO: remove `.clone()` when SynapseAI v1.15 is released
+        if k.dtype==torch.bfloat16:
+            return FusedRoPE.apply(
+                q, cos.unsqueeze(0).unsqueeze(0).clone(), sin.unsqueeze(0).unsqueeze(0).clone(), position_ids
+            ), FusedRoPE.apply(
+                k, cos.unsqueeze(0).unsqueeze(0).clone().to(torch.bfloat16), sin.unsqueeze(0).unsqueeze(0).clone().to(torch.bfloat16), position_ids
+            )
+        return FusedRoPE.apply(
+            q, cos.unsqueeze(0).unsqueeze(0).clone(), sin.unsqueeze(0).unsqueeze(0).clone(), position_ids
+        ), FusedRoPE.apply(
+            k, cos.unsqueeze(0).unsqueeze(0).clone(), sin.unsqueeze(0).unsqueeze(0).clone(), position_ids
+        )
+    else:
+        return apply_rotary_pos_emb(q, k, cos, sin, position_ids)