diff --git a/packages/types/src/__tests__/telemetry.test.ts b/packages/types/src/__tests__/telemetry.test.ts
index 5cf58b04d1c..74d0f1ddfe3 100644
--- a/packages/types/src/__tests__/telemetry.test.ts
+++ b/packages/types/src/__tests__/telemetry.test.ts
@@ -3,6 +3,7 @@
 import {
 	getErrorStatusCode,
 	getErrorMessage,
+	extractMessageFromJsonPayload,
 	shouldReportApiErrorToTelemetry,
 	EXPECTED_API_ERROR_CODES,
 	ApiProviderError,
@@ -48,10 +49,11 @@ describe("telemetry error utilities", () => {
 	})
 
 	describe("getErrorMessage", () => {
-		it("should return undefined for non-OpenAI SDK errors", () => {
+		it("should return undefined for null, undefined, or objects without message", () => {
 			expect(getErrorMessage(null)).toBeUndefined()
 			expect(getErrorMessage(undefined)).toBeUndefined()
-			expect(getErrorMessage({ message: "error" })).toBeUndefined()
+			expect(getErrorMessage({})).toBeUndefined()
+			expect(getErrorMessage({ code: 500 })).toBeUndefined()
 		})
 
 		it("should return the primary message for simple OpenAI SDK errors", () => {
@@ -59,6 +61,10 @@ describe("telemetry error utilities", () => {
 			expect(getErrorMessage(error)).toBe("Bad request")
 		})
 
+		it("should return message from plain objects with message property", () => {
+			expect(getErrorMessage({ message: "error" })).toBe("error")
+		})
+
 		it("should prioritize nested error.message over primary message", () => {
 			const error = {
 				status: 500,
@@ -100,6 +106,132 @@ describe("telemetry error utilities", () => {
 			}
 			expect(getErrorMessage(error)).toBe("Forbidden")
 		})
+
+		it("should extract message from JSON payload in error message", () => {
+			const error = {
+				status: 503,
+				message: '503 {"error":{"code":"","message":"Model unavailable"}}',
+			}
+			expect(getErrorMessage(error)).toBe("Model unavailable")
+		})
+
+		it("should extract message from JSON payload with status prefix", () => {
+			const error = {
+				status: 503,
+				message:
+					'503 {"error":{"code":"","message":"所有令牌分组 Tier 3 下对于模型 claude-sonnet-4-5 均无可用渠道，请更换分组尝试"}}',
+			}
+			expect(getErrorMessage(error)).toBe(
+				"所有令牌分组 Tier 3 下对于模型 claude-sonnet-4-5 均无可用渠道，请更换分组尝试",
+			)
+		})
+
+		it("should extract message from nested error.message containing JSON", () => {
+			const error = {
+				status: 500,
+				message: "Request failed",
+				error: { message: '{"error":{"message":"Upstream provider error"}}' },
+			}
+			expect(getErrorMessage(error)).toBe("Upstream provider error")
+		})
+
+		it("should return original message when JSON has no message field", () => {
+			const error = {
+				status: 500,
+				message: '{"error":{"code":"123"}}',
+			}
+			expect(getErrorMessage(error)).toBe('{"error":{"code":"123"}}')
+		})
+
+		it("should return original message when JSON is invalid", () => {
+			const error = {
+				status: 500,
+				message: "503 {invalid json}",
+			}
+			expect(getErrorMessage(error)).toBe("503 {invalid json}")
+		})
+
+		it("should extract message from standard Error object", () => {
+			const error = new Error("Simple error message")
+			expect(getErrorMessage(error)).toBe("Simple error message")
+		})
+
+		it("should extract message from standard Error with JSON payload", () => {
+			const error = new Error('503 {"error":{"code":"","message":"Model unavailable"}}')
+			expect(getErrorMessage(error)).toBe("Model unavailable")
+		})
+
+		it("should extract message from ApiProviderError", () => {
+			const error = new ApiProviderError("Test error", "OpenRouter", "gpt-4", "createMessage")
+			expect(getErrorMessage(error)).toBe("Test error")
+		})
+
+		it("should extract message from ApiProviderError with JSON payload", () => {
+			const jsonMessage =
+				'503 {"error":{"code":"","message":"所有令牌分组 Tier 3 下对于模型 claude-sonnet-4-5 均无可用渠道"}}'
+			const error = new ApiProviderError(jsonMessage, "Anthropic", "claude-sonnet-4-5", "createMessage")
+			expect(getErrorMessage(error)).toBe("所有令牌分组 Tier 3 下对于模型 claude-sonnet-4-5 均无可用渠道")
+		})
+
+		it("should handle ApiProviderError with errorCode but no status property", () => {
+			const error = new ApiProviderError("Test error", "Anthropic", "claude-3-opus", "createMessage", 500)
+			expect(getErrorMessage(error)).toBe("Test error")
+		})
+	})
+
+	describe("extractMessageFromJsonPayload", () => {
+		it("should return undefined for messages without JSON", () => {
+			expect(extractMessageFromJsonPayload("Simple error message")).toBeUndefined()
+			expect(extractMessageFromJsonPayload("Error: something went wrong")).toBeUndefined()
+			expect(extractMessageFromJsonPayload("")).toBeUndefined()
+		})
+
+		it("should extract message from error.message structure", () => {
+			const json = '{"error":{"message":"Model unavailable"}}'
+			expect(extractMessageFromJsonPayload(json)).toBe("Model unavailable")
+		})
+
+		it("should extract message from error.message with code structure", () => {
+			const json = '{"error":{"code":"","message":"Model unavailable"}}'
+			expect(extractMessageFromJsonPayload(json)).toBe("Model unavailable")
+		})
+
+		it("should extract message from status prefix followed by JSON", () => {
+			const message = '503 {"error":{"code":"","message":"Model unavailable"}}'
+			expect(extractMessageFromJsonPayload(message)).toBe("Model unavailable")
+		})
+
+		it("should extract message from simple message structure", () => {
+			const json = '{"message":"Simple error"}'
+			expect(extractMessageFromJsonPayload(json)).toBe("Simple error")
+		})
+
+		it("should return undefined for JSON without message field", () => {
+			const json = '{"error":{"code":"500"}}'
+			expect(extractMessageFromJsonPayload(json)).toBeUndefined()
+		})
+
+		it("should return undefined for invalid JSON", () => {
+			expect(extractMessageFromJsonPayload("{invalid json}")).toBeUndefined()
+			expect(extractMessageFromJsonPayload("503 {not: valid: json}")).toBeUndefined()
+		})
+
+		it("should handle nested error structure with empty code", () => {
+			const json = '{"error":{"code":"","message":"Token quota exceeded"}}'
+			expect(extractMessageFromJsonPayload(json)).toBe("Token quota exceeded")
+		})
+
+		it("should handle Unicode messages correctly", () => {
+			const json = '{"error":{"message":"所有令牌分组 Tier 3 下对于模型 claude-sonnet-4-5 均无可用渠道"}}'
+			expect(extractMessageFromJsonPayload(json)).toBe(
+				"所有令牌分组 Tier 3 下对于模型 claude-sonnet-4-5 均无可用渠道",
+			)
+		})
+
+		it("should return undefined when message field is not a string", () => {
+			const json = '{"error":{"message":123}}'
+			expect(extractMessageFromJsonPayload(json)).toBeUndefined()
+		})
 	})
 
 	describe("shouldReportApiErrorToTelemetry", () => {
diff --git a/packages/types/src/telemetry.ts b/packages/types/src/telemetry.ts
index 84d5ae7aaf9..5e96aa70416 100644
--- a/packages/types/src/telemetry.ts
+++ b/packages/types/src/telemetry.ts
@@ -337,17 +337,76 @@ export function getErrorStatusCode(error: unknown): number | undefined {
 }
 
 /**
- * Extracts the most descriptive error message from an OpenAI SDK error.
+ * Extracts a message from a JSON payload embedded in an error string.
+ * Handles cases like "503 {"error":{"message":"actual error message"}}"
+ * or just '{"error":{"message":"actual error message"}}'
+ *
+ * @param message - The message string that may contain JSON
+ * @returns The extracted message from the JSON payload, or undefined if not found
+ */
+export function extractMessageFromJsonPayload(message: string): string | undefined {
+	// Find the first occurrence of '{' which may indicate JSON content
+	const jsonStartIndex = message.indexOf("{")
+	if (jsonStartIndex === -1) {
+		return undefined
+	}
+
+	const potentialJson = message.slice(jsonStartIndex)
+
+	try {
+		const parsed = JSON.parse(potentialJson)
+
+		// Handle structure: {"error":{"message":"..."}} or {"error":{"code":"","message":"..."}}
+		if (parsed?.error?.message && typeof parsed.error.message === "string") {
+			return parsed.error.message
+		}
+
+		// Handle structure: {"message":"..."}
+		if (parsed?.message && typeof parsed.message === "string") {
+			return parsed.message
+		}
+	} catch {
+		// JSON parsing failed - not valid JSON
+	}
+
+	return undefined
+}
+
+/**
+ * Extracts the most descriptive error message from an error object.
  * Prioritizes nested metadata (upstream provider errors) over the standard message.
+ * Also handles JSON payloads embedded in error messages.
  * @param error - The error to extract message from
- * @returns The best available error message, or undefined if not an OpenAI SDK error
+ * @returns The best available error message, or undefined if not extractable
  */
 export function getErrorMessage(error: unknown): string | undefined {
+	let message: string | undefined
+
 	if (isOpenAISdkError(error)) {
 		// Prioritize nested metadata which may contain upstream provider details
-		return error.error?.metadata?.raw || error.error?.message || error.message
+		message = error.error?.metadata?.raw || error.error?.message || error.message
+	} else if (error instanceof Error) {
+		// Handle standard Error objects (including ApiProviderError)
+		message = error.message
+	} else if (typeof error === "object" && error !== null && "message" in error) {
+		// Handle plain objects with a message property
+		const msgValue = (error as { message: unknown }).message
+		if (typeof msgValue === "string") {
+			message = msgValue
+		}
 	}
-	return undefined
+
+	if (!message) {
+		return undefined
+	}
+
+	// If the message contains JSON, try to extract the message from it
+	const extractedMessage = extractMessageFromJsonPayload(message)
+	if (extractedMessage) {
+		return extractedMessage
+	}
+
+	return message
 }
 
 /**