diff --git a/tez-runtime-internals/src/main/java/org/apache/tez/runtime/task/TezTaskRunner2.java b/tez-runtime-internals/src/main/java/org/apache/tez/runtime/task/TezTaskRunner2.java
index 90eeeb569b..2f1be9c000 100644
--- a/tez-runtime-internals/src/main/java/org/apache/tez/runtime/task/TezTaskRunner2.java
+++ b/tez-runtime-internals/src/main/java/org/apache/tez/runtime/task/TezTaskRunner2.java
@@ -30,6 +30,7 @@
 
 import com.google.common.annotations.VisibleForTesting;
 
+import org.apache.hadoop.fs.ClusterStorageCapacityExceededException;
 import org.apache.tez.common.Preconditions;
 import com.google.common.collect.Multimap;
 import org.apache.commons.lang.exception.ExceptionUtils;
@@ -90,7 +91,7 @@ public class TezTaskRunner2 {
   // TaskRunnerCallable, a failure to heartbeat, or a signalFatalError on the context.
   private volatile Throwable firstException;
   private volatile EventMetaData exceptionSourceInfo;
-  private volatile TaskFailureType firstTaskFailureType;
+  volatile TaskFailureType firstTaskFailureType;
   private final AtomicBoolean errorReporterToAm = new AtomicBoolean(false);
 
   private volatile boolean oobSignalErrorInProgress = false;
@@ -204,7 +205,7 @@ public TaskRunner2Result run() {
         synchronized (this) {
           if (isRunningState()) {
             trySettingEndReason(EndReason.TASK_ERROR);
-            registerFirstException(TaskFailureType.NON_FATAL, e, null);
+            registerFirstException(getTaskFailureType(e), e, null);
             LOG.warn("Exception from RunnerCallable", e);
           }
         }
@@ -305,7 +306,7 @@ void processCallableResult(TaskRunner2CallableResult executionResult) {
         if (isRunningState()) {
           if (executionResult.error != null) {
             trySettingEndReason(EndReason.TASK_ERROR);
-            registerFirstException(TaskFailureType.NON_FATAL, executionResult.error, null);
+            registerFirstException(getTaskFailureType(executionResult.error), executionResult.error, null);
           } else {
             trySettingEndReason(EndReason.SUCCESS);
             taskComplete.set(true);
@@ -584,4 +585,13 @@ private void logAborting(String abortReason) {
     LOG.info("Attempting to abort {} due to an invocation of {}", task.getTaskAttemptID(),
         abortReason);
   }
+
+  private TaskFailureType getTaskFailureType(Throwable e) {
+    boolean hasClusterStorageCapacityExceededException =
+        ExceptionUtils.indexOfType(e, ClusterStorageCapacityExceededException.class) != -1;
+    if (hasClusterStorageCapacityExceededException) {
+      return TaskFailureType.FATAL;
+    }
+    return TaskFailureType.NON_FATAL;
+  }
 }
\ No newline at end of file
diff --git a/tez-runtime-internals/src/test/java/org/apache/tez/runtime/task/TestTaskExecution2.java b/tez-runtime-internals/src/test/java/org/apache/tez/runtime/task/TestTaskExecution2.java
index 810c3ac82b..aeaec53124 100644
--- a/tez-runtime-internals/src/test/java/org/apache/tez/runtime/task/TestTaskExecution2.java
+++ b/tez-runtime-internals/src/test/java/org/apache/tez/runtime/task/TestTaskExecution2.java
@@ -38,6 +38,9 @@
 import java.util.concurrent.locks.ReentrantLock;
 
 import com.google.common.annotations.VisibleForTesting;
+
+import org.apache.hadoop.fs.ClusterStorageCapacityExceededException;
+import org.apache.hadoop.hdfs.protocol.NSQuotaExceededException;
 import org.apache.tez.common.Preconditions;
 import com.google.common.collect.HashMultimap;
 import com.google.common.collect.Multimap;
@@ -77,6 +80,7 @@
 import org.apache.tez.runtime.common.resources.ScalingAllocator;
 import org.apache.tez.runtime.internals.api.TaskReporterInterface;
 import org.apache.tez.runtime.task.TaskExecutionTestHelpers.TestProcessor;
+import org.apache.tez.runtime.task.TaskRunner2Callable.TaskRunner2CallableResult;
 import org.junit.AfterClass;
 import org.junit.Before;
 import org.junit.Test;
@@ -653,6 +657,40 @@ public void testKilledAfterComplete() throws IOException, InterruptedException,
     }
   }
 
+  @Test
+  public void testClusterStorageCapacityFatalError() throws IOException {
+    // Try having a ClusterStorageCapacityExceededException, which is nested within several exceptions.
+    TezTaskRunner2ForTest taskRunner = createTaskRunnerForTest();
+    TaskRunner2CallableResult executionResult = new TaskRunner2CallableResult(new Exception(
+        new IllegalArgumentException(new ClusterStorageCapacityExceededException("cluster capacity blown"))));
+    taskRunner.processCallableResult(executionResult);
+
+    assertEquals(TaskFailureType.FATAL, taskRunner.getFirstTaskFailureType());
+
+    // Try having a child class of ClusterStorageCapacityExceededException, which is nested within several exceptions.
+    taskRunner = createTaskRunnerForTest();
+    executionResult = new TaskRunner2CallableResult(
+        new Exception(new IllegalArgumentException(new NSQuotaExceededException("Namespace quota blown"))));
+    taskRunner.processCallableResult(executionResult);
+
+    assertEquals(TaskFailureType.FATAL, taskRunner.getFirstTaskFailureType());
+
+    // Try having a ClusterStorageCapacityExceededException as the first exception (non-nested)
+    taskRunner = createTaskRunnerForTest();
+    executionResult =
+        new TaskRunner2CallableResult(new ClusterStorageCapacityExceededException("cluster capacity blown"));
+    taskRunner.processCallableResult(executionResult);
+
+    assertEquals(TaskFailureType.FATAL, taskRunner.getFirstTaskFailureType());
+
+    // Try having some other exception, for that it should be NON_FATAL
+    taskRunner = createTaskRunnerForTest();
+    executionResult = new TaskRunner2CallableResult(new Exception(new IllegalArgumentException("Generic Exception")));
+    taskRunner.processCallableResult(executionResult);
+
+    assertEquals(TaskFailureType.NON_FATAL, taskRunner.getFirstTaskFailureType());
+  }
+
   private void verifySysCounters(TezCounters tezCounters, int minTaskCounterCount, int minFsCounterCount) {
 
     Preconditions.checkArgument((minTaskCounterCount > 0 && minFsCounterCount > 0) ||
@@ -747,6 +785,11 @@ private TezTaskRunner2 createTaskRunner(ApplicationId appId,
         processorConf, false, updateSysCounters);
   }
 
+  private TezTaskRunner2ForTest createTaskRunnerForTest() throws IOException {
+    return (TezTaskRunner2ForTest) createTaskRunner(ApplicationId.newInstance(10000, 1), null, null, null,
+        TestProcessor.class.getName(), TestProcessor.CONF_EMPTY, true, false);
+  }
+
   private TezTaskRunner2ForTest createTaskRunnerForTest(ApplicationId appId,
                                                         TaskExecutionTestHelpers.TezTaskUmbilicalForTest umbilical,
                                                         TaskReporter taskReporter,
@@ -827,6 +870,9 @@ executionContext, memAvailable, updateSysCounters, new DefaultHadoopShim(),
           sharedExecutor);
     }
 
+    public TaskFailureType getFirstTaskFailureType() {
+      return firstTaskFailureType;
+    }
 
     @Override
     @VisibleForTesting