diff --git a/src/vs/platform/progress/common/progress.ts b/src/vs/platform/progress/common/progress.ts
index b6ff5e5057b9d..5fa930eabfba8 100644
--- a/src/vs/platform/progress/common/progress.ts
+++ b/src/vs/platform/progress/common/progress.ts
@@ -45,7 +45,8 @@ export const enum ProgressLocation {
 	Extensions = 5,
 	Window = 10,
 	Notification = 15,
-	Dialog = 20
+	Dialog = 20,
+	View = 25
 }
 
 export interface IProgressOptions {
diff --git a/src/vs/vscode.proposed.d.ts b/src/vs/vscode.proposed.d.ts
index 0d9833c52abaf..ad5823c8585a5 100644
--- a/src/vs/vscode.proposed.d.ts
+++ b/src/vs/vscode.proposed.d.ts
@@ -1824,4 +1824,24 @@ declare module 'vscode' {
 	}
 
 	//#endregion
+
+	//#region https://github.com/microsoft/vscode/issues/92421
+
+	export enum ProgressLocation {
+		/**
+		 * Show progress for a view, as progress bar inside the view (when visible),
+		 * and as an overlay on the activity bar icon. Doesn't support cancellation or discrete progress.
+		 */
+		View = 25,
+	}
+
+	export interface ProgressOptions {
+		/**
+		 * The target view identifier for showing progress when using [ProgressLocation.View](#ProgressLocation.View).
+		 */
+		viewId?: string
+	}
+
+	//#endregion
+
 }
diff --git a/src/vs/workbench/api/common/extHost.api.impl.ts b/src/vs/workbench/api/common/extHost.api.impl.ts
index 1204423f3b87f..a95e4ac7b1e3e 100644
--- a/src/vs/workbench/api/common/extHost.api.impl.ts
+++ b/src/vs/workbench/api/common/extHost.api.impl.ts
@@ -540,6 +540,9 @@ export function createApiFactoryAndRegisterActors(accessor: ServicesAccessor): I
 				return extHostProgress.withProgress(extension, { location: extHostTypes.ProgressLocation.SourceControl }, (progress, token) => task({ report(n: number) { /*noop*/ } }));
 			},
 			withProgress<R>(options: vscode.ProgressOptions, task: (progress: vscode.Progress<{ message?: string; worked?: number }>, token: vscode.CancellationToken) => Thenable<R>) {
+				if (options.location === extHostTypes.ProgressLocation.View) {
+					checkProposedApiEnabled(extension);
+				}
 				return extHostProgress.withProgress(extension, options, task);
 			},
 			createOutputChannel(name: string): vscode.OutputChannel {
diff --git a/src/vs/workbench/api/common/extHostProgress.ts b/src/vs/workbench/api/common/extHostProgress.ts
index 27a4e145c42a6..ef5e614e5b98b 100644
--- a/src/vs/workbench/api/common/extHostProgress.ts
+++ b/src/vs/workbench/api/common/extHostProgress.ts
@@ -24,9 +24,10 @@ export class ExtHostProgress implements ExtHostProgressShape {
 
 	withProgress<R>(extension: IExtensionDescription, options: ProgressOptions, task: (progress: Progress<IProgressStep>, token: CancellationToken) => Thenable<R>): Thenable<R> {
 		const handle = this._handles++;
-		const { title, location, cancellable } = options;
+		const { title, location, cancellable, viewId } = options;
 		const source = localize('extensionSource', "{0} (Extension)", extension.displayName || extension.name);
-		this._proxy.$startProgress(handle, { location: ProgressLocation.from(location), title, source, cancellable }, extension);
+
+		this._proxy.$startProgress(handle, { location: ProgressLocation.from(location, viewId), title, source, cancellable }, extension);
 		return this._withProgress(handle, task, !!cancellable);
 	}
 
diff --git a/src/vs/workbench/api/common/extHostTypeConverters.ts b/src/vs/workbench/api/common/extHostTypeConverters.ts
index 38154ceca2ed9..e443f9335d7f8 100644
--- a/src/vs/workbench/api/common/extHostTypeConverters.ts
+++ b/src/vs/workbench/api/common/extHostTypeConverters.ts
@@ -1093,11 +1093,12 @@ export namespace EndOfLine {
 }
 
 export namespace ProgressLocation {
-	export function from(loc: vscode.ProgressLocation): MainProgressLocation {
+	export function from(loc: vscode.ProgressLocation, viewId?: string): MainProgressLocation | string {
 		switch (loc) {
 			case types.ProgressLocation.SourceControl: return MainProgressLocation.Scm;
 			case types.ProgressLocation.Window: return MainProgressLocation.Window;
 			case types.ProgressLocation.Notification: return MainProgressLocation.Notification;
+			case types.ProgressLocation.View: return viewId ?? '';
 		}
 		throw new Error(`Unknown 'ProgressLocation'`);
 	}
diff --git a/src/vs/workbench/api/common/extHostTypes.ts b/src/vs/workbench/api/common/extHostTypes.ts
index 0c62c89ad01d0..2c6cc5423d69e 100644
--- a/src/vs/workbench/api/common/extHostTypes.ts
+++ b/src/vs/workbench/api/common/extHostTypes.ts
@@ -2082,7 +2082,8 @@ export class Task implements vscode.Task2 {
 export enum ProgressLocation {
 	SourceControl = 1,
 	Window = 10,
-	Notification = 15
+	Notification = 15,
+	View = 25
 }
 
 @es5ClassCompat