diff --git a/xla/python/ifrt/ir/transforms/passes.cc b/xla/python/ifrt/ir/transforms/passes.cc
index 79a895a71e0cd..7fd8ba85ae9f6 100644
--- a/xla/python/ifrt/ir/transforms/passes.cc
+++ b/xla/python/ifrt/ir/transforms/passes.cc
@@ -47,6 +47,8 @@ void CreateIfrtToOutlinedAtomProgramsPipeline(
 
   if (!options.propagate_shardings) {
     pm.addPass(CreateIfrtVerifyShardingSpecifiedPass());
+    pm.addNestedPass<mlir::func::FuncOp>(
+        xla::ifrt::CreateIfrtMergeReshardsPass());
     // We can split ifrt.Reshard to ifrt.CopyArrays because all the shardings
     // are specified.
     pm.addPass(CreateIfrtReshardToCopyArraysPass());