diff --git a/apps/sim/app/globals.css b/apps/sim/app/globals.css
index 84891c0553..24dbca36cb 100644
--- a/apps/sim/app/globals.css
+++ b/apps/sim/app/globals.css
@@ -14,7 +14,8 @@
 }
 
 .workflow-container .react-flow__node-loopNode,
-.workflow-container .react-flow__node-parallelNode {
+.workflow-container .react-flow__node-parallelNode,
+.workflow-container .react-flow__node-subflowNode {
   z-index: -1 !important;
 }
 
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/index.ts b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/index.ts
index fe1e8a2167..832d40c160 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/index.ts
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/index.ts
@@ -2,8 +2,7 @@ export { ControlBar } from './control-bar/control-bar'
 export { ErrorBoundary } from './error/index'
 export { Panel } from './panel/panel'
 export { SkeletonLoading } from './skeleton-loading/skeleton-loading'
-export { LoopNodeComponent } from './subflows/loop/loop-node'
-export { ParallelNodeComponent } from './subflows/parallel/parallel-node'
+export { SubflowNodeComponent } from './subflows/subflow-node'
 export { WandPromptBar } from './wand-prompt-bar/wand-prompt-bar'
 export { WorkflowBlock } from './workflow-block/workflow-block'
 export { WorkflowEdge } from './workflow-edge/workflow-edge'
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/components/iteration-badges/iteration-badges.test.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/components/iteration-badges/iteration-badges.test.tsx
new file mode 100644
index 0000000000..9071f63953
--- /dev/null
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/components/iteration-badges/iteration-badges.test.tsx
@@ -0,0 +1,388 @@
+import { beforeEach, describe, expect, it, vi } from 'vitest'
+
+// Mock hooks
+const mockCollaborativeUpdates = {
+  collaborativeUpdateLoopType: vi.fn(),
+  collaborativeUpdateParallelType: vi.fn(),
+  collaborativeUpdateIterationCount: vi.fn(),
+  collaborativeUpdateIterationCollection: vi.fn(),
+}
+
+const mockStoreData = {
+  loops: {},
+  parallels: {},
+}
+
+vi.mock('@/hooks/use-collaborative-workflow', () => ({
+  useCollaborativeWorkflow: () => mockCollaborativeUpdates,
+}))
+
+vi.mock('@/stores/workflows/workflow/store', () => ({
+  useWorkflowStore: () => mockStoreData,
+}))
+
+vi.mock('@/components/ui/badge', () => ({
+  Badge: ({ children, ...props }: any) => (
+    <div data-testid='badge' {...props}>
+      {children}
+    </div>
+  ),
+}))
+
+vi.mock('@/components/ui/input', () => ({
+  Input: (props: any) => <input data-testid='input' {...props} />,
+}))
+
+vi.mock('@/components/ui/popover', () => ({
+  Popover: ({ children }: any) => <div data-testid='popover'>{children}</div>,
+  PopoverContent: ({ children }: any) => <div data-testid='popover-content'>{children}</div>,
+  PopoverTrigger: ({ children }: any) => <div data-testid='popover-trigger'>{children}</div>,
+}))
+
+vi.mock('@/components/ui/tag-dropdown', () => ({
+  checkTagTrigger: vi.fn(() => ({ show: false })),
+  TagDropdown: ({ children }: any) => <div data-testid='tag-dropdown'>{children}</div>,
+}))
+
+vi.mock('react-simple-code-editor', () => ({
+  default: (props: any) => <textarea data-testid='code-editor' {...props} />,
+}))
+
+describe('IterationBadges', () => {
+  const defaultProps = {
+    nodeId: 'test-node-1',
+    data: {
+      width: 500,
+      height: 300,
+      isPreview: false,
+    },
+    iterationType: 'loop' as const,
+  }
+
+  beforeEach(() => {
+    vi.clearAllMocks()
+    mockStoreData.loops = {}
+    mockStoreData.parallels = {}
+  })
+
+  describe('Component Interface', () => {
+    it.concurrent('should accept required props', () => {
+      expect(defaultProps.nodeId).toBeDefined()
+      expect(defaultProps.data).toBeDefined()
+      expect(defaultProps.iterationType).toBeDefined()
+    })
+
+    it.concurrent('should handle loop iteration type prop', () => {
+      const loopProps = { ...defaultProps, iterationType: 'loop' as const }
+      expect(loopProps.iterationType).toBe('loop')
+    })
+
+    it.concurrent('should handle parallel iteration type prop', () => {
+      const parallelProps = { ...defaultProps, iterationType: 'parallel' as const }
+      expect(parallelProps.iterationType).toBe('parallel')
+    })
+  })
+
+  describe('Configuration System', () => {
+    it.concurrent('should use correct config for loop type', () => {
+      const CONFIG = {
+        loop: {
+          typeLabels: { for: 'For Loop', forEach: 'For Each' },
+          typeKey: 'loopType' as const,
+          storeKey: 'loops' as const,
+          maxIterations: 100,
+          configKeys: {
+            iterations: 'iterations' as const,
+            items: 'forEachItems' as const,
+          },
+        },
+      }
+
+      expect(CONFIG.loop.typeLabels.for).toBe('For Loop')
+      expect(CONFIG.loop.typeLabels.forEach).toBe('For Each')
+      expect(CONFIG.loop.maxIterations).toBe(100)
+      expect(CONFIG.loop.storeKey).toBe('loops')
+    })
+
+    it.concurrent('should use correct config for parallel type', () => {
+      const CONFIG = {
+        parallel: {
+          typeLabels: { count: 'Parallel Count', collection: 'Parallel Each' },
+          typeKey: 'parallelType' as const,
+          storeKey: 'parallels' as const,
+          maxIterations: 20,
+          configKeys: {
+            iterations: 'count' as const,
+            items: 'distribution' as const,
+          },
+        },
+      }
+
+      expect(CONFIG.parallel.typeLabels.count).toBe('Parallel Count')
+      expect(CONFIG.parallel.typeLabels.collection).toBe('Parallel Each')
+      expect(CONFIG.parallel.maxIterations).toBe(20)
+      expect(CONFIG.parallel.storeKey).toBe('parallels')
+    })
+  })
+
+  describe('Type Determination Logic', () => {
+    it.concurrent('should default to "for" for loop type', () => {
+      type IterationType = 'loop' | 'parallel'
+      const determineDefaultType = (iterationType: IterationType) => {
+        return iterationType === 'loop' ? 'for' : 'count'
+      }
+
+      const currentType = determineDefaultType('loop')
+      expect(currentType).toBe('for')
+    })
+
+    it.concurrent('should default to "count" for parallel type', () => {
+      type IterationType = 'loop' | 'parallel'
+      const determineDefaultType = (iterationType: IterationType) => {
+        return iterationType === 'loop' ? 'for' : 'count'
+      }
+
+      const currentType = determineDefaultType('parallel')
+      expect(currentType).toBe('count')
+    })
+
+    it.concurrent('should use explicit loopType when provided', () => {
+      type IterationType = 'loop' | 'parallel'
+      const determineType = (explicitType: string | undefined, iterationType: IterationType) => {
+        return explicitType || (iterationType === 'loop' ? 'for' : 'count')
+      }
+
+      const currentType = determineType('forEach', 'loop')
+      expect(currentType).toBe('forEach')
+    })
+
+    it.concurrent('should use explicit parallelType when provided', () => {
+      type IterationType = 'loop' | 'parallel'
+      const determineType = (explicitType: string | undefined, iterationType: IterationType) => {
+        return explicitType || (iterationType === 'loop' ? 'for' : 'count')
+      }
+
+      const currentType = determineType('collection', 'parallel')
+      expect(currentType).toBe('collection')
+    })
+  })
+
+  describe('Count Mode Detection', () => {
+    it.concurrent('should be in count mode for loop + for combination', () => {
+      type IterationType = 'loop' | 'parallel'
+      type LoopType = 'for' | 'forEach'
+      type ParallelType = 'count' | 'collection'
+
+      const iterationType: IterationType = 'loop'
+      const currentType: LoopType = 'for'
+      const isCountMode = iterationType === 'loop' && currentType === 'for'
+
+      expect(isCountMode).toBe(true)
+    })
+
+    it.concurrent('should be in count mode for parallel + count combination', () => {
+      type IterationType = 'loop' | 'parallel'
+      type ParallelType = 'count' | 'collection'
+
+      const iterationType: IterationType = 'parallel'
+      const currentType: ParallelType = 'count'
+      const isCountMode = iterationType === 'parallel' && currentType === 'count'
+
+      expect(isCountMode).toBe(true)
+    })
+
+    it.concurrent('should not be in count mode for loop + forEach combination', () => {
+      type IterationType = 'loop' | 'parallel'
+
+      const testCountMode = (iterationType: IterationType, currentType: string) => {
+        return iterationType === 'loop' && currentType === 'for'
+      }
+
+      const isCountMode = testCountMode('loop', 'forEach')
+      expect(isCountMode).toBe(false)
+    })
+
+    it.concurrent('should not be in count mode for parallel + collection combination', () => {
+      type IterationType = 'loop' | 'parallel'
+
+      const testCountMode = (iterationType: IterationType, currentType: string) => {
+        return iterationType === 'parallel' && currentType === 'count'
+      }
+
+      const isCountMode = testCountMode('parallel', 'collection')
+      expect(isCountMode).toBe(false)
+    })
+  })
+
+  describe('Configuration Values', () => {
+    it.concurrent('should handle default iteration count', () => {
+      const data = { count: undefined }
+      const configIterations = data.count ?? 5
+      expect(configIterations).toBe(5)
+    })
+
+    it.concurrent('should use provided iteration count', () => {
+      const data = { count: 10 }
+      const configIterations = data.count ?? 5
+      expect(configIterations).toBe(10)
+    })
+
+    it.concurrent('should handle string collection', () => {
+      const collection = '[1, 2, 3, 4, 5]'
+      const collectionString =
+        typeof collection === 'string' ? collection : JSON.stringify(collection) || ''
+      expect(collectionString).toBe('[1, 2, 3, 4, 5]')
+    })
+
+    it.concurrent('should handle object collection', () => {
+      const collection = { items: [1, 2, 3] }
+      const collectionString =
+        typeof collection === 'string' ? collection : JSON.stringify(collection) || ''
+      expect(collectionString).toBe('{"items":[1,2,3]}')
+    })
+
+    it.concurrent('should handle array collection', () => {
+      const collection = [1, 2, 3, 4, 5]
+      const collectionString =
+        typeof collection === 'string' ? collection : JSON.stringify(collection) || ''
+      expect(collectionString).toBe('[1,2,3,4,5]')
+    })
+  })
+
+  describe('Preview Mode Handling', () => {
+    it.concurrent('should handle preview mode for loops', () => {
+      const previewProps = {
+        ...defaultProps,
+        data: { ...defaultProps.data, isPreview: true },
+        iterationType: 'loop' as const,
+      }
+
+      expect(previewProps.data.isPreview).toBe(true)
+      // In preview mode, collaborative functions shouldn't be called
+      expect(mockCollaborativeUpdates.collaborativeUpdateLoopType).not.toHaveBeenCalled()
+    })
+
+    it.concurrent('should handle preview mode for parallels', () => {
+      const previewProps = {
+        ...defaultProps,
+        data: { ...defaultProps.data, isPreview: true },
+        iterationType: 'parallel' as const,
+      }
+
+      expect(previewProps.data.isPreview).toBe(true)
+      // In preview mode, collaborative functions shouldn't be called
+      expect(mockCollaborativeUpdates.collaborativeUpdateParallelType).not.toHaveBeenCalled()
+    })
+  })
+
+  describe('Store Integration', () => {
+    it.concurrent('should access loops store for loop iteration type', () => {
+      const nodeId = 'loop-node-1'
+      ;(mockStoreData.loops as any)[nodeId] = { iterations: 10 }
+
+      const nodeConfig = (mockStoreData.loops as any)[nodeId]
+      expect(nodeConfig).toBeDefined()
+      expect(nodeConfig.iterations).toBe(10)
+    })
+
+    it.concurrent('should access parallels store for parallel iteration type', () => {
+      const nodeId = 'parallel-node-1'
+      ;(mockStoreData.parallels as any)[nodeId] = { count: 5 }
+
+      const nodeConfig = (mockStoreData.parallels as any)[nodeId]
+      expect(nodeConfig).toBeDefined()
+      expect(nodeConfig.count).toBe(5)
+    })
+
+    it.concurrent('should handle missing node configuration gracefully', () => {
+      const nodeId = 'missing-node'
+      const nodeConfig = (mockStoreData.loops as any)[nodeId]
+      expect(nodeConfig).toBeUndefined()
+    })
+  })
+
+  describe('Max Iterations Limits', () => {
+    it.concurrent('should enforce max iterations for loops (100)', () => {
+      const maxIterations = 100
+      const testValue = 150
+      const clampedValue = Math.min(maxIterations, testValue)
+      expect(clampedValue).toBe(100)
+    })
+
+    it.concurrent('should enforce max iterations for parallels (20)', () => {
+      const maxIterations = 20
+      const testValue = 50
+      const clampedValue = Math.min(maxIterations, testValue)
+      expect(clampedValue).toBe(20)
+    })
+
+    it.concurrent('should allow values within limits', () => {
+      const loopMaxIterations = 100
+      const parallelMaxIterations = 20
+
+      expect(Math.min(loopMaxIterations, 50)).toBe(50)
+      expect(Math.min(parallelMaxIterations, 10)).toBe(10)
+    })
+  })
+
+  describe('Collaborative Update Functions', () => {
+    it.concurrent('should have the correct collaborative functions available', () => {
+      expect(mockCollaborativeUpdates.collaborativeUpdateLoopType).toBeDefined()
+      expect(mockCollaborativeUpdates.collaborativeUpdateParallelType).toBeDefined()
+      expect(mockCollaborativeUpdates.collaborativeUpdateIterationCount).toBeDefined()
+      expect(mockCollaborativeUpdates.collaborativeUpdateIterationCollection).toBeDefined()
+    })
+
+    it.concurrent('should call correct function for loop type updates', () => {
+      const handleTypeChange = (newType: string, iterationType: string, nodeId: string) => {
+        if (iterationType === 'loop') {
+          mockCollaborativeUpdates.collaborativeUpdateLoopType(nodeId, newType)
+        } else {
+          mockCollaborativeUpdates.collaborativeUpdateParallelType(nodeId, newType)
+        }
+      }
+
+      handleTypeChange('forEach', 'loop', 'test-node')
+      expect(mockCollaborativeUpdates.collaborativeUpdateLoopType).toHaveBeenCalledWith(
+        'test-node',
+        'forEach'
+      )
+    })
+
+    it.concurrent('should call correct function for parallel type updates', () => {
+      const handleTypeChange = (newType: string, iterationType: string, nodeId: string) => {
+        if (iterationType === 'loop') {
+          mockCollaborativeUpdates.collaborativeUpdateLoopType(nodeId, newType)
+        } else {
+          mockCollaborativeUpdates.collaborativeUpdateParallelType(nodeId, newType)
+        }
+      }
+
+      handleTypeChange('collection', 'parallel', 'test-node')
+      expect(mockCollaborativeUpdates.collaborativeUpdateParallelType).toHaveBeenCalledWith(
+        'test-node',
+        'collection'
+      )
+    })
+  })
+
+  describe('Input Sanitization', () => {
+    it.concurrent('should sanitize numeric input by removing non-digits', () => {
+      const testInput = 'abc123def456'
+      const sanitized = testInput.replace(/[^0-9]/g, '')
+      expect(sanitized).toBe('123456')
+    })
+
+    it.concurrent('should handle empty input', () => {
+      const testInput = ''
+      const sanitized = testInput.replace(/[^0-9]/g, '')
+      expect(sanitized).toBe('')
+    })
+
+    it.concurrent('should preserve valid numeric input', () => {
+      const testInput = '42'
+      const sanitized = testInput.replace(/[^0-9]/g, '')
+      expect(sanitized).toBe('42')
+    })
+  })
+})
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node.test.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node.test.tsx
deleted file mode 100644
index 1ba47193e2..0000000000
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node.test.tsx
+++ /dev/null
@@ -1,452 +0,0 @@
-import { beforeEach, describe, expect, it, vi } from 'vitest'
-import { LoopNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node'
-import { useWorkflowStore } from '@/stores/workflows/workflow/store'
-
-vi.mock('@/stores/workflows/workflow/store', () => ({
-  useWorkflowStore: vi.fn(),
-}))
-
-vi.mock('@/lib/logs/logger', () => ({
-  createLogger: vi.fn(() => ({
-    debug: vi.fn(),
-    info: vi.fn(),
-    warn: vi.fn(),
-    error: vi.fn(),
-  })),
-}))
-
-vi.mock('reactflow', () => ({
-  Handle: ({ id, type, position }: any) => ({ id, type, position }),
-  Position: {
-    Top: 'top',
-    Bottom: 'bottom',
-    Left: 'left',
-    Right: 'right',
-  },
-  useReactFlow: () => ({
-    getNodes: vi.fn(() => []),
-  }),
-  NodeResizer: ({ isVisible }: any) => ({ isVisible }),
-  memo: (component: any) => component,
-}))
-
-vi.mock('react', async () => {
-  const actual = await vi.importActual('react')
-  return {
-    ...actual,
-    memo: (component: any) => component,
-    useMemo: (fn: any) => fn(),
-    useRef: () => ({ current: null }),
-  }
-})
-
-vi.mock('@/components/ui/button', () => ({
-  Button: ({ children, onClick, ...props }: any) => ({ children, onClick, ...props }),
-}))
-
-vi.mock('@/components/ui/card', () => ({
-  Card: ({ children, ...props }: any) => ({ children, ...props }),
-}))
-
-vi.mock('@/components/icons', async (importOriginal) => {
-  const actual = (await importOriginal()) as any
-  return {
-    ...actual,
-    // Override specific icons if needed for testing
-    StartIcon: ({ className }: any) => ({ className }),
-  }
-})
-
-vi.mock('@/lib/utils', () => ({
-  cn: (...classes: any[]) => classes.filter(Boolean).join(' '),
-}))
-
-vi.mock('@/app/workspace/[workspaceId]/w/[workflowId]/components/loop-badges', () => ({
-  LoopBadges: ({ loopId }: any) => ({ loopId }),
-}))
-
-describe('LoopNodeComponent', () => {
-  const mockRemoveBlock = vi.fn()
-  const mockGetNodes = vi.fn()
-  const defaultProps = {
-    id: 'loop-1',
-    type: 'loopNode',
-    data: {
-      width: 500,
-      height: 300,
-      state: 'valid',
-    },
-    selected: false,
-    zIndex: 1,
-    isConnectable: true,
-    xPos: 0,
-    yPos: 0,
-    dragging: false,
-  }
-
-  beforeEach(() => {
-    vi.clearAllMocks()
-
-    ;(useWorkflowStore as any).mockImplementation((selector: any) => {
-      const state = {
-        removeBlock: mockRemoveBlock,
-      }
-      return selector(state)
-    })
-
-    mockGetNodes.mockReturnValue([])
-  })
-
-  describe('Component Definition and Structure', () => {
-    it('should be defined as a function component', () => {
-      expect(LoopNodeComponent).toBeDefined()
-      expect(typeof LoopNodeComponent).toBe('function')
-    })
-
-    it('should have correct display name', () => {
-      expect(LoopNodeComponent.displayName).toBe('LoopNodeComponent')
-    })
-
-    it('should be a memoized component', () => {
-      expect(LoopNodeComponent).toBeDefined()
-    })
-  })
-
-  describe('Props Validation and Type Safety', () => {
-    it('should accept NodeProps interface', () => {
-      const validProps = {
-        id: 'test-id',
-        type: 'loopNode' as const,
-        data: {
-          width: 400,
-          height: 300,
-          state: 'valid' as const,
-        },
-        selected: false,
-        zIndex: 1,
-        isConnectable: true,
-        xPos: 0,
-        yPos: 0,
-        dragging: false,
-      }
-
-      expect(() => {
-        const _component: typeof LoopNodeComponent = LoopNodeComponent
-        expect(_component).toBeDefined()
-      }).not.toThrow()
-    })
-
-    it('should handle different data configurations', () => {
-      const configurations = [
-        { width: 500, height: 300, state: 'valid' },
-        { width: 800, height: 600, state: 'invalid' },
-        { width: 0, height: 0, state: 'pending' },
-        {},
-      ]
-
-      configurations.forEach((data) => {
-        const props = { ...defaultProps, data }
-        expect(() => {
-          const _component: typeof LoopNodeComponent = LoopNodeComponent
-          expect(_component).toBeDefined()
-        }).not.toThrow()
-      })
-    })
-  })
-
-  describe('Store Integration', () => {
-    it('should integrate with workflow store', () => {
-      expect(useWorkflowStore).toBeDefined()
-
-      const mockState = { removeBlock: mockRemoveBlock }
-      const selector = vi.fn((state) => state.removeBlock)
-
-      expect(() => {
-        selector(mockState)
-      }).not.toThrow()
-
-      expect(selector(mockState)).toBe(mockRemoveBlock)
-    })
-
-    it('should handle removeBlock function', () => {
-      expect(mockRemoveBlock).toBeDefined()
-      expect(typeof mockRemoveBlock).toBe('function')
-
-      mockRemoveBlock('test-id')
-      expect(mockRemoveBlock).toHaveBeenCalledWith('test-id')
-    })
-  })
-
-  describe('Component Logic Tests', () => {
-    it('should handle nesting level calculation logic', () => {
-      const testCases = [
-        { nodes: [], parentId: undefined, expectedLevel: 0 },
-        { nodes: [{ id: 'parent', data: {} }], parentId: 'parent', expectedLevel: 1 },
-        {
-          nodes: [
-            { id: 'parent', data: { parentId: 'grandparent' } },
-            { id: 'grandparent', data: {} },
-          ],
-          parentId: 'parent',
-          expectedLevel: 2,
-        },
-      ]
-
-      testCases.forEach(({ nodes, parentId, expectedLevel }) => {
-        mockGetNodes.mockReturnValue(nodes)
-
-        // Simulate the nesting level calculation logic
-        let level = 0
-        let currentParentId = parentId
-
-        while (currentParentId) {
-          level++
-          const parentNode = nodes.find((n) => n.id === currentParentId)
-          if (!parentNode) break
-          currentParentId = parentNode.data?.parentId
-        }
-
-        expect(level).toBe(expectedLevel)
-      })
-    })
-
-    it('should handle nested styles generation', () => {
-      // Test the nested styles logic
-      const testCases = [
-        { nestingLevel: 0, state: 'valid', expectedBg: 'rgba(34,197,94,0.05)' },
-        { nestingLevel: 0, state: 'invalid', expectedBg: 'transparent' },
-        { nestingLevel: 1, state: 'valid', expectedBg: '#e2e8f030' },
-        { nestingLevel: 2, state: 'valid', expectedBg: '#cbd5e130' },
-      ]
-
-      testCases.forEach(({ nestingLevel, state, expectedBg }) => {
-        // Simulate the getNestedStyles logic
-        const styles: Record<string, string> = {
-          backgroundColor: state === 'valid' ? 'rgba(34,197,94,0.05)' : 'transparent',
-        }
-
-        if (nestingLevel > 0) {
-          const colors = ['#e2e8f0', '#cbd5e1', '#94a3b8', '#64748b', '#475569']
-          const colorIndex = (nestingLevel - 1) % colors.length
-          styles.backgroundColor = `${colors[colorIndex]}30`
-        }
-
-        expect(styles.backgroundColor).toBe(expectedBg)
-      })
-    })
-  })
-
-  describe('Component Configuration', () => {
-    it('should handle different dimensions', () => {
-      const dimensionTests = [
-        { width: 500, height: 300 },
-        { width: 800, height: 600 },
-        { width: 0, height: 0 },
-        { width: 10000, height: 10000 },
-      ]
-
-      dimensionTests.forEach(({ width, height }) => {
-        const data = { width, height, state: 'valid' }
-        expect(data.width).toBe(width)
-        expect(data.height).toBe(height)
-      })
-    })
-
-    it('should handle different states', () => {
-      const stateTests = ['valid', 'invalid', 'pending', 'executing']
-
-      stateTests.forEach((state) => {
-        const data = { width: 500, height: 300, state }
-        expect(data.state).toBe(state)
-      })
-    })
-  })
-
-  describe('Event Handling Logic', () => {
-    it('should handle delete button click logic', () => {
-      const mockEvent = {
-        stopPropagation: vi.fn(),
-      }
-
-      // Simulate the delete button click handler
-      const handleDelete = (e: any, nodeId: string) => {
-        e.stopPropagation()
-        mockRemoveBlock(nodeId)
-      }
-
-      handleDelete(mockEvent, 'test-id')
-
-      expect(mockEvent.stopPropagation).toHaveBeenCalled()
-      expect(mockRemoveBlock).toHaveBeenCalledWith('test-id')
-    })
-
-    it('should handle event propagation prevention', () => {
-      const mockEvent = {
-        stopPropagation: vi.fn(),
-      }
-
-      // Test that stopPropagation is called
-      mockEvent.stopPropagation()
-      expect(mockEvent.stopPropagation).toHaveBeenCalled()
-    })
-  })
-
-  describe('Component Data Handling', () => {
-    it('should handle missing data properties gracefully', () => {
-      const testCases = [
-        undefined,
-        {},
-        { width: 500 },
-        { height: 300 },
-        { state: 'valid' },
-        { width: 500, height: 300 },
-      ]
-
-      testCases.forEach((data) => {
-        const props = { ...defaultProps, data }
-
-        // Test default values logic
-        const width = Math.max(0, data?.width || 500)
-        const height = Math.max(0, data?.height || 300)
-
-        expect(width).toBeGreaterThanOrEqual(0)
-        expect(height).toBeGreaterThanOrEqual(0)
-      })
-    })
-
-    it('should handle parent ID relationships', () => {
-      const testCases = [
-        { parentId: undefined, hasParent: false },
-        { parentId: 'parent-1', hasParent: true },
-        { parentId: '', hasParent: false },
-      ]
-
-      testCases.forEach(({ parentId, hasParent }) => {
-        const data = { ...defaultProps.data, parentId }
-        expect(Boolean(data.parentId)).toBe(hasParent)
-      })
-    })
-  })
-
-  describe('Edge Cases and Error Handling', () => {
-    it('should handle circular parent references', () => {
-      // Test circular reference prevention
-      const nodes = [
-        { id: 'node1', data: { parentId: 'node2' } },
-        { id: 'node2', data: { parentId: 'node1' } },
-      ]
-
-      mockGetNodes.mockReturnValue(nodes)
-
-      // Test the actual component's nesting level calculation logic
-      // This simulates the real useMemo logic from the component
-      let level = 0
-      let currentParentId = 'node1'
-      const visited = new Set<string>()
-
-      // This is the actual logic pattern used in the component
-      while (currentParentId) {
-        // If we've seen this parent before, we have a cycle - break immediately
-        if (visited.has(currentParentId)) {
-          break
-        }
-
-        visited.add(currentParentId)
-        level++
-
-        const parentNode = nodes.find((n) => n.id === currentParentId)
-        if (!parentNode) break
-
-        currentParentId = parentNode.data?.parentId
-      }
-
-      // With proper circular reference detection, we should stop at level 2
-      // (node1 -> node2, then detect cycle when trying to go back to node1)
-      expect(level).toBe(2)
-      expect(visited.has('node1')).toBe(true)
-      expect(visited.has('node2')).toBe(true)
-    })
-
-    it('should handle complex circular reference chains', () => {
-      // Test more complex circular reference scenarios
-      const nodes = [
-        { id: 'node1', data: { parentId: 'node2' } },
-        { id: 'node2', data: { parentId: 'node3' } },
-        { id: 'node3', data: { parentId: 'node1' } }, // Creates a 3-node cycle
-      ]
-
-      mockGetNodes.mockReturnValue(nodes)
-
-      let level = 0
-      let currentParentId = 'node1'
-      const visited = new Set<string>()
-
-      while (currentParentId) {
-        if (visited.has(currentParentId)) {
-          break // Cycle detected
-        }
-
-        visited.add(currentParentId)
-        level++
-
-        const parentNode = nodes.find((n) => n.id === currentParentId)
-        if (!parentNode) break
-
-        currentParentId = parentNode.data?.parentId
-      }
-
-      // Should traverse node1 -> node2 -> node3, then detect cycle
-      expect(level).toBe(3)
-      expect(visited.size).toBe(3)
-    })
-
-    it('should handle self-referencing nodes', () => {
-      // Test node that references itself
-      const nodes = [
-        { id: 'node1', data: { parentId: 'node1' } }, // Self-reference
-      ]
-
-      mockGetNodes.mockReturnValue(nodes)
-
-      let level = 0
-      let currentParentId = 'node1'
-      const visited = new Set<string>()
-
-      while (currentParentId) {
-        if (visited.has(currentParentId)) {
-          break // Cycle detected immediately
-        }
-
-        visited.add(currentParentId)
-        level++
-
-        const parentNode = nodes.find((n) => n.id === currentParentId)
-        if (!parentNode) break
-
-        currentParentId = parentNode.data?.parentId
-      }
-
-      // Should detect self-reference immediately after first iteration
-      expect(level).toBe(1)
-      expect(visited.has('node1')).toBe(true)
-    })
-
-    it('should handle extreme values', () => {
-      const extremeValues = [
-        { width: Number.MAX_SAFE_INTEGER, height: Number.MAX_SAFE_INTEGER },
-        { width: -1, height: -1 },
-        { width: 0, height: 0 },
-        { width: null, height: null },
-      ]
-
-      extremeValues.forEach((data) => {
-        expect(() => {
-          const width = data.width || 500
-          const height = data.height || 300
-          expect(typeof width).toBe('number')
-          expect(typeof height).toBe('number')
-        }).not.toThrow()
-      })
-    })
-  })
-})
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node.test.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node.test.tsx
deleted file mode 100644
index 3bcaf3d3e9..0000000000
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node.test.tsx
+++ /dev/null
@@ -1,585 +0,0 @@
-import { beforeEach, describe, expect, it, vi } from 'vitest'
-import { ParallelNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node'
-import { useWorkflowStore } from '@/stores/workflows/workflow/store'
-
-vi.mock('@/stores/workflows/workflow/store', () => ({
-  useWorkflowStore: vi.fn(),
-}))
-
-vi.mock('@/lib/logs/logger', () => ({
-  createLogger: vi.fn(() => ({
-    debug: vi.fn(),
-    info: vi.fn(),
-    warn: vi.fn(),
-    error: vi.fn(),
-  })),
-}))
-
-vi.mock('reactflow', () => ({
-  Handle: ({ id, type, position }: any) => ({ id, type, position }),
-  Position: {
-    Top: 'top',
-    Bottom: 'bottom',
-    Left: 'left',
-    Right: 'right',
-  },
-  useReactFlow: () => ({
-    getNodes: vi.fn(() => []),
-  }),
-  NodeResizer: ({ isVisible }: any) => ({ isVisible }),
-  memo: (component: any) => component,
-}))
-
-vi.mock('react', async () => {
-  const actual = await vi.importActual('react')
-  return {
-    ...actual,
-    memo: (component: any) => component,
-    useMemo: (fn: any) => fn(),
-    useRef: () => ({ current: null }),
-  }
-})
-
-vi.mock('@/components/ui/button', () => ({
-  Button: ({ children, onClick, ...props }: any) => ({ children, onClick, ...props }),
-}))
-
-vi.mock('@/components/ui/card', () => ({
-  Card: ({ children, ...props }: any) => ({ children, ...props }),
-}))
-
-vi.mock('@/blocks/registry', () => ({
-  getBlock: vi.fn(() => ({
-    name: 'Mock Block',
-    description: 'Mock block description',
-    icon: () => null,
-    subBlocks: [],
-    outputs: {},
-  })),
-  getAllBlocks: vi.fn(() => ({})),
-}))
-
-vi.mock('@/lib/utils', () => ({
-  cn: (...classes: any[]) => classes.filter(Boolean).join(' '),
-}))
-
-vi.mock(
-  '@/app/workspace/[workspaceId]/w/[workflowId]/components/parallel-node/components/parallel-badges',
-  () => ({
-    ParallelBadges: ({ parallelId }: any) => ({ parallelId }),
-  })
-)
-
-describe('ParallelNodeComponent', () => {
-  const mockRemoveBlock = vi.fn()
-  const mockGetNodes = vi.fn()
-  const defaultProps = {
-    id: 'parallel-1',
-    type: 'parallelNode',
-    data: {
-      width: 500,
-      height: 300,
-      state: 'valid',
-    },
-    selected: false,
-    zIndex: 1,
-    isConnectable: true,
-    xPos: 0,
-    yPos: 0,
-    dragging: false,
-  }
-
-  beforeEach(() => {
-    vi.clearAllMocks()
-
-    ;(useWorkflowStore as any).mockImplementation((selector: any) => {
-      const state = {
-        removeBlock: mockRemoveBlock,
-      }
-      return selector(state)
-    })
-
-    mockGetNodes.mockReturnValue([])
-  })
-
-  describe('Component Definition and Structure', () => {
-    it.concurrent('should be defined as a function component', () => {
-      expect(ParallelNodeComponent).toBeDefined()
-      expect(typeof ParallelNodeComponent).toBe('function')
-    })
-
-    it.concurrent('should have correct display name', () => {
-      expect(ParallelNodeComponent.displayName).toBe('ParallelNodeComponent')
-    })
-
-    it.concurrent('should be a memoized component', () => {
-      expect(ParallelNodeComponent).toBeDefined()
-    })
-  })
-
-  describe('Props Validation and Type Safety', () => {
-    it.concurrent('should accept NodeProps interface', () => {
-      expect(() => {
-        const _component: typeof ParallelNodeComponent = ParallelNodeComponent
-        expect(_component).toBeDefined()
-      }).not.toThrow()
-    })
-
-    it.concurrent('should handle different data configurations', () => {
-      const configurations = [
-        { width: 500, height: 300, state: 'valid' },
-        { width: 800, height: 600, state: 'invalid' },
-        { width: 0, height: 0, state: 'pending' },
-        {},
-      ]
-
-      configurations.forEach((data) => {
-        const props = { ...defaultProps, data }
-        expect(() => {
-          const _component: typeof ParallelNodeComponent = ParallelNodeComponent
-          expect(_component).toBeDefined()
-        }).not.toThrow()
-      })
-    })
-  })
-
-  describe('Store Integration', () => {
-    it.concurrent('should integrate with workflow store', () => {
-      expect(useWorkflowStore).toBeDefined()
-
-      const mockState = { removeBlock: mockRemoveBlock }
-      const selector = vi.fn((state) => state.removeBlock)
-
-      expect(() => {
-        selector(mockState)
-      }).not.toThrow()
-
-      expect(selector(mockState)).toBe(mockRemoveBlock)
-    })
-
-    it.concurrent('should handle removeBlock function', () => {
-      expect(mockRemoveBlock).toBeDefined()
-      expect(typeof mockRemoveBlock).toBe('function')
-
-      mockRemoveBlock('test-id')
-      expect(mockRemoveBlock).toHaveBeenCalledWith('test-id')
-    })
-  })
-
-  describe('Component Logic Tests', () => {
-    it.concurrent('should handle nesting level calculation logic', () => {
-      const testCases = [
-        { nodes: [], parentId: undefined, expectedLevel: 0 },
-        { nodes: [{ id: 'parent', data: {} }], parentId: 'parent', expectedLevel: 1 },
-        {
-          nodes: [
-            { id: 'parent', data: { parentId: 'grandparent' } },
-            { id: 'grandparent', data: {} },
-          ],
-          parentId: 'parent',
-          expectedLevel: 2,
-        },
-      ]
-
-      testCases.forEach(({ nodes, parentId, expectedLevel }) => {
-        mockGetNodes.mockReturnValue(nodes)
-
-        let level = 0
-        let currentParentId = parentId
-
-        while (currentParentId) {
-          level++
-          const parentNode = nodes.find((n) => n.id === currentParentId)
-          if (!parentNode) break
-          currentParentId = parentNode.data?.parentId
-        }
-
-        expect(level).toBe(expectedLevel)
-      })
-    })
-
-    it.concurrent('should handle nested styles generation for parallel nodes', () => {
-      const testCases = [
-        { nestingLevel: 0, state: 'valid', expectedBg: 'rgba(254,225,43,0.05)' },
-        { nestingLevel: 0, state: 'invalid', expectedBg: 'transparent' },
-        { nestingLevel: 1, state: 'valid', expectedBg: '#e2e8f030' },
-        { nestingLevel: 2, state: 'valid', expectedBg: '#cbd5e130' },
-      ]
-
-      testCases.forEach(({ nestingLevel, state, expectedBg }) => {
-        const styles: Record<string, string> = {
-          backgroundColor: state === 'valid' ? 'rgba(254,225,43,0.05)' : 'transparent',
-        }
-
-        if (nestingLevel > 0) {
-          const colors = ['#e2e8f0', '#cbd5e1', '#94a3b8', '#64748b', '#475569']
-          const colorIndex = (nestingLevel - 1) % colors.length
-          styles.backgroundColor = `${colors[colorIndex]}30`
-        }
-
-        expect(styles.backgroundColor).toBe(expectedBg)
-      })
-    })
-  })
-
-  describe('Parallel-Specific Features', () => {
-    it.concurrent('should handle parallel execution states', () => {
-      const parallelStates = ['valid', 'invalid', 'executing', 'completed', 'pending']
-
-      parallelStates.forEach((state) => {
-        const data = { width: 500, height: 300, state }
-        expect(data.state).toBe(state)
-
-        const isExecuting = state === 'executing'
-        const isCompleted = state === 'completed'
-
-        expect(typeof isExecuting).toBe('boolean')
-        expect(typeof isCompleted).toBe('boolean')
-      })
-    })
-
-    it.concurrent('should handle parallel node color scheme', () => {
-      const parallelColors = {
-        background: 'rgba(254,225,43,0.05)',
-        ring: '#FEE12B',
-        startIcon: '#FEE12B',
-      }
-
-      expect(parallelColors.background).toContain('254,225,43')
-      expect(parallelColors.ring).toBe('#FEE12B')
-      expect(parallelColors.startIcon).toBe('#FEE12B')
-    })
-
-    it.concurrent('should differentiate from loop node styling', () => {
-      const loopColors = {
-        background: 'rgba(34,197,94,0.05)',
-        ring: '#2FB3FF',
-        startIcon: '#2FB3FF',
-      }
-
-      const parallelColors = {
-        background: 'rgba(254,225,43,0.05)',
-        ring: '#FEE12B',
-        startIcon: '#FEE12B',
-      }
-
-      expect(parallelColors.background).not.toBe(loopColors.background)
-      expect(parallelColors.ring).not.toBe(loopColors.ring)
-      expect(parallelColors.startIcon).not.toBe(loopColors.startIcon)
-    })
-  })
-
-  describe('Component Configuration', () => {
-    it.concurrent('should handle different dimensions', () => {
-      const dimensionTests = [
-        { width: 500, height: 300 },
-        { width: 800, height: 600 },
-        { width: 0, height: 0 },
-        { width: 10000, height: 10000 },
-      ]
-
-      dimensionTests.forEach(({ width, height }) => {
-        const data = { width, height, state: 'valid' }
-        expect(data.width).toBe(width)
-        expect(data.height).toBe(height)
-      })
-    })
-
-    it.concurrent('should handle different states', () => {
-      const stateTests = ['valid', 'invalid', 'pending', 'executing', 'completed']
-
-      stateTests.forEach((state) => {
-        const data = { width: 500, height: 300, state }
-        expect(data.state).toBe(state)
-      })
-    })
-  })
-
-  describe('Event Handling Logic', () => {
-    it.concurrent('should handle delete button click logic', () => {
-      const mockEvent = {
-        stopPropagation: vi.fn(),
-      }
-
-      const handleDelete = (e: any, nodeId: string) => {
-        e.stopPropagation()
-        mockRemoveBlock(nodeId)
-      }
-
-      handleDelete(mockEvent, 'test-id')
-
-      expect(mockEvent.stopPropagation).toHaveBeenCalled()
-      expect(mockRemoveBlock).toHaveBeenCalledWith('test-id')
-    })
-
-    it.concurrent('should handle event propagation prevention', () => {
-      const mockEvent = {
-        stopPropagation: vi.fn(),
-      }
-
-      mockEvent.stopPropagation()
-      expect(mockEvent.stopPropagation).toHaveBeenCalled()
-    })
-  })
-
-  describe('Component Data Handling', () => {
-    it.concurrent('should handle missing data properties gracefully', () => {
-      const testCases = [
-        undefined,
-        {},
-        { width: 500 },
-        { height: 300 },
-        { state: 'valid' },
-        { width: 500, height: 300 },
-      ]
-
-      testCases.forEach((data) => {
-        const props = { ...defaultProps, data }
-
-        // Test default values logic
-        const width = data?.width || 500
-        const height = data?.height || 300
-
-        expect(width).toBeGreaterThanOrEqual(0)
-        expect(height).toBeGreaterThanOrEqual(0)
-      })
-    })
-
-    it.concurrent('should handle parent ID relationships', () => {
-      const testCases = [
-        { parentId: undefined, hasParent: false },
-        { parentId: 'parent-1', hasParent: true },
-        { parentId: '', hasParent: false },
-      ]
-
-      testCases.forEach(({ parentId, hasParent }) => {
-        const data = { ...defaultProps.data, parentId }
-        expect(Boolean(data.parentId)).toBe(hasParent)
-      })
-    })
-  })
-
-  describe('Handle Configuration', () => {
-    it.concurrent('should have correct handle IDs for parallel nodes', () => {
-      const handleIds = {
-        startSource: 'parallel-start-source',
-        endSource: 'parallel-end-source',
-      }
-
-      expect(handleIds.startSource).toContain('parallel')
-      expect(handleIds.endSource).toContain('parallel')
-      expect(handleIds.startSource).not.toContain('loop')
-      expect(handleIds.endSource).not.toContain('loop')
-    })
-
-    it.concurrent('should handle different handle positions', () => {
-      const positions = {
-        left: 'left',
-        right: 'right',
-        top: 'top',
-        bottom: 'bottom',
-      }
-
-      Object.values(positions).forEach((position) => {
-        expect(typeof position).toBe('string')
-        expect(position.length).toBeGreaterThan(0)
-      })
-    })
-  })
-
-  describe('Edge Cases and Error Handling', () => {
-    it.concurrent('should handle circular parent references', () => {
-      // Test circular reference prevention
-      const nodes = [
-        { id: 'node1', data: { parentId: 'node2' } },
-        { id: 'node2', data: { parentId: 'node1' } },
-      ]
-
-      mockGetNodes.mockReturnValue(nodes)
-
-      // Test the actual component's nesting level calculation logic
-      // This simulates the real useMemo logic from the component
-      let level = 0
-      let currentParentId = 'node1'
-      const visited = new Set<string>()
-
-      // This is the actual logic pattern used in the component
-      while (currentParentId) {
-        // If we've seen this parent before, we have a cycle - break immediately
-        if (visited.has(currentParentId)) {
-          break
-        }
-
-        visited.add(currentParentId)
-        level++
-
-        const parentNode = nodes.find((n) => n.id === currentParentId)
-        if (!parentNode) break
-
-        currentParentId = parentNode.data?.parentId
-      }
-
-      // With proper circular reference detection, we should stop at level 2
-      // (node1 -> node2, then detect cycle when trying to go back to node1)
-      expect(level).toBe(2)
-      expect(visited.has('node1')).toBe(true)
-      expect(visited.has('node2')).toBe(true)
-    })
-
-    it.concurrent('should handle complex circular reference chains', () => {
-      // Test more complex circular reference scenarios
-      const nodes = [
-        { id: 'node1', data: { parentId: 'node2' } },
-        { id: 'node2', data: { parentId: 'node3' } },
-        { id: 'node3', data: { parentId: 'node1' } }, // Creates a 3-node cycle
-      ]
-
-      mockGetNodes.mockReturnValue(nodes)
-
-      let level = 0
-      let currentParentId = 'node1'
-      const visited = new Set<string>()
-
-      while (currentParentId) {
-        if (visited.has(currentParentId)) {
-          break // Cycle detected
-        }
-
-        visited.add(currentParentId)
-        level++
-
-        const parentNode = nodes.find((n) => n.id === currentParentId)
-        if (!parentNode) break
-
-        currentParentId = parentNode.data?.parentId
-      }
-
-      // Should traverse node1 -> node2 -> node3, then detect cycle
-      expect(level).toBe(3)
-      expect(visited.size).toBe(3)
-    })
-
-    it.concurrent('should handle self-referencing nodes', () => {
-      // Test node that references itself
-      const nodes = [
-        { id: 'node1', data: { parentId: 'node1' } }, // Self-reference
-      ]
-
-      mockGetNodes.mockReturnValue(nodes)
-
-      let level = 0
-      let currentParentId = 'node1'
-      const visited = new Set<string>()
-
-      while (currentParentId) {
-        if (visited.has(currentParentId)) {
-          break // Cycle detected immediately
-        }
-
-        visited.add(currentParentId)
-        level++
-
-        const parentNode = nodes.find((n) => n.id === currentParentId)
-        if (!parentNode) break
-
-        currentParentId = parentNode.data?.parentId
-      }
-
-      // Should detect self-reference immediately after first iteration
-      expect(level).toBe(1)
-      expect(visited.has('node1')).toBe(true)
-    })
-
-    it.concurrent('should handle extreme values', () => {
-      const extremeValues = [
-        { width: Number.MAX_SAFE_INTEGER, height: Number.MAX_SAFE_INTEGER },
-        { width: -1, height: -1 },
-        { width: 0, height: 0 },
-        { width: null, height: null },
-      ]
-
-      extremeValues.forEach((data) => {
-        expect(() => {
-          const width = data.width || 500
-          const height = data.height || 300
-          expect(typeof width).toBe('number')
-          expect(typeof height).toBe('number')
-        }).not.toThrow()
-      })
-    })
-
-    it.concurrent('should handle negative position values', () => {
-      const positions = [
-        { xPos: -100, yPos: -200 },
-        { xPos: 0, yPos: 0 },
-        { xPos: 1000, yPos: 2000 },
-      ]
-
-      positions.forEach(({ xPos, yPos }) => {
-        const props = { ...defaultProps, xPos, yPos }
-        expect(props.xPos).toBe(xPos)
-        expect(props.yPos).toBe(yPos)
-        expect(typeof props.xPos).toBe('number')
-        expect(typeof props.yPos).toBe('number')
-      })
-    })
-  })
-
-  describe('Component Comparison with Loop Node', () => {
-    it.concurrent('should have similar structure to loop node but different type', () => {
-      expect(defaultProps.type).toBe('parallelNode')
-      expect(defaultProps.id).toContain('parallel')
-
-      // Should not be a loop node
-      expect(defaultProps.type).not.toBe('loopNode')
-      expect(defaultProps.id).not.toContain('loop')
-    })
-
-    it.concurrent('should handle the same prop structure as loop node', () => {
-      // Test that parallel node accepts the same prop structure as loop node
-      const sharedPropStructure = {
-        id: 'test-parallel',
-        type: 'parallelNode' as const,
-        data: {
-          width: 400,
-          height: 300,
-          state: 'valid' as const,
-        },
-        selected: false,
-        zIndex: 1,
-        isConnectable: true,
-        xPos: 0,
-        yPos: 0,
-        dragging: false,
-      }
-
-      expect(() => {
-        const _component: typeof ParallelNodeComponent = ParallelNodeComponent
-        expect(_component).toBeDefined()
-      }).not.toThrow()
-
-      // Verify the structure
-      expect(sharedPropStructure.type).toBe('parallelNode')
-      expect(sharedPropStructure.data.width).toBe(400)
-      expect(sharedPropStructure.data.height).toBe(300)
-    })
-
-    it.concurrent('should maintain consistency with loop node interface', () => {
-      const baseProps = [
-        'id',
-        'type',
-        'data',
-        'selected',
-        'zIndex',
-        'isConnectable',
-        'xPos',
-        'yPos',
-        'dragging',
-      ]
-
-      baseProps.forEach((prop) => {
-        expect(defaultProps).toHaveProperty(prop)
-      })
-    })
-  })
-})
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node.tsx
deleted file mode 100644
index c20de54cb9..0000000000
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node.tsx
+++ /dev/null
@@ -1,273 +0,0 @@
-import type React from 'react'
-import { memo, useMemo, useRef } from 'react'
-import { Trash2 } from 'lucide-react'
-import { Handle, type NodeProps, Position, useReactFlow } from 'reactflow'
-import { StartIcon } from '@/components/icons'
-import { Button } from '@/components/ui/button'
-import { Card } from '@/components/ui/card'
-import { cn } from '@/lib/utils'
-import { IterationBadges } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/components/iteration-badges/iteration-badges'
-import { useCurrentWorkflow } from '@/app/workspace/[workspaceId]/w/[workflowId]/hooks'
-import { useCollaborativeWorkflow } from '@/hooks/use-collaborative-workflow'
-
-const ParallelNodeStyles: React.FC = () => {
-  return (
-    <style jsx global>{`
-      @keyframes parallel-node-pulse {
-        0% {
-          box-shadow: 0 0 0 0 rgba(139, 195, 74, 0.3);
-        }
-        70% {
-          box-shadow: 0 0 0 6px rgba(139, 195, 74, 0);
-        }
-        100% {
-          box-shadow: 0 0 0 0 rgba(139, 195, 74, 0);
-        }
-      }
-
-      .parallel-node-drag-over {
-        animation: parallel-node-pulse 1.2s cubic-bezier(0.4, 0, 0.6, 1)
-          infinite;
-        border-style: solid !important;
-        background-color: rgba(139, 195, 74, 0.08) !important;
-        box-shadow: 0 0 0 8px rgba(139, 195, 74, 0.1);
-      }
-
-      /* Make resizer handles more visible */
-      .react-flow__resize-control {
-        z-index: 10;
-        pointer-events: all !important;
-      }
-
-      /* Ensure parent borders are visible when hovering over resize controls */
-      .react-flow__node-group:hover,
-      .hover-highlight {
-        border-color: #1e293b !important;
-      }
-
-      /* Ensure hover effects work well */
-      .group-node-container:hover .react-flow__resize-control.bottom-right {
-        opacity: 1 !important;
-        visibility: visible !important;
-      }
-
-      /* React Flow position transitions within parallel blocks */
-      .react-flow__node[data-parent-node-id] {
-        transition: transform 0.05s ease;
-        pointer-events: all;
-      }
-
-      /* Prevent jumpy drag behavior */
-      .parallel-drop-container .react-flow__node {
-        transform-origin: center;
-        position: absolute;
-      }
-
-      /* Remove default border from React Flow group nodes */
-      .react-flow__node-group {
-        border: none;
-        background-color: transparent;
-        outline: none;
-        box-shadow: none;
-      }
-
-      /* Ensure child nodes stay within parent bounds */
-      .react-flow__node[data-parent-node-id] .react-flow__handle {
-        z-index: 30;
-      }
-
-      /* Enhanced drag detection */
-      .react-flow__node-group.dragging-over {
-        background-color: rgba(139, 195, 74, 0.05);
-        transition: all 0.2s ease-in-out;
-      }
-    `}</style>
-  )
-}
-
-export const ParallelNodeComponent = memo(({ data, selected, id }: NodeProps) => {
-  const { getNodes } = useReactFlow()
-  const { collaborativeRemoveBlock } = useCollaborativeWorkflow()
-  const blockRef = useRef<HTMLDivElement>(null)
-
-  // Use the clean abstraction for current workflow state
-  const currentWorkflow = useCurrentWorkflow()
-  const currentBlock = currentWorkflow.getBlockById(id)
-  const diffStatus =
-    currentWorkflow.isDiffMode && currentBlock ? (currentBlock as any).is_diff : undefined
-
-  // Check if this is preview mode
-  const isPreview = data?.isPreview || false
-
-  // Determine nesting level by counting parents
-  const nestingLevel = useMemo(() => {
-    const maxDepth = 100 // Prevent infinite loops
-    let level = 0
-    let currentParentId = data?.parentId
-
-    while (currentParentId && level < maxDepth) {
-      level++
-      const parentNode = getNodes().find((n) => n.id === currentParentId)
-      if (!parentNode) break
-      currentParentId = parentNode.data?.parentId
-    }
-
-    return level
-  }, [id, data?.parentId, getNodes])
-
-  // Generate different background styles based on nesting level
-  const getNestedStyles = () => {
-    // Base styles
-    const styles: Record<string, string> = {
-      backgroundColor: 'rgba(0, 0, 0, 0.02)',
-    }
-
-    // Apply nested styles
-    if (nestingLevel > 0) {
-      // Each nesting level gets a different color
-      const colors = ['#e2e8f0', '#cbd5e1', '#94a3b8', '#64748b', '#475569']
-      const colorIndex = (nestingLevel - 1) % colors.length
-
-      styles.backgroundColor = `${colors[colorIndex]}30` // Slightly more visible background
-    }
-
-    return styles
-  }
-
-  const nestedStyles = getNestedStyles()
-
-  return (
-    <>
-      <ParallelNodeStyles />
-      <div className='group relative'>
-        <Card
-          ref={blockRef}
-          className={cn(
-            'relative cursor-default select-none',
-            'transition-block-bg transition-ring',
-            'z-[20]',
-            data?.state === 'valid',
-            nestingLevel > 0 &&
-              `border border-[0.5px] ${nestingLevel % 2 === 0 ? 'border-slate-300/60' : 'border-slate-400/60'}`,
-            data?.hasNestedError && 'border-2 border-red-500 bg-red-50/50',
-            // Diff highlighting
-            diffStatus === 'new' && 'bg-green-50/50 ring-2 ring-green-500 dark:bg-green-900/10',
-            diffStatus === 'edited' &&
-              'bg-orange-50/50 ring-2 ring-orange-500 dark:bg-orange-900/10'
-          )}
-          style={{
-            width: data.width || 500,
-            height: data.height || 300,
-            position: 'relative',
-            overflow: 'visible',
-            ...nestedStyles,
-            pointerEvents: isPreview ? 'none' : 'all',
-          }}
-          data-node-id={id}
-          data-type='parallelNode'
-          data-nesting-level={nestingLevel}
-        >
-          {/* Critical drag handle that controls only the parallel node movement */}
-          {!isPreview && (
-            <div
-              className='workflow-drag-handle absolute top-0 right-0 left-0 z-10 h-10 cursor-move'
-              style={{ pointerEvents: 'auto' }}
-            />
-          )}
-
-          {/* Custom visible resize handle */}
-          {!isPreview && (
-            <div
-              className='absolute right-2 bottom-2 z-20 flex h-8 w-8 cursor-se-resize items-center justify-center text-muted-foreground'
-              style={{ pointerEvents: 'auto' }}
-            />
-          )}
-
-          {/* Child nodes container - Set pointerEvents to allow dragging of children */}
-          <div
-            className='h-[calc(100%-10px)] p-4'
-            data-dragarea='true'
-            style={{
-              position: 'relative',
-              minHeight: '100%',
-              pointerEvents: isPreview ? 'none' : 'auto',
-            }}
-          >
-            {/* Delete button - styled like in action-bar.tsx */}
-            {!isPreview && (
-              <Button
-                variant='ghost'
-                size='sm'
-                onClick={(e) => {
-                  e.stopPropagation()
-                  collaborativeRemoveBlock(id)
-                }}
-                className='absolute top-2 right-2 z-20 text-gray-500 opacity-0 transition-opacity duration-200 hover:text-red-600 group-hover:opacity-100'
-                style={{ pointerEvents: 'auto' }}
-              >
-                <Trash2 className='h-4 w-4' />
-              </Button>
-            )}
-
-            {/* Parallel Start Block */}
-            <div
-              className='-translate-y-1/2 absolute top-1/2 left-8 flex h-10 w-10 transform items-center justify-center rounded-md bg-[#FEE12B] p-2'
-              style={{ pointerEvents: isPreview ? 'none' : 'auto' }}
-              data-parent-id={id}
-              data-node-role='parallel-start'
-              data-extent='parent'
-            >
-              <StartIcon className='h-6 w-6 text-white' />
-
-              <Handle
-                type='source'
-                position={Position.Right}
-                id='parallel-start-source'
-                className='!w-[6px] !h-4 !bg-slate-300 dark:!bg-slate-500 !rounded-[2px] !border-none !z-[30] hover:!w-[10px] hover:!right-[-10px] hover:!rounded-r-full hover:!rounded-l-none !cursor-crosshair transition-[colors] duration-150'
-                style={{
-                  right: '-6px',
-                  top: '50%',
-                  transform: 'translateY(-50%)',
-                  pointerEvents: 'auto',
-                }}
-                data-parent-id={id}
-              />
-            </div>
-          </div>
-
-          {/* Input handle on left middle */}
-          <Handle
-            type='target'
-            position={Position.Left}
-            className='!w-[7px] !h-5 !bg-slate-300 dark:!bg-slate-500 !rounded-[2px] !border-none !z-[30] hover:!w-[10px] hover:!left-[-10px] hover:!rounded-l-full hover:!rounded-r-none !cursor-crosshair transition-[colors] duration-150'
-            style={{
-              left: '-7px',
-              top: '50%',
-              transform: 'translateY(-50%)',
-              pointerEvents: 'auto',
-            }}
-          />
-
-          {/* Output handle on right middle */}
-          <Handle
-            type='source'
-            position={Position.Right}
-            className='!w-[7px] !h-5 !bg-slate-300 dark:!bg-slate-500 !rounded-[2px] !border-none !z-[30] hover:!w-[10px] hover:!right-[-10px] hover:!rounded-r-full hover:!rounded-l-none !cursor-crosshair transition-[colors] duration-150'
-            style={{
-              right: '-7px',
-              top: '50%',
-              transform: 'translateY(-50%)',
-              pointerEvents: 'auto',
-            }}
-            id='parallel-end-source'
-          />
-
-          {/* Parallel Configuration Badges */}
-          <IterationBadges nodeId={id} data={data} iterationType='parallel' />
-        </Card>
-      </div>
-    </>
-  )
-})
-
-ParallelNodeComponent.displayName = 'ParallelNodeComponent'
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node.test.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node.test.tsx
new file mode 100644
index 0000000000..d740b12e6d
--- /dev/null
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node.test.tsx
@@ -0,0 +1,579 @@
+import { beforeEach, describe, expect, it, vi } from 'vitest'
+import { SubflowNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node'
+
+// Shared spies used across mocks
+const mockRemoveBlock = vi.fn()
+const mockGetNodes = vi.fn()
+
+// Mocks
+vi.mock('@/hooks/use-collaborative-workflow', () => ({
+  useCollaborativeWorkflow: vi.fn(() => ({
+    collaborativeRemoveBlock: mockRemoveBlock,
+  })),
+}))
+
+vi.mock('@/lib/logs/console/logger', () => ({
+  createLogger: vi.fn(() => ({
+    debug: vi.fn(),
+    info: vi.fn(),
+    warn: vi.fn(),
+    error: vi.fn(),
+  })),
+}))
+
+vi.mock('reactflow', () => ({
+  Handle: ({ id, type, position }: any) => ({ id, type, position }),
+  Position: {
+    Top: 'top',
+    Bottom: 'bottom',
+    Left: 'left',
+    Right: 'right',
+  },
+  useReactFlow: () => ({
+    getNodes: mockGetNodes,
+  }),
+  memo: (component: any) => component,
+}))
+
+vi.mock('react', async () => {
+  const actual = await vi.importActual<any>('react')
+  return {
+    ...actual,
+    memo: (component: any) => component,
+    useMemo: (fn: any) => fn(),
+    useRef: () => ({ current: null }),
+  }
+})
+
+vi.mock('@/components/ui/button', () => ({
+  Button: ({ children, onClick, ...props }: any) => ({ children, onClick, ...props }),
+}))
+
+vi.mock('@/components/ui/card', () => ({
+  Card: ({ children, ...props }: any) => ({ children, ...props }),
+}))
+
+vi.mock('@/components/icons', async (importOriginal) => {
+  const actual = (await importOriginal()) as any
+  return {
+    ...actual,
+    StartIcon: ({ className }: any) => ({ className }),
+  }
+})
+
+vi.mock('@/lib/utils', () => ({
+  cn: (...classes: any[]) => classes.filter(Boolean).join(' '),
+}))
+
+vi.mock(
+  '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/components/iteration-badges/iteration-badges',
+  () => ({
+    IterationBadges: ({ nodeId, iterationType }: any) => ({ nodeId, iterationType }),
+  })
+)
+
+describe('SubflowNodeComponent', () => {
+  const defaultProps = {
+    id: 'subflow-1',
+    type: 'subflowNode',
+    data: {
+      width: 500,
+      height: 300,
+      isPreview: false,
+      kind: 'loop' as const,
+    },
+    selected: false,
+    zIndex: 1,
+    isConnectable: true,
+    xPos: 0,
+    yPos: 0,
+    dragging: false,
+  }
+
+  beforeEach(() => {
+    vi.clearAllMocks()
+    mockGetNodes.mockReturnValue([])
+  })
+
+  describe('Component Definition and Structure', () => {
+    it.concurrent('should be defined as a function component', () => {
+      expect(SubflowNodeComponent).toBeDefined()
+      expect(typeof SubflowNodeComponent).toBe('function')
+    })
+
+    it.concurrent('should have correct display name', () => {
+      expect(SubflowNodeComponent.displayName).toBe('SubflowNodeComponent')
+    })
+
+    it.concurrent('should be a memoized component', () => {
+      expect(SubflowNodeComponent).toBeDefined()
+    })
+  })
+
+  describe('Props Validation and Type Safety', () => {
+    it.concurrent('should accept NodeProps interface', () => {
+      const validProps = {
+        id: 'test-id',
+        type: 'subflowNode' as const,
+        data: {
+          width: 400,
+          height: 300,
+          isPreview: true,
+          kind: 'parallel' as const,
+        },
+        selected: false,
+        zIndex: 1,
+        isConnectable: true,
+        xPos: 0,
+        yPos: 0,
+        dragging: false,
+      }
+
+      expect(() => {
+        const _component: typeof SubflowNodeComponent = SubflowNodeComponent
+        expect(_component).toBeDefined()
+        expect(validProps.type).toBe('subflowNode')
+      }).not.toThrow()
+    })
+
+    it.concurrent('should handle different data configurations', () => {
+      const configurations = [
+        { width: 500, height: 300, isPreview: false, kind: 'loop' as const },
+        { width: 800, height: 600, isPreview: true, kind: 'parallel' as const },
+        { width: 0, height: 0, isPreview: false, kind: 'loop' as const },
+        { kind: 'loop' as const },
+      ]
+
+      configurations.forEach((data) => {
+        const props = { ...defaultProps, data }
+        expect(() => {
+          const _component: typeof SubflowNodeComponent = SubflowNodeComponent
+          expect(_component).toBeDefined()
+          expect(props.data).toBeDefined()
+        }).not.toThrow()
+      })
+    })
+  })
+
+  describe('Hook Integration', () => {
+    it.concurrent('should provide collaborativeRemoveBlock', () => {
+      expect(mockRemoveBlock).toBeDefined()
+      expect(typeof mockRemoveBlock).toBe('function')
+      mockRemoveBlock('test-id')
+      expect(mockRemoveBlock).toHaveBeenCalledWith('test-id')
+    })
+  })
+
+  describe('Component Logic Tests', () => {
+    it.concurrent('should handle nesting level calculation logic', () => {
+      const testCases = [
+        { nodes: [], parentId: undefined, expectedLevel: 0 },
+        { nodes: [{ id: 'parent', data: {} }], parentId: 'parent', expectedLevel: 1 },
+        {
+          nodes: [
+            { id: 'parent', data: { parentId: 'grandparent' } },
+            { id: 'grandparent', data: {} },
+          ],
+          parentId: 'parent',
+          expectedLevel: 2,
+        },
+      ]
+
+      testCases.forEach(({ nodes, parentId, expectedLevel }) => {
+        mockGetNodes.mockReturnValue(nodes)
+
+        // Simulate the nesting level calculation logic
+        let level = 0
+        let currentParentId = parentId
+
+        while (currentParentId) {
+          level++
+          const parentNode = nodes.find((n) => n.id === currentParentId)
+          if (!parentNode) break
+          currentParentId = parentNode.data?.parentId
+        }
+
+        expect(level).toBe(expectedLevel)
+      })
+    })
+
+    it.concurrent('should handle nested styles generation', () => {
+      // Test the nested styles logic
+      const testCases = [
+        { nestingLevel: 0, expectedBg: 'rgba(34,197,94,0.05)' },
+        { nestingLevel: 1, expectedBg: '#e2e8f030' },
+        { nestingLevel: 2, expectedBg: '#cbd5e130' },
+      ]
+
+      testCases.forEach(({ nestingLevel, expectedBg }) => {
+        // Simulate the getNestedStyles logic
+        const styles: Record<string, string> = {
+          backgroundColor: 'rgba(34,197,94,0.05)',
+        }
+
+        if (nestingLevel > 0) {
+          const colors = ['#e2e8f0', '#cbd5e1', '#94a3b8', '#64748b', '#475569']
+          const colorIndex = (nestingLevel - 1) % colors.length
+          styles.backgroundColor = `${colors[colorIndex]}30`
+        }
+
+        expect(styles.backgroundColor).toBe(expectedBg)
+      })
+    })
+  })
+
+  describe('Component Configuration', () => {
+    it.concurrent('should handle different dimensions', () => {
+      const dimensionTests = [
+        { width: 500, height: 300 },
+        { width: 800, height: 600 },
+        { width: 0, height: 0 },
+        { width: 10000, height: 10000 },
+      ]
+
+      dimensionTests.forEach(({ width, height }) => {
+        const data = { width, height }
+        expect(data.width).toBe(width)
+        expect(data.height).toBe(height)
+      })
+    })
+  })
+
+  describe('Event Handling Logic', () => {
+    it.concurrent('should handle delete button click logic (simulated)', () => {
+      const mockEvent = { stopPropagation: vi.fn() }
+
+      const handleDelete = (e: any, nodeId: string) => {
+        e.stopPropagation()
+        mockRemoveBlock(nodeId)
+      }
+
+      handleDelete(mockEvent, 'test-id')
+
+      expect(mockEvent.stopPropagation).toHaveBeenCalled()
+      expect(mockRemoveBlock).toHaveBeenCalledWith('test-id')
+    })
+
+    it.concurrent('should handle event propagation prevention', () => {
+      const mockEvent = { stopPropagation: vi.fn() }
+      mockEvent.stopPropagation()
+      expect(mockEvent.stopPropagation).toHaveBeenCalled()
+    })
+  })
+
+  describe('Component Data Handling', () => {
+    it.concurrent('should handle missing data properties gracefully', () => {
+      const testCases = [
+        undefined,
+        {},
+        { width: 500 },
+        { height: 300 },
+        { width: 500, height: 300 },
+      ]
+
+      testCases.forEach((data: any) => {
+        const props = { ...defaultProps, data }
+        const width = Math.max(0, data?.width || 500)
+        const height = Math.max(0, data?.height || 300)
+        expect(width).toBeGreaterThanOrEqual(0)
+        expect(height).toBeGreaterThanOrEqual(0)
+        expect(props.type).toBe('subflowNode')
+      })
+    })
+
+    it.concurrent('should handle parent ID relationships', () => {
+      const testCases = [
+        { parentId: undefined, hasParent: false },
+        { parentId: 'parent-1', hasParent: true },
+        { parentId: '', hasParent: false },
+      ]
+
+      testCases.forEach(({ parentId, hasParent }) => {
+        const data = { ...defaultProps.data, parentId }
+        expect(Boolean(data.parentId)).toBe(hasParent)
+      })
+    })
+  })
+
+  describe('Loop vs Parallel Kind Specific Tests', () => {
+    it.concurrent('should generate correct handle IDs for loop kind', () => {
+      const loopData = { ...defaultProps.data, kind: 'loop' as const }
+      const startHandleId = loopData.kind === 'loop' ? 'loop-start-source' : 'parallel-start-source'
+      const endHandleId = loopData.kind === 'loop' ? 'loop-end-source' : 'parallel-end-source'
+
+      expect(startHandleId).toBe('loop-start-source')
+      expect(endHandleId).toBe('loop-end-source')
+    })
+
+    it.concurrent('should generate correct handle IDs for parallel kind', () => {
+      type SubflowKind = 'loop' | 'parallel'
+      const testHandleGeneration = (kind: SubflowKind) => {
+        const startHandleId = kind === 'loop' ? 'loop-start-source' : 'parallel-start-source'
+        const endHandleId = kind === 'loop' ? 'loop-end-source' : 'parallel-end-source'
+        return { startHandleId, endHandleId }
+      }
+
+      const result = testHandleGeneration('parallel')
+      expect(result.startHandleId).toBe('parallel-start-source')
+      expect(result.endHandleId).toBe('parallel-end-source')
+    })
+
+    it.concurrent('should generate correct background colors for loop kind', () => {
+      const loopData = { ...defaultProps.data, kind: 'loop' as const }
+      const startBg = loopData.kind === 'loop' ? '#2FB3FF' : '#FEE12B'
+
+      expect(startBg).toBe('#2FB3FF')
+    })
+
+    it.concurrent('should generate correct background colors for parallel kind', () => {
+      type SubflowKind = 'loop' | 'parallel'
+      const testBgGeneration = (kind: SubflowKind) => {
+        return kind === 'loop' ? '#2FB3FF' : '#FEE12B'
+      }
+
+      const startBg = testBgGeneration('parallel')
+      expect(startBg).toBe('#FEE12B')
+    })
+
+    it.concurrent('should demonstrate handle ID generation for any kind', () => {
+      type SubflowKind = 'loop' | 'parallel'
+      const testKind = (kind: SubflowKind) => {
+        const data = { kind }
+        const startHandleId = data.kind === 'loop' ? 'loop-start-source' : 'parallel-start-source'
+        const endHandleId = data.kind === 'loop' ? 'loop-end-source' : 'parallel-end-source'
+        return { startHandleId, endHandleId }
+      }
+
+      const loopResult = testKind('loop')
+      expect(loopResult.startHandleId).toBe('loop-start-source')
+      expect(loopResult.endHandleId).toBe('loop-end-source')
+
+      const parallelResult = testKind('parallel')
+      expect(parallelResult.startHandleId).toBe('parallel-start-source')
+      expect(parallelResult.endHandleId).toBe('parallel-end-source')
+    })
+
+    it.concurrent('should pass correct iterationType to IterationBadges for loop', () => {
+      const loopProps = { ...defaultProps, data: { ...defaultProps.data, kind: 'loop' as const } }
+      // Mock IterationBadges should receive the kind as iterationType
+      expect(loopProps.data.kind).toBe('loop')
+    })
+
+    it.concurrent('should pass correct iterationType to IterationBadges for parallel', () => {
+      const parallelProps = {
+        ...defaultProps,
+        data: { ...defaultProps.data, kind: 'parallel' as const },
+      }
+      // Mock IterationBadges should receive the kind as iterationType
+      expect(parallelProps.data.kind).toBe('parallel')
+    })
+
+    it.concurrent('should handle both kinds in configuration arrays', () => {
+      const bothKinds = ['loop', 'parallel'] as const
+      bothKinds.forEach((kind) => {
+        const data = { ...defaultProps.data, kind }
+        expect(['loop', 'parallel']).toContain(data.kind)
+
+        // Test handle ID generation for both kinds
+        const startHandleId = data.kind === 'loop' ? 'loop-start-source' : 'parallel-start-source'
+        const endHandleId = data.kind === 'loop' ? 'loop-end-source' : 'parallel-end-source'
+        const startBg = data.kind === 'loop' ? '#2FB3FF' : '#FEE12B'
+
+        if (kind === 'loop') {
+          expect(startHandleId).toBe('loop-start-source')
+          expect(endHandleId).toBe('loop-end-source')
+          expect(startBg).toBe('#2FB3FF')
+        } else {
+          expect(startHandleId).toBe('parallel-start-source')
+          expect(endHandleId).toBe('parallel-end-source')
+          expect(startBg).toBe('#FEE12B')
+        }
+      })
+    })
+
+    it.concurrent('should maintain consistent styling behavior across both kinds', () => {
+      const loopProps = { ...defaultProps, data: { ...defaultProps.data, kind: 'loop' as const } }
+      const parallelProps = {
+        ...defaultProps,
+        data: { ...defaultProps.data, kind: 'parallel' as const },
+      }
+
+      // Both should have same base properties except kind-specific ones
+      expect(loopProps.data.width).toBe(parallelProps.data.width)
+      expect(loopProps.data.height).toBe(parallelProps.data.height)
+      expect(loopProps.data.isPreview).toBe(parallelProps.data.isPreview)
+
+      // But different kinds
+      expect(loopProps.data.kind).toBe('loop')
+      expect(parallelProps.data.kind).toBe('parallel')
+    })
+  })
+
+  describe('Integration with IterationBadges', () => {
+    it.concurrent('should pass nodeId to IterationBadges', () => {
+      const testId = 'test-subflow-123'
+      const props = { ...defaultProps, id: testId }
+
+      // Verify the props would be passed correctly
+      expect(props.id).toBe(testId)
+    })
+
+    it.concurrent('should pass data object to IterationBadges', () => {
+      const testData = { ...defaultProps.data, customProperty: 'test' }
+      const props = { ...defaultProps, data: testData }
+
+      // Verify the data object structure
+      expect(props.data).toEqual(testData)
+      expect(props.data.kind).toBeDefined()
+    })
+
+    it.concurrent('should pass iterationType matching the kind', () => {
+      const loopProps = { ...defaultProps, data: { ...defaultProps.data, kind: 'loop' as const } }
+      const parallelProps = {
+        ...defaultProps,
+        data: { ...defaultProps.data, kind: 'parallel' as const },
+      }
+
+      // The iterationType should match the kind
+      expect(loopProps.data.kind).toBe('loop')
+      expect(parallelProps.data.kind).toBe('parallel')
+    })
+  })
+
+  describe('CSS Class Generation', () => {
+    it.concurrent('should generate proper CSS classes for nested loops', () => {
+      const nestingLevel = 2
+      const expectedBorderClass =
+        nestingLevel > 0 &&
+        `border border-[0.5px] ${nestingLevel % 2 === 0 ? 'border-slate-300/60' : 'border-slate-400/60'}`
+
+      expect(expectedBorderClass).toBeTruthy()
+      expect(expectedBorderClass).toContain('border-slate-300/60') // even nesting level
+    })
+
+    it.concurrent('should generate proper CSS classes for odd nested levels', () => {
+      const nestingLevel = 3
+      const expectedBorderClass =
+        nestingLevel > 0 &&
+        `border border-[0.5px] ${nestingLevel % 2 === 0 ? 'border-slate-300/60' : 'border-slate-400/60'}`
+
+      expect(expectedBorderClass).toBeTruthy()
+      expect(expectedBorderClass).toContain('border-slate-400/60') // odd nesting level
+    })
+
+    it.concurrent('should handle error state styling', () => {
+      const hasNestedError = true
+      const errorClasses = hasNestedError && 'border-2 border-red-500 bg-red-50/50'
+
+      expect(errorClasses).toBe('border-2 border-red-500 bg-red-50/50')
+    })
+
+    it.concurrent('should handle diff status styling', () => {
+      const diffStatuses = ['new', 'edited'] as const
+
+      diffStatuses.forEach((status) => {
+        let diffClass = ''
+        if (status === 'new') {
+          diffClass = 'bg-green-50/50 ring-2 ring-green-500 dark:bg-green-900/10'
+        } else if (status === 'edited') {
+          diffClass = 'bg-orange-50/50 ring-2 ring-orange-500 dark:bg-orange-900/10'
+        }
+
+        expect(diffClass).toBeTruthy()
+        if (status === 'new') {
+          expect(diffClass).toContain('ring-green-500')
+        } else {
+          expect(diffClass).toContain('ring-orange-500')
+        }
+      })
+    })
+  })
+
+  describe('Edge Cases and Error Handling', () => {
+    it.concurrent('should handle circular parent references', () => {
+      const nodes = [
+        { id: 'node1', data: { parentId: 'node2' } },
+        { id: 'node2', data: { parentId: 'node1' } },
+      ]
+
+      mockGetNodes.mockReturnValue(nodes)
+
+      let level = 0
+      let currentParentId = 'node1'
+      const visited = new Set<string>()
+
+      while (currentParentId) {
+        if (visited.has(currentParentId)) {
+          break
+        }
+
+        visited.add(currentParentId)
+        level++
+
+        const parentNode = nodes.find((n) => n.id === currentParentId)
+        if (!parentNode) break
+        currentParentId = parentNode.data?.parentId
+      }
+
+      expect(level).toBe(2)
+      expect(visited.has('node1')).toBe(true)
+      expect(visited.has('node2')).toBe(true)
+    })
+
+    it.concurrent('should handle complex circular reference chains', () => {
+      const nodes = [
+        { id: 'node1', data: { parentId: 'node2' } },
+        { id: 'node2', data: { parentId: 'node3' } },
+        { id: 'node3', data: { parentId: 'node1' } },
+      ]
+
+      mockGetNodes.mockReturnValue(nodes)
+
+      let level = 0
+      let currentParentId = 'node1'
+      const visited = new Set<string>()
+
+      while (currentParentId) {
+        if (visited.has(currentParentId)) {
+          break
+        }
+
+        visited.add(currentParentId)
+        level++
+
+        const parentNode = nodes.find((n) => n.id === currentParentId)
+        if (!parentNode) break
+        currentParentId = parentNode.data?.parentId
+      }
+
+      expect(level).toBe(3)
+      expect(visited.size).toBe(3)
+    })
+
+    it.concurrent('should handle self-referencing nodes', () => {
+      const nodes = [{ id: 'node1', data: { parentId: 'node1' } }]
+
+      mockGetNodes.mockReturnValue(nodes)
+
+      let level = 0
+      let currentParentId = 'node1'
+      const visited = new Set<string>()
+
+      while (currentParentId) {
+        if (visited.has(currentParentId)) {
+          break
+        }
+
+        visited.add(currentParentId)
+        level++
+
+        const parentNode = nodes.find((n) => n.id === currentParentId)
+        if (!parentNode) break
+        currentParentId = parentNode.data?.parentId
+      }
+
+      expect(level).toBe(1)
+      expect(visited.has('node1')).toBe(true)
+    })
+  })
+})
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node.tsx
similarity index 75%
rename from apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node.tsx
rename to apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node.tsx
index ffe413d195..c4ea4c6c65 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node.tsx
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node.tsx
@@ -6,60 +6,54 @@ import { StartIcon } from '@/components/icons'
 import { Button } from '@/components/ui/button'
 import { Card } from '@/components/ui/card'
 import { cn } from '@/lib/utils'
+import { type DiffStatus, hasDiffStatus } from '@/lib/workflows/diff/types'
 import { IterationBadges } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/components/iteration-badges/iteration-badges'
 import { useCurrentWorkflow } from '@/app/workspace/[workspaceId]/w/[workflowId]/hooks'
 import { useCollaborativeWorkflow } from '@/hooks/use-collaborative-workflow'
 
-// Add these styles to your existing global CSS file or create a separate CSS module
-const LoopNodeStyles: React.FC = () => {
+const SubflowNodeStyles: React.FC = () => {
   return (
     <style jsx global>{`
       @keyframes loop-node-pulse {
-        0% { box-shadow: 0 0 0 0 rgba(64, 224, 208, 0.3); }
-        70% { box-shadow: 0 0 0 6px rgba(64, 224, 208, 0); }
-        100% { box-shadow: 0 0 0 0 rgba(64, 224, 208, 0); }
+        0% { box-shadow: 0 0 0 0 rgba(47, 179, 255, 0.3); }
+        70% { box-shadow: 0 0 0 6px rgba(47, 179, 255, 0); }
+        100% { box-shadow: 0 0 0 0 rgba(47, 179, 255, 0); }
       }
-      
+
+      @keyframes parallel-node-pulse {
+        0% { box-shadow: 0 0 0 0 rgba(139, 195, 74, 0.3); }
+        70% { box-shadow: 0 0 0 6px rgba(139, 195, 74, 0); }
+        100% { box-shadow: 0 0 0 0 rgba(139, 195, 74, 0); }
+      }
+
       .loop-node-drag-over {
         animation: loop-node-pulse 1.2s cubic-bezier(0.4, 0, 0.6, 1) infinite;
         border-style: solid !important;
         background-color: rgba(47, 179, 255, 0.08) !important;
         box-shadow: 0 0 0 8px rgba(47, 179, 255, 0.1);
       }
-      
-      /* Ensure parent borders are visible when hovering over resize controls */
+
+      .parallel-node-drag-over {
+        animation: parallel-node-pulse 1.2s cubic-bezier(0.4, 0, 0.6, 1) infinite;
+        border-style: solid !important;
+        background-color: rgba(139, 195, 74, 0.08) !important;
+        box-shadow: 0 0 0 8px rgba(139, 195, 74, 0.1);
+      }
+
       .react-flow__node-group:hover,
       .hover-highlight {
         border-color: #1e293b !important;
       }
-      
-      /* Ensure hover effects work well */
+
       .group-node-container:hover .react-flow__resize-control.bottom-right {
         opacity: 1 !important;
         visibility: visible !important;
       }
-    
-      
-      /* Prevent jumpy drag behavior */
-      .loop-drop-container .react-flow__node {
-        transform-origin: center;
-        position: absolute;
-      }
-      
-      /* Remove default border from React Flow group nodes */
-      .react-flow__node-group {
-        border: none;
-        background-color: transparent;
-        outline: none;
-        box-shadow: none;
-      }
-      
-      /* Ensure child nodes stay within parent bounds */
+
       .react-flow__node[data-parent-node-id] .react-flow__handle {
         z-index: 30;
       }
-      
-      /* Enhanced drag detection */
+
       .react-flow__node-group.dragging-over {
         background-color: rgba(34,197,94,0.05);
         transition: all 0.2s ease-in-out;
@@ -68,21 +62,30 @@ const LoopNodeStyles: React.FC = () => {
   )
 }
 
-export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
+export interface SubflowNodeData {
+  width?: number
+  height?: number
+  parentId?: string
+  extent?: 'parent'
+  hasNestedError?: boolean
+  isPreview?: boolean
+  kind: 'loop' | 'parallel'
+}
+
+export const SubflowNodeComponent = memo(({ data, id }: NodeProps<SubflowNodeData>) => {
   const { getNodes } = useReactFlow()
   const { collaborativeRemoveBlock } = useCollaborativeWorkflow()
   const blockRef = useRef<HTMLDivElement>(null)
 
-  // Use the clean abstraction for current workflow state
   const currentWorkflow = useCurrentWorkflow()
   const currentBlock = currentWorkflow.getBlockById(id)
-  const diffStatus =
-    currentWorkflow.isDiffMode && currentBlock ? (currentBlock as any).is_diff : undefined
+  const diffStatus: DiffStatus =
+    currentWorkflow.isDiffMode && currentBlock && hasDiffStatus(currentBlock)
+      ? currentBlock.is_diff
+      : undefined
 
-  // Check if this is preview mode
   const isPreview = data?.isPreview || false
 
-  // Determine nesting level by counting parents
   const nestingLevel = useMemo(() => {
     let level = 0
     let currentParentId = data?.parentId
@@ -97,42 +100,37 @@ export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
     return level
   }, [id, data?.parentId, getNodes])
 
-  // Generate different background styles based on nesting level
   const getNestedStyles = () => {
-    // Base styles
     const styles: Record<string, string> = {
       backgroundColor: 'rgba(0, 0, 0, 0.02)',
     }
-
-    // Apply nested styles
     if (nestingLevel > 0) {
-      // Each nesting level gets a different color
       const colors = ['#e2e8f0', '#cbd5e1', '#94a3b8', '#64748b', '#475569']
       const colorIndex = (nestingLevel - 1) % colors.length
-
-      styles.backgroundColor = `${colors[colorIndex]}30` // Slightly more visible background
+      styles.backgroundColor = `${colors[colorIndex]}30`
     }
-
     return styles
   }
 
   const nestedStyles = getNestedStyles()
 
+  const startHandleId = data.kind === 'loop' ? 'loop-start-source' : 'parallel-start-source'
+  const endHandleId = data.kind === 'loop' ? 'loop-end-source' : 'parallel-end-source'
+  const startBg = data.kind === 'loop' ? '#2FB3FF' : '#FEE12B'
+
   return (
     <>
-      <LoopNodeStyles />
+      <SubflowNodeStyles />
       <div className='group relative'>
         <Card
           ref={blockRef}
           className={cn(
-            ' relative cursor-default select-none',
+            'relative cursor-default select-none',
             'transition-block-bg transition-ring',
             'z-[20]',
-            data?.state === 'valid',
             nestingLevel > 0 &&
               `border border-[0.5px] ${nestingLevel % 2 === 0 ? 'border-slate-300/60' : 'border-slate-400/60'}`,
             data?.hasNestedError && 'border-2 border-red-500 bg-red-50/50',
-            // Diff highlighting
             diffStatus === 'new' && 'bg-green-50/50 ring-2 ring-green-500 dark:bg-green-900/10',
             diffStatus === 'edited' &&
               'bg-orange-50/50 ring-2 ring-orange-500 dark:bg-orange-900/10'
@@ -146,10 +144,9 @@ export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
             pointerEvents: isPreview ? 'none' : 'all',
           }}
           data-node-id={id}
-          data-type='loopNode'
+          data-type='subflowNode'
           data-nesting-level={nestingLevel}
         >
-          {/* Critical drag handle that controls only the loop node movement */}
           {!isPreview && (
             <div
               className='workflow-drag-handle absolute top-0 right-0 left-0 z-10 h-10 cursor-move'
@@ -157,7 +154,6 @@ export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
             />
           )}
 
-          {/* Custom visible resize handle */}
           {!isPreview && (
             <div
               className='absolute right-2 bottom-2 z-20 flex h-8 w-8 cursor-se-resize items-center justify-center text-muted-foreground'
@@ -165,7 +161,6 @@ export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
             />
           )}
 
-          {/* Child nodes container - Enable pointer events to allow dragging of children */}
           <div
             className='h-[calc(100%-10px)] p-4'
             data-dragarea='true'
@@ -175,7 +170,6 @@ export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
               pointerEvents: isPreview ? 'none' : 'auto',
             }}
           >
-            {/* Delete button - styled like in action-bar.tsx */}
             {!isPreview && (
               <Button
                 variant='ghost'
@@ -191,12 +185,12 @@ export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
               </Button>
             )}
 
-            {/* Loop Start Block */}
+            {/* Subflow Start */}
             <div
-              className='-translate-y-1/2 absolute top-1/2 left-8 flex h-10 w-10 transform items-center justify-center rounded-md bg-[#2FB3FF] p-2'
-              style={{ pointerEvents: isPreview ? 'none' : 'auto' }}
+              className='-translate-y-1/2 absolute top-1/2 left-8 flex h-10 w-10 transform items-center justify-center rounded-md p-2'
+              style={{ pointerEvents: isPreview ? 'none' : 'auto', backgroundColor: startBg }}
               data-parent-id={id}
-              data-node-role='loop-start'
+              data-node-role={`${data.kind}-start`}
               data-extent='parent'
             >
               <StartIcon className='h-6 w-6 text-white' />
@@ -204,7 +198,7 @@ export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
               <Handle
                 type='source'
                 position={Position.Right}
-                id='loop-start-source'
+                id={startHandleId}
                 className='!w-[6px] !h-4 !bg-slate-300 dark:!bg-slate-500 !rounded-[2px] !border-none !z-[30] hover:!w-[10px] hover:!right-[-10px] hover:!rounded-r-full hover:!rounded-l-none !cursor-crosshair transition-[colors] duration-150'
                 style={{
                   right: '-6px',
@@ -241,15 +235,14 @@ export const LoopNodeComponent = memo(({ data, selected, id }: NodeProps) => {
               transform: 'translateY(-50%)',
               pointerEvents: 'auto',
             }}
-            id='loop-end-source'
+            id={endHandleId}
           />
 
-          {/* Loop Configuration Badges */}
-          <IterationBadges nodeId={id} data={data} iterationType='loop' />
+          <IterationBadges nodeId={id} data={data} iterationType={data.kind} />
         </Card>
       </div>
     </>
   )
 })
 
-LoopNodeComponent.displayName = 'LoopNodeComponent'
+SubflowNodeComponent.displayName = 'SubflowNodeComponent'
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/components/action-bar/action-bar.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/components/action-bar/action-bar.tsx
index c3d1e608a7..882103b74a 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/components/action-bar/action-bar.tsx
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/components/action-bar/action-bar.tsx
@@ -1,4 +1,4 @@
-import { ArrowLeftRight, ArrowUpDown, Circle, CircleOff, Copy, Trash2 } from 'lucide-react'
+import { ArrowLeftRight, ArrowUpDown, Circle, CircleOff, Copy, LogOut, Trash2 } from 'lucide-react'
 import { Button } from '@/components/ui/button'
 import { Tooltip, TooltipContent, TooltipTrigger } from '@/components/ui/tooltip'
 import { cn } from '@/lib/utils'
@@ -23,6 +23,10 @@ export function ActionBar({ blockId, blockType, disabled = false }: ActionBarPro
   const horizontalHandles = useWorkflowStore(
     (state) => state.blocks[blockId]?.horizontalHandles ?? false
   )
+  const parentId = useWorkflowStore((state) => state.blocks[blockId]?.data?.parentId)
+  const parentType = useWorkflowStore((state) =>
+    parentId ? state.blocks[parentId]?.type : undefined
+  )
   const userPermissions = useUserPermissionsContext()
 
   const isStarterBlock = blockType === 'starter'
@@ -102,6 +106,33 @@ export function ActionBar({ blockId, blockType, disabled = false }: ActionBarPro
         </Tooltip>
       )}
 
+      {/* Remove from subflow - only show when inside loop/parallel */}
+      {!isStarterBlock && parentId && (parentType === 'loop' || parentType === 'parallel') && (
+        <Tooltip>
+          <TooltipTrigger asChild>
+            <Button
+              variant='ghost'
+              size='sm'
+              onClick={() => {
+                if (!disabled && userPermissions.canEdit) {
+                  window.dispatchEvent(
+                    new CustomEvent('remove-from-subflow', { detail: { blockId } })
+                  )
+                }
+              }}
+              className={cn(
+                'text-gray-500',
+                (disabled || !userPermissions.canEdit) && 'cursor-not-allowed opacity-50'
+              )}
+              disabled={disabled || !userPermissions.canEdit}
+            >
+              <LogOut className='h-4 w-4' />
+            </Button>
+          </TooltipTrigger>
+          <TooltipContent side='right'>{getTooltipMessage('Remove From Subflow')}</TooltipContent>
+        </Tooltip>
+      )}
+
       <Tooltip>
         <TooltipTrigger asChild>
           <Button
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/components/sub-block/sub-block.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/components/sub-block/sub-block.tsx
index e526bb1eff..7b34280290 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/components/sub-block/sub-block.tsx
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/components/sub-block/sub-block.tsx
@@ -3,6 +3,7 @@ import { useEffect, useState } from 'react'
 import { AlertTriangle, Info } from 'lucide-react'
 import { Label, Tooltip, TooltipContent, TooltipTrigger } from '@/components/ui'
 import { cn } from '@/lib/utils'
+import type { FieldDiffStatus } from '@/lib/workflows/diff/types'
 import {
   ChannelSelectorInput,
   CheckboxList,
@@ -43,7 +44,7 @@ interface SubBlockProps {
   isPreview?: boolean
   subBlockValues?: Record<string, any>
   disabled?: boolean
-  fieldDiffStatus?: 'changed' | 'unchanged'
+  fieldDiffStatus?: FieldDiffStatus
   allowExpandInPreview?: boolean
 }
 
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/workflow-block.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/workflow-block.tsx
index 21e8867106..004e70d96e 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/workflow-block.tsx
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/workflow-block.tsx
@@ -8,6 +8,7 @@ import { Card } from '@/components/ui/card'
 import { Tooltip, TooltipContent, TooltipTrigger } from '@/components/ui/tooltip'
 import { parseCronToHumanReadable } from '@/lib/schedules/utils'
 import { cn, validateName } from '@/lib/utils'
+import { type DiffStatus, hasDiffStatus } from '@/lib/workflows/diff/types'
 import { useUserPermissionsContext } from '@/app/workspace/[workspaceId]/providers/workspace-permissions-provider'
 import type { BlockConfig, SubBlockConfig, SubBlockType } from '@/blocks/types'
 import { useCollaborativeWorkflow } from '@/hooks/use-collaborative-workflow'
@@ -76,12 +77,16 @@ export function WorkflowBlock({ id, data }: NodeProps<WorkflowBlockProps>) {
     : (currentBlock?.enabled ?? true)
 
   // Get diff status from the block itself (set by diff engine)
-  const diffStatus =
-    currentWorkflow.isDiffMode && currentBlock ? (currentBlock as any).is_diff : undefined
+  const diffStatus: DiffStatus =
+    currentWorkflow.isDiffMode && currentBlock && hasDiffStatus(currentBlock)
+      ? currentBlock.is_diff
+      : undefined
 
-  // Get field-level diff information
+  // Get field-level diff information for this specific block
   const fieldDiff =
-    currentWorkflow.isDiffMode && currentBlock ? (currentBlock as any).field_diffs : undefined
+    currentWorkflow.isDiffMode && currentBlock && hasDiffStatus(currentBlock)
+      ? currentBlock.field_diffs?.[id]
+      : undefined
 
   // Debug: Log diff status for this block
   useEffect(() => {
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-edge/workflow-edge.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-edge/workflow-edge.tsx
index 697866adb6..6168d0c2af 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-edge/workflow-edge.tsx
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-edge/workflow-edge.tsx
@@ -1,6 +1,7 @@
 import { useEffect } from 'react'
 import { X } from 'lucide-react'
 import { BaseEdge, EdgeLabelRenderer, type EdgeProps, getSmoothStepPath } from 'reactflow'
+import type { EdgeDiffStatus } from '@/lib/workflows/diff/types'
 import { useWorkflowDiffStore } from '@/stores/workflow-diff'
 import { useCurrentWorkflow } from '../../hooks'
 
@@ -114,7 +115,7 @@ export const WorkflowEdge = ({
   }, [diffAnalysis, id, currentWorkflow.blocks, currentWorkflow.edges, isShowingDiff])
 
   // Determine edge diff status
-  let edgeDiffStatus: 'new' | 'deleted' | 'unchanged' | null = null
+  let edgeDiffStatus: EdgeDiffStatus = null
 
   // Only attempt to determine diff status if all required data is available
   if (diffAnalysis?.edge_diff && edgeIdentifier && isDiffReady) {
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/utils.ts b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/utils.ts
index f7f3d41942..9b9e15ab31 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/utils.ts
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/utils.ts
@@ -14,7 +14,8 @@ const isContainerType = (blockType: string): boolean => {
     blockType === 'loop' ||
     blockType === 'parallel' ||
     blockType === 'loopNode' ||
-    blockType === 'parallelNode'
+    blockType === 'parallelNode' ||
+    blockType === 'subflowNode'
   )
 }
 
@@ -325,7 +326,10 @@ export const updateNodeParent = (
   } else if (currentParentId) {
     const absolutePosition = getNodeAbsolutePosition(nodeId, getNodes)
 
+    // First set the absolute position so the node visually stays in place
     updateBlockPosition(nodeId, absolutePosition)
+    // Then clear the parent relationship in the store (empty string removes parentId/extent)
+    updateParentId(nodeId, '', 'parent')
   }
 
   resizeLoopNodes()
diff --git a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/workflow.tsx b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/workflow.tsx
index e92cf7d374..800f37f8ab 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/workflow.tsx
+++ b/apps/sim/app/workspace/[workspaceId]/w/[workflowId]/workflow.tsx
@@ -18,8 +18,7 @@ import { ControlBar } from '@/app/workspace/[workspaceId]/w/[workflowId]/compone
 import { DiffControls } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/diff-controls'
 import { ErrorBoundary } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/error/index'
 import { Panel } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/panel/panel'
-import { LoopNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node'
-import { ParallelNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node'
+import { SubflowNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node'
 import { WorkflowBlock } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/workflow-block'
 import { WorkflowEdge } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-edge/workflow-edge'
 import { useCurrentWorkflow } from '@/app/workspace/[workspaceId]/w/[workflowId]/hooks'
@@ -48,8 +47,7 @@ const logger = createLogger('Workflow')
 // Define custom node and edge types
 const nodeTypes: NodeTypes = {
   workflowBlock: WorkflowBlock,
-  loopNode: LoopNodeComponent,
-  parallelNode: ParallelNodeComponent,
+  subflowNode: SubflowNodeComponent,
 }
 const edgeTypes: EdgeTypes = { workflowEdge: WorkflowEdge }
 
@@ -343,6 +341,48 @@ const WorkflowContent = React.memo(() => {
     }
   }, [debouncedAutoLayout])
 
+  // Listen for explicit remove-from-subflow actions from ActionBar
+  useEffect(() => {
+    const handleRemoveFromSubflow = (event: Event) => {
+      const customEvent = event as CustomEvent<{ blockId: string }>
+      const { blockId } = customEvent.detail || ({} as any)
+      if (!blockId) return
+
+      try {
+        // Remove parent-child relationship while preserving absolute position
+        updateNodeParent(blockId, null)
+
+        // Clean up any edges that now cross container boundaries for this block
+        const rfNodes = getNodes()
+        const sourceOrTargetEdges = edgesForDisplay.filter(
+          (e) => e.source === blockId || e.target === blockId
+        )
+
+        sourceOrTargetEdges.forEach((edge) => {
+          const sourceNode = rfNodes.find((n) => n.id === edge.source)
+          const targetNode = rfNodes.find((n) => n.id === edge.target)
+          const sourceParent = sourceNode?.parentId
+          const targetParent = targetNode?.parentId
+
+          const crossesBoundary =
+            (sourceParent && !targetParent) ||
+            (!sourceParent && targetParent) ||
+            (sourceParent && targetParent && sourceParent !== targetParent)
+
+          if (crossesBoundary) {
+            removeEdge(edge.id)
+          }
+        })
+      } catch (err) {
+        logger.error('Failed to remove from subflow', { err })
+      }
+    }
+
+    window.addEventListener('remove-from-subflow', handleRemoveFromSubflow as EventListener)
+    return () =>
+      window.removeEventListener('remove-from-subflow', handleRemoveFromSubflow as EventListener)
+  }, [getNodes, updateNodeParent, removeEdge, edgesForDisplay])
+
   // Handle drops
   const findClosestOutput = useCallback(
     (newNodePosition: { x: number; y: number }): BlockData | null => {
@@ -451,7 +491,7 @@ const WorkflowContent = React.memo(() => {
           {
             width: 500,
             height: 300,
-            type: type === 'loop' ? 'loopNode' : 'parallelNode',
+            type: 'subflowNode',
           },
           undefined,
           undefined,
@@ -571,7 +611,7 @@ const WorkflowContent = React.memo(() => {
             addBlock(id, data.type, name, relativePosition, {
               width: 500,
               height: 300,
-              type: data.type === 'loop' ? 'loopNode' : 'parallelNode',
+              type: 'subflowNode',
               parentId: containerInfo.loopId,
               extent: 'parent',
             })
@@ -607,7 +647,7 @@ const WorkflowContent = React.memo(() => {
               {
                 width: 500,
                 height: 300,
-                type: data.type === 'loop' ? 'loopNode' : 'parallelNode',
+                type: 'subflowNode',
               },
               undefined,
               undefined,
@@ -657,10 +697,12 @@ const WorkflowContent = React.memo(() => {
             const containerNode = getNodes().find((n) => n.id === containerInfo.loopId)
             const containerType = containerNode?.type
 
-            if (containerType === 'loopNode' || containerType === 'parallelNode') {
+            if (containerType === 'subflowNode') {
               // Connect from the container's start node to the new block
               const startSourceHandle =
-                containerType === 'loopNode' ? 'loop-start-source' : 'parallel-start-source'
+                (containerNode?.data as any)?.kind === 'loop'
+                  ? 'loop-start-source'
+                  : 'parallel-start-source'
 
               addEdge({
                 id: crypto.randomUUID(),
@@ -781,9 +823,15 @@ const WorkflowContent = React.memo(() => {
           if (containerElement) {
             // Determine the type of container node for appropriate styling
             const containerNode = getNodes().find((n) => n.id === containerInfo.loopId)
-            if (containerNode?.type === 'loopNode') {
+            if (
+              containerNode?.type === 'subflowNode' &&
+              (containerNode.data as any)?.kind === 'loop'
+            ) {
               containerElement.classList.add('loop-node-drag-over')
-            } else if (containerNode?.type === 'parallelNode') {
+            } else if (
+              containerNode?.type === 'subflowNode' &&
+              (containerNode.data as any)?.kind === 'parallel'
+            ) {
               containerElement.classList.add('parallel-node-drag-over')
             }
             document.body.style.cursor = 'copy'
@@ -918,31 +966,11 @@ const WorkflowContent = React.memo(() => {
       }
 
       // Handle container nodes differently
-      if (block.type === 'loop') {
+      if (block.type === 'loop' || block.type === 'parallel') {
         const hasNestedError = nestedSubflowErrors.has(block.id)
         nodeArray.push({
           id: block.id,
-          type: 'loopNode',
-          position: block.position,
-          parentId: block.data?.parentId,
-          extent: block.data?.extent || undefined,
-          dragHandle: '.workflow-drag-handle',
-          data: {
-            ...block.data,
-            width: block.data?.width || 500,
-            height: block.data?.height || 300,
-            hasNestedError,
-          },
-        })
-        return
-      }
-
-      // Handle parallel nodes
-      if (block.type === 'parallel') {
-        const hasNestedError = nestedSubflowErrors.has(block.id)
-        nodeArray.push({
-          id: block.id,
-          type: 'parallelNode',
+          type: 'subflowNode',
           position: block.position,
           parentId: block.data?.parentId,
           extent: block.data?.extent || undefined,
@@ -952,6 +980,7 @@ const WorkflowContent = React.memo(() => {
             width: block.data?.width || 500,
             height: block.data?.height || 300,
             hasNestedError,
+            kind: block.type === 'loop' ? 'loop' : 'parallel',
           },
         })
         return
@@ -1191,13 +1220,13 @@ const WorkflowContent = React.memo(() => {
       const intersectingNodes = getNodes()
         .filter((n) => {
           // Only consider container nodes that aren't the dragged node
-          if ((n.type !== 'loopNode' && n.type !== 'parallelNode') || n.id === node.id) return false
+          if (n.type !== 'subflowNode' || n.id === node.id) return false
 
           // Skip if this container is already the parent of the node being dragged
           if (n.id === currentParentId) return false
 
           // Skip self-nesting: prevent a container from becoming its own descendant
-          if (node.type === 'loopNode' || node.type === 'parallelNode') {
+          if (node.type === 'subflowNode') {
             // Get the full hierarchy of the potential parent
             const hierarchy = getNodeHierarchyWrapper(n.id)
 
@@ -1212,14 +1241,14 @@ const WorkflowContent = React.memo(() => {
 
           // Get dimensions based on node type
           const nodeWidth =
-            node.type === 'loopNode' || node.type === 'parallelNode'
+            node.type === 'subflowNode'
               ? node.data?.width || 500
               : node.type === 'condition'
                 ? 250
                 : 350
 
           const nodeHeight =
-            node.type === 'loopNode' || node.type === 'parallelNode'
+            node.type === 'subflowNode'
               ? node.data?.height || 300
               : node.type === 'condition'
                 ? 150
@@ -1286,9 +1315,15 @@ const WorkflowContent = React.memo(() => {
         )
         if (containerElement) {
           // Apply appropriate class based on container type
-          if (bestContainerMatch.container.type === 'loopNode') {
+          if (
+            bestContainerMatch.container.type === 'subflowNode' &&
+            (bestContainerMatch.container.data as any)?.kind === 'loop'
+          ) {
             containerElement.classList.add('loop-node-drag-over')
-          } else if (bestContainerMatch.container.type === 'parallelNode') {
+          } else if (
+            bestContainerMatch.container.type === 'subflowNode' &&
+            (bestContainerMatch.container.data as any)?.kind === 'parallel'
+          ) {
             containerElement.classList.add('parallel-node-drag-over')
           }
           document.body.style.cursor = 'copy'
@@ -1356,7 +1391,7 @@ const WorkflowContent = React.memo(() => {
       }
 
       // If we're dragging a container node, do additional checks to prevent circular references
-      if ((node.type === 'loopNode' || node.type === 'parallelNode') && potentialParentId) {
+      if (node.type === 'subflowNode' && potentialParentId) {
         // Get the hierarchy of the potential parent container
         const parentHierarchy = getNodeHierarchyWrapper(potentialParentId)
 
diff --git a/apps/sim/app/workspace/[workspaceId]/w/components/workflow-preview/workflow-preview.tsx b/apps/sim/app/workspace/[workspaceId]/w/components/workflow-preview/workflow-preview.tsx
index 5daa434355..0fe5564e45 100644
--- a/apps/sim/app/workspace/[workspaceId]/w/components/workflow-preview/workflow-preview.tsx
+++ b/apps/sim/app/workspace/[workspaceId]/w/components/workflow-preview/workflow-preview.tsx
@@ -15,8 +15,7 @@ import 'reactflow/dist/style.css'
 
 import { createLogger } from '@/lib/logs/console/logger'
 import { cn } from '@/lib/utils'
-import { LoopNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/loop/loop-node'
-import { ParallelNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/parallel/parallel-node'
+import { SubflowNodeComponent } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/subflows/subflow-node'
 import { WorkflowBlock } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-block/workflow-block'
 import { WorkflowEdge } from '@/app/workspace/[workspaceId]/w/[workflowId]/components/workflow-edge/workflow-edge'
 import { getBlock } from '@/blocks'
@@ -39,8 +38,7 @@ interface WorkflowPreviewProps {
 // Define node types - the components now handle preview mode internally
 const nodeTypes: NodeTypes = {
   workflowBlock: WorkflowBlock,
-  loopNode: LoopNodeComponent,
-  parallelNode: ParallelNodeComponent,
+  subflowNode: SubflowNodeComponent,
 }
 
 // Define edge types
@@ -131,7 +129,7 @@ export function WorkflowPreview({
       if (block.type === 'loop') {
         nodeArray.push({
           id: block.id,
-          type: 'loopNode',
+          type: 'subflowNode',
           position: absolutePosition,
           parentId: block.data?.parentId,
           extent: block.data?.extent || undefined,
@@ -142,6 +140,7 @@ export function WorkflowPreview({
             height: block.data?.height || 300,
             state: 'valid',
             isPreview: true,
+            kind: 'loop',
           },
         })
         return
@@ -150,7 +149,7 @@ export function WorkflowPreview({
       if (block.type === 'parallel') {
         nodeArray.push({
           id: block.id,
-          type: 'parallelNode',
+          type: 'subflowNode',
           position: absolutePosition,
           parentId: block.data?.parentId,
           extent: block.data?.extent || undefined,
@@ -161,6 +160,7 @@ export function WorkflowPreview({
             height: block.data?.height || 300,
             state: 'valid',
             isPreview: true,
+            kind: 'parallel',
           },
         })
         return
diff --git a/apps/sim/components/ui/tag-dropdown.tsx b/apps/sim/components/ui/tag-dropdown.tsx
index 31f03b16a5..f63f5344e2 100644
--- a/apps/sim/components/ui/tag-dropdown.tsx
+++ b/apps/sim/components/ui/tag-dropdown.tsx
@@ -5,12 +5,14 @@ import { BlockPathCalculator } from '@/lib/block-path-calculator'
 import { extractFieldsFromSchema, parseResponseFormatSafely } from '@/lib/response-format'
 import { cn } from '@/lib/utils'
 import { getBlock } from '@/blocks'
+import type { BlockConfig } from '@/blocks/types'
 import { Serializer } from '@/serializer'
 import { useVariablesStore } from '@/stores/panel/variables/store'
 import type { Variable } from '@/stores/panel/variables/types'
 import { useWorkflowRegistry } from '@/stores/workflows/registry/store'
 import { useSubBlockStore } from '@/stores/workflows/subblock/store'
 import { useWorkflowStore } from '@/stores/workflows/workflow/store'
+import type { BlockState } from '@/stores/workflows/workflow/types'
 import { getTool } from '@/tools/utils'
 import { getTriggersByProvider } from '@/triggers'
 
@@ -51,8 +53,8 @@ export const checkTagTrigger = (text: string, cursorPosition: number): { show: b
 const BLOCK_COLORS = {
   VARIABLE: '#2F8BFF',
   DEFAULT: '#2F55FF',
-  LOOP: '#8857E6',
-  PARALLEL: '#FF5757',
+  LOOP: '#2FB3FF',
+  PARALLEL: '#FEE12B',
 } as const
 
 const TAG_PREFIXES = {
@@ -73,11 +75,11 @@ const getSubBlockValue = (blockId: string, property: string): any => {
 
 const createTagEventHandlers = (
   tag: string,
-  group: any,
+  group: BlockTagGroup | undefined,
   tagIndex: number,
-  handleTagSelect: (tag: string, group?: any) => void,
+  handleTagSelect: (tag: string, group?: BlockTagGroup) => void,
   setSelectedIndex: (index: number) => void,
-  setHoveredNested: (value: any) => void
+  setHoveredNested: (value: { tag: string; index: number } | null) => void
 ) => ({
   onMouseEnter: () => {
     setSelectedIndex(tagIndex >= 0 ? tagIndex : 0)
@@ -96,8 +98,8 @@ const createTagEventHandlers = (
 })
 
 const getOutputTypeForPath = (
-  block: any,
-  blockConfig: any,
+  block: BlockState,
+  blockConfig: BlockConfig | null,
   blockId: string,
   outputPath: string
 ): string => {
@@ -137,7 +139,9 @@ const getOutputTypeForPath = (
     // For API mode, check inputFormat for custom field types
     const inputFormatValue = getSubBlockValue(blockId, 'inputFormat')
     if (inputFormatValue && Array.isArray(inputFormatValue)) {
-      const field = inputFormatValue.find((f: any) => f.name === outputPath)
+      const field = inputFormatValue.find(
+        (f: { name?: string; type?: string }) => f.name === outputPath
+      )
       if (field?.type) {
         return field.type
       }
@@ -224,7 +228,7 @@ const generateOutputPathsWithTypes = (
   return paths
 }
 
-const generateToolOutputPaths = (blockConfig: any, operation: string): string[] => {
+const generateToolOutputPaths = (blockConfig: BlockConfig, operation: string): string[] => {
   if (!blockConfig?.tools?.config?.tool) return []
 
   try {
@@ -244,7 +248,7 @@ const generateToolOutputPaths = (blockConfig: any, operation: string): string[]
   }
 }
 
-const getToolOutputType = (blockConfig: any, operation: string, path: string): string => {
+const getToolOutputType = (blockConfig: BlockConfig, operation: string, path: string): string => {
   if (!blockConfig?.tools?.config?.tool) return 'any'
 
   try {
@@ -366,9 +370,9 @@ export const TagDropdown: React.FC<TagDropdownProps> = ({
         const metricsValue = getSubBlockValue(activeSourceBlockId, 'metrics')
 
         if (metricsValue && Array.isArray(metricsValue) && metricsValue.length > 0) {
-          const validMetrics = metricsValue.filter((metric: any) => metric?.name)
+          const validMetrics = metricsValue.filter((metric: { name?: string }) => metric?.name)
           blockTags = validMetrics.map(
-            (metric: any) => `${normalizedBlockName}.${metric.name.toLowerCase()}`
+            (metric: { name: string }) => `${normalizedBlockName}.${metric.name.toLowerCase()}`
           )
         } else {
           const outputPaths = generateOutputPaths(blockConfig.outputs)
@@ -402,8 +406,8 @@ export const TagDropdown: React.FC<TagDropdownProps> = ({
               inputFormatValue.length > 0
             ) {
               blockTags = inputFormatValue
-                .filter((field: any) => field.name && field.name.trim() !== '')
-                .map((field: any) => `${normalizedBlockName}.${field.name}`)
+                .filter((field: { name?: string }) => field.name && field.name.trim() !== '')
+                .map((field: { name: string }) => `${normalizedBlockName}.${field.name}`)
             } else {
               blockTags = [normalizedBlockName]
             }
@@ -556,9 +560,14 @@ export const TagDropdown: React.FC<TagDropdownProps> = ({
     )
     let containingParallelBlockId: string | null = null
     if (containingParallel) {
-      const [parallelId] = containingParallel
+      const [parallelId, parallel] = containingParallel
       containingParallelBlockId = parallelId
-      const contextualTags: string[] = ['index', 'currentItem', 'items']
+      const parallelType = parallel.parallelType || 'count'
+      const contextualTags: string[] = ['index']
+      if (parallelType === 'collection') {
+        contextualTags.push('currentItem')
+        contextualTags.push('items')
+      }
 
       const containingParallelBlock = blocks[parallelId]
       if (containingParallelBlock) {
@@ -629,9 +638,9 @@ export const TagDropdown: React.FC<TagDropdownProps> = ({
         const metricsValue = getSubBlockValue(accessibleBlockId, 'metrics')
 
         if (metricsValue && Array.isArray(metricsValue) && metricsValue.length > 0) {
-          const validMetrics = metricsValue.filter((metric: any) => metric?.name)
+          const validMetrics = metricsValue.filter((metric: { name?: string }) => metric?.name)
           blockTags = validMetrics.map(
-            (metric: any) => `${normalizedBlockName}.${metric.name.toLowerCase()}`
+            (metric: { name: string }) => `${normalizedBlockName}.${metric.name.toLowerCase()}`
           )
         } else {
           const outputPaths = generateOutputPaths(blockConfig.outputs)
@@ -665,8 +674,8 @@ export const TagDropdown: React.FC<TagDropdownProps> = ({
               inputFormatValue.length > 0
             ) {
               blockTags = inputFormatValue
-                .filter((field: any) => field.name && field.name.trim() !== '')
-                .map((field: any) => `${normalizedBlockName}.${field.name}`)
+                .filter((field: { name?: string }) => field.name && field.name.trim() !== '')
+                .map((field: { name: string }) => `${normalizedBlockName}.${field.name}`)
             } else {
               blockTags = [normalizedBlockName]
             }
@@ -880,8 +889,8 @@ export const TagDropdown: React.FC<TagDropdownProps> = ({
           liveCursor = activeEl.selectionStart ?? cursorPosition
           // Prefer the active element value if present. This ensures we include the most
           // recently typed character(s) that might not yet be reflected in React state.
-          if (typeof (activeEl as any).value === 'string') {
-            liveValue = (activeEl as any).value
+          if ('value' in activeEl && typeof activeEl.value === 'string') {
+            liveValue = activeEl.value
           }
         }
       }
@@ -1289,7 +1298,7 @@ export const TagDropdown: React.FC<TagDropdownProps> = ({
 
                                 tagDescription = getOutputTypeForPath(
                                   block,
-                                  blockConfig,
+                                  blockConfig || null,
                                   group.blockId,
                                   outputPath
                                 )
@@ -1429,7 +1438,7 @@ export const TagDropdown: React.FC<TagDropdownProps> = ({
 
                                         childType = getOutputTypeForPath(
                                           block,
-                                          blockConfig,
+                                          blockConfig || null,
                                           group.blockId,
                                           childOutputPath
                                         )
diff --git a/apps/sim/lib/workflows/diff/diff-engine.ts b/apps/sim/lib/workflows/diff/diff-engine.ts
index dd0756003b..815a7400a2 100644
--- a/apps/sim/lib/workflows/diff/diff-engine.ts
+++ b/apps/sim/lib/workflows/diff/diff-engine.ts
@@ -1,5 +1,6 @@
 import { createLogger } from '@/lib/logs/console/logger'
 import type { BlockState, WorkflowState } from '@/stores/workflows/workflow/types'
+import type { BlockWithDiff } from './types'
 
 const logger = createLogger('WorkflowDiffEngine')
 
@@ -334,10 +335,10 @@ export class WorkflowDiffEngine {
     for (const [blockId, block] of Object.entries(state.blocks)) {
       const cleanBlock: BlockState = { ...block }
 
-      // Remove diff markers using bracket notation to avoid TypeScript errors
-
-      ;(cleanBlock as any).is_diff = undefined
-      ;(cleanBlock as any).field_diff = undefined
+      // Remove diff markers using proper typing
+      const blockWithDiff = cleanBlock as BlockState & BlockWithDiff
+      blockWithDiff.is_diff = undefined
+      blockWithDiff.field_diffs = undefined
 
       // Ensure outputs is never null/undefined
       if (cleanBlock.outputs === undefined || cleanBlock.outputs === null) {
diff --git a/apps/sim/lib/workflows/diff/types.ts b/apps/sim/lib/workflows/diff/types.ts
new file mode 100644
index 0000000000..28c9ada492
--- /dev/null
+++ b/apps/sim/lib/workflows/diff/types.ts
@@ -0,0 +1,18 @@
+/**
+ * Type definitions for workflow diff functionality
+ */
+
+export type DiffStatus = 'new' | 'edited' | undefined
+
+export type FieldDiffStatus = 'changed' | 'unchanged'
+
+export type EdgeDiffStatus = 'new' | 'deleted' | 'unchanged' | null
+
+export interface BlockWithDiff {
+  is_diff?: DiffStatus
+  field_diffs?: Record<string, { changed_fields: string[]; unchanged_fields: string[] }>
+}
+
+export function hasDiffStatus(block: any): block is BlockWithDiff {
+  return block && typeof block === 'object' && ('is_diff' in block || 'field_diffs' in block)
+}
diff --git a/apps/sim/socket-server/database/operations.ts b/apps/sim/socket-server/database/operations.ts
index 6793a53695..2ad00b49c6 100644
--- a/apps/sim/socket-server/database/operations.ts
+++ b/apps/sim/socket-server/database/operations.ts
@@ -490,11 +490,25 @@ async function handleBlockOperationTx(
         throw new Error('Missing block ID for update parent operation')
       }
 
+      // Fetch current parent to update subflow node list when detaching or reparenting
+      const [existing] = await tx
+        .select({
+          id: workflowBlocks.id,
+          parentId: workflowBlocks.parentId,
+        })
+        .from(workflowBlocks)
+        .where(and(eq(workflowBlocks.id, payload.id), eq(workflowBlocks.workflowId, workflowId)))
+        .limit(1)
+
+      const isRemovingFromParent = !payload.parentId
+
       const updateResult = await tx
         .update(workflowBlocks)
         .set({
-          parentId: payload.parentId || null,
-          extent: payload.extent || null,
+          parentId: isRemovingFromParent ? null : payload.parentId || null,
+          extent: isRemovingFromParent ? null : payload.extent || null,
+          // When removing from a subflow, also clear data JSON entirely
+          ...(isRemovingFromParent ? { data: {} } : {}),
           updatedAt: new Date(),
         })
         .where(and(eq(workflowBlocks.id, payload.id), eq(workflowBlocks.workflowId, workflowId)))
@@ -504,13 +518,19 @@ async function handleBlockOperationTx(
         throw new Error(`Block ${payload.id} not found in workflow ${workflowId}`)
       }
 
-      // If the block now has a parent, update the parent's subflow node list
+      // If the block now has a parent, update the new parent's subflow node list
       if (payload.parentId) {
         await updateSubflowNodeList(tx, workflowId, payload.parentId)
       }
+      // If the block had a previous parent, update that parent's node list as well
+      if (existing?.parentId && existing.parentId !== payload.parentId) {
+        await updateSubflowNodeList(tx, workflowId, existing.parentId)
+      }
 
       logger.debug(
-        `Updated block parent: ${payload.id} -> parent: ${payload.parentId}, extent: ${payload.extent}`
+        `Updated block parent: ${payload.id} -> parent: ${payload.parentId || 'null'}, extent: ${payload.extent || 'null'}${
+          isRemovingFromParent ? ' (cleared data JSON)' : ''
+        }`
       )
       break
     }
@@ -807,7 +827,7 @@ async function handleSubflowOperationTx(
               collection: payload.config.forEachItems,
               width: 500,
               height: 300,
-              type: 'loopNode',
+              type: 'subflowNode',
             },
             updatedAt: new Date(),
           })
@@ -818,7 +838,7 @@ async function handleSubflowOperationTx(
           ...payload.config,
           width: 500,
           height: 300,
-          type: 'parallelNode',
+          type: 'subflowNode',
         }
 
         // Include count if provided
diff --git a/apps/sim/stores/workflows/workflow/store.ts b/apps/sim/stores/workflows/workflow/store.ts
index 40aea46742..1ec31e33f2 100644
--- a/apps/sim/stores/workflows/workflow/store.ts
+++ b/apps/sim/stores/workflows/workflow/store.ts
@@ -264,19 +264,16 @@ export const useWorkflowStore = create<WorkflowStoreWithHistory>()(
         const absolutePosition = { ...block.position }
 
         // Handle empty or null parentId (removing from parent)
+        // On removal, clear the data JSON entirely per normalized DB contract
         const newData = !parentId
-          ? { ...block.data } // Remove parentId and extent if empty
+          ? {}
           : {
               ...block.data,
               parentId,
               extent,
             }
 
-        // Remove parentId and extent properties for empty parent ID
-        if (!parentId && newData.parentId) {
-          newData.parentId = undefined
-          newData.extent = undefined
-        }
+        // For removal we already set data to {}; for setting a parent keep as-is
 
         const newState = {
           blocks: {
diff --git a/apps/sim/stores/workflows/yaml/importer.ts b/apps/sim/stores/workflows/yaml/importer.ts
index 06b626c707..c31d16dbdd 100644
--- a/apps/sim/stores/workflows/yaml/importer.ts
+++ b/apps/sim/stores/workflows/yaml/importer.ts
@@ -338,7 +338,7 @@ export function convertYamlToWorkflow(yamlWorkflow: YamlWorkflow): ImportResult
       importedBlock.data = {
         width: 500,
         height: 300,
-        type: yamlBlock.type === 'loop' ? 'loopNode' : 'parallelNode',
+        type: 'subflowNode',
         // Map YAML inputs to data properties for loop/parallel blocks
         ...(yamlBlock.inputs || {}),
       }