diff --git a/pkg/api/api.go b/pkg/api/api.go
index deefc1e52e9..1e84cca2bf7 100644
--- a/pkg/api/api.go
+++ b/pkg/api/api.go
@@ -278,6 +278,8 @@ type CreateOptions struct {
 	Timeout *time.Duration
 	// QuietPull makes the pulling process quiet
 	QuietPull bool
+	// SkipProviders skips provider services during convergence (e.g. watch rebuild)
+	SkipProviders bool
 }
 
 // StartOptions group options of the Start API
diff --git a/pkg/compose/convergence.go b/pkg/compose/convergence.go
index 973699e8945..609f8039490 100644
--- a/pkg/compose/convergence.go
+++ b/pkg/compose/convergence.go
@@ -100,6 +100,12 @@ func (c *convergence) apply(ctx context.Context, project *types.Project, options
 			return err
 		}
 
+		// Skip provider services when the caller opted out (e.g. watch rebuild),
+		// since providers were already set up during initial "up".
+		if service.Provider != nil && options.SkipProviders {
+			return nil
+		}
+
 		return tracing.SpanWrapFunc("service/apply", tracing.ServiceOptions(service), func(ctx context.Context) error {
 			strategy := options.RecreateDependencies
 			if slices.Contains(options.Services, name) {
diff --git a/pkg/compose/plugins.go b/pkg/compose/plugins.go
index 159394f6bf1..a0eee8a37bb 100644
--- a/pkg/compose/plugins.go
+++ b/pkg/compose/plugins.go
@@ -125,10 +125,10 @@ func (s *composeService) executePlugin(cmd *exec.Cmd, command string, service ty
 		}
 		switch msg.Type {
 		case ErrorType:
-			s.events.On(newEvent(service.Name, api.Error, msg.Message))
+			s.events.On(newEvent(service.Name, api.Error, firstLine(msg.Message)))
 			return nil, errors.New(msg.Message)
 		case InfoType:
-			s.events.On(newEvent(service.Name, api.Working, msg.Message))
+			s.events.On(newEvent(service.Name, api.Working, firstLine(msg.Message)))
 		case SetEnvType:
 			key, val, found := strings.Cut(msg.Message, "=")
 			if !found {
@@ -281,3 +281,12 @@ func (c CommandMetadata) CheckRequiredParameters(provider types.ServiceProviderC
 	}
 	return nil
 }
+
+// firstLine returns the first line of s, stripping any trailing newlines.
+func firstLine(s string) string {
+	s = strings.TrimRight(s, "\n")
+	if i := strings.IndexByte(s, '\n'); i >= 0 {
+		return s[:i]
+	}
+	return s
+}
diff --git a/pkg/compose/watch.go b/pkg/compose/watch.go
index 39c94f79725..f63c51683ab 100644
--- a/pkg/compose/watch.go
+++ b/pkg/compose/watch.go
@@ -662,9 +662,10 @@ func (s *composeService) rebuild(ctx context.Context, project *types.Project, se
 	options.LogTo.Log(api.WatchLogger, fmt.Sprintf("service(s) %q successfully built", services))
 
 	err = s.create(ctx, project, api.CreateOptions{
-		Services: services,
-		Inherit:  true,
-		Recreate: api.RecreateForce,
+		Services:      services,
+		Inherit:       true,
+		Recreate:      api.RecreateForce,
+		SkipProviders: true,
 	})
 	if err != nil {
 		options.LogTo.Log(api.WatchLogger, fmt.Sprintf("Failed to recreate services after update. Error: %v", err))