diff --git a/packages/next/client/components/app-router-headers.ts b/packages/next/client/components/app-router-headers.ts
index 1eb2747dd1cd22b..aef43864e0a70ed 100644
--- a/packages/next/client/components/app-router-headers.ts
+++ b/packages/next/client/components/app-router-headers.ts
@@ -1,5 +1,36 @@
+import {
+  DynamicParamTypesShort,
+  FlightRouterState,
+} from '../../server/app-render'
+
 export const RSC = 'RSC' as const
 export const NEXT_ROUTER_STATE_TREE = 'Next-Router-State-Tree' as const
 export const NEXT_ROUTER_PREFETCH = 'Next-Router-Prefetch' as const
 export const RSC_VARY_HEADER =
   `${RSC}, ${NEXT_ROUTER_STATE_TREE}, ${NEXT_ROUTER_PREFETCH}` as const
+
+export const escapeFlightRouterState = (
+  state: FlightRouterState
+): FlightRouterState => {
+  const [segment, parallelRoutes, ...restState] = state
+  const escapedParallelRoutes: typeof parallelRoutes = Object.create({})
+  let escapedSegment: typeof segment = segment
+
+  if (typeof segment !== 'string') {
+    const [param, value, type] = segment
+    const escapedSegmentValue = encodeURIComponent(value)
+    escapedSegment = [
+      param,
+      escapedSegmentValue,
+      type as DynamicParamTypesShort,
+    ]
+  }
+
+  Object.keys(parallelRoutes).forEach((key) => {
+    const childState = parallelRoutes[key]
+
+    escapedParallelRoutes[key] = escapeFlightRouterState(childState)
+  })
+
+  return [escapedSegment, escapedParallelRoutes, ...restState]
+}
diff --git a/packages/next/client/components/app-router.tsx b/packages/next/client/components/app-router.tsx
index d29f680d5051c63..5788d81e507f952 100644
--- a/packages/next/client/components/app-router.tsx
+++ b/packages/next/client/components/app-router.tsx
@@ -1,18 +1,18 @@
 'use client'
 
 import type { ReactNode } from 'react'
-import React, { useEffect, useMemo, useCallback } from 'react'
+import React, { useCallback, useEffect, useMemo } from 'react'
 import { createFromFetch } from 'next/dist/compiled/react-server-dom-webpack/client'
+import type {
+  AppRouterInstance,
+  CacheNode,
+} from '../../shared/lib/app-router-context'
 import {
   AppRouterContext,
-  LayoutRouterContext,
   GlobalLayoutRouterContext,
+  LayoutRouterContext,
 } from '../../shared/lib/app-router-context'
-import type {
-  CacheNode,
-  AppRouterInstance,
-} from '../../shared/lib/app-router-context'
-import type { FlightRouterState, FlightData } from '../../server/app-render'
+import type { FlightData, FlightRouterState } from '../../server/app-render'
 import {
   ACTION_NAVIGATE,
   ACTION_PREFETCH,
@@ -22,14 +22,13 @@ import {
   reducer,
 } from './reducer'
 import {
-  SearchParamsContext,
-  // ParamsContext,
   PathnameContext,
-  // LayoutSegmentsContext,
+  SearchParamsContext,
 } from '../../shared/lib/hooks-client-context'
 import { useReducerWithReduxDevtools } from './use-reducer-with-devtools'
 import { ErrorBoundary, GlobalErrorComponent } from './error-boundary'
 import {
+  escapeFlightRouterState,
   NEXT_ROUTER_PREFETCH,
   NEXT_ROUTER_STATE_TREE,
   RSC,
@@ -65,7 +64,9 @@ export async function fetchServerResponse(
     // Enable flight response
     [RSC]: '1',
     // Provide the current router state
-    [NEXT_ROUTER_STATE_TREE]: JSON.stringify(flightRouterState),
+    [NEXT_ROUTER_STATE_TREE]: JSON.stringify(
+      escapeFlightRouterState(flightRouterState)
+    ),
   }
   if (prefetch) {
     // Enable prefetch response
diff --git a/packages/next/server/app-render.tsx b/packages/next/server/app-render.tsx
index d5fd2404538d9b1..8f122e0790cda26 100644
--- a/packages/next/server/app-render.tsx
+++ b/packages/next/server/app-render.tsx
@@ -855,7 +855,13 @@ export async function renderToHTMLOrFlight(
       }
 
       const key = segmentParam.param
-      const value = pathParams[key]
+      let value = pathParams[key]
+
+      if (Array.isArray(value)) {
+        value = value.map((i) => encodeURIComponent(i))
+      } else if (typeof value === 'string') {
+        value = encodeURIComponent(value)
+      }
 
       if (!value) {
         // Handle case where optional catchall does not have a value, e.g. `/dashboard/[...slug]` when requesting `/dashboard`
diff --git a/test/production/app-dir-prefetch-non-iso-url/app/[slug]/page.js b/test/production/app-dir-prefetch-non-iso-url/app/[slug]/page.js
new file mode 100644
index 000000000000000..90ee69c678574b3
--- /dev/null
+++ b/test/production/app-dir-prefetch-non-iso-url/app/[slug]/page.js
@@ -0,0 +1,12 @@
+export default function Slug(props) {
+  return (
+    <>
+      <p id="page">/[slug]</p>
+      <p id="props">{JSON.stringify(props)}</p>
+    </>
+  )
+}
+
+export function generateStaticParams() {
+  return [{ slug: 'iso-url' }, { slug: 'кириллица' }]
+}
diff --git a/test/production/app-dir-prefetch-non-iso-url/app/layout.js b/test/production/app-dir-prefetch-non-iso-url/app/layout.js
new file mode 100644
index 000000000000000..750eb927b198012
--- /dev/null
+++ b/test/production/app-dir-prefetch-non-iso-url/app/layout.js
@@ -0,0 +1,7 @@
+export default function Layout({ children }) {
+  return (
+    <html>
+      <body>{children}</body>
+    </html>
+  )
+}
diff --git a/test/production/app-dir-prefetch-non-iso-url/app/page.js b/test/production/app-dir-prefetch-non-iso-url/app/page.js
new file mode 100644
index 000000000000000..786b1ea934a51de
--- /dev/null
+++ b/test/production/app-dir-prefetch-non-iso-url/app/page.js
@@ -0,0 +1,18 @@
+import Link from 'next/link'
+
+export default function Page(props) {
+  return (
+    <>
+      <p id="page">index</p>
+      <p id="props">{JSON.stringify(props)}</p>
+      <Link href="/iso-url" id="to-iso">
+        /iso-url
+      </Link>
+      <br />
+      <Link href="/кириллица" id="to-non-iso">
+        /кириллица
+      </Link>
+      <br />
+    </>
+  )
+}
diff --git a/test/production/app-dir-prefetch-non-iso-url/index.test.ts b/test/production/app-dir-prefetch-non-iso-url/index.test.ts
new file mode 100644
index 000000000000000..6ac83c44517e801
--- /dev/null
+++ b/test/production/app-dir-prefetch-non-iso-url/index.test.ts
@@ -0,0 +1,58 @@
+import { createNext, FileRef } from 'e2e-utils'
+import { NextInstance } from 'test/lib/next-modes/base'
+import { join } from 'path'
+import { BrowserInterface } from '../../lib/browsers/base'
+import webdriver from 'next-webdriver'
+import { waitFor } from 'next-test-utils'
+
+describe('app-dir-prefetch-non-iso-url', () => {
+  let next: NextInstance
+
+  beforeAll(async () => {
+    next = await createNext({
+      files: {
+        'next.config.js': new FileRef(join(__dirname, 'next.config.js')),
+        app: new FileRef(join(__dirname, 'app')),
+      },
+    })
+  })
+  afterAll(() => next.destroy())
+
+  it('should go to iso url', async () => {
+    let browser: BrowserInterface
+
+    try {
+      browser = await webdriver(next.appPort, '/')
+      await browser.elementByCss('#to-iso').click()
+
+      const text = await browser.elementByCss('#page').text()
+
+      await waitFor(3000)
+
+      expect(text).toBe('/[slug]')
+    } finally {
+      if (browser) {
+        await browser.close()
+      }
+    }
+  })
+
+  it('should go to non-iso url', async () => {
+    let browser: BrowserInterface
+
+    try {
+      browser = await webdriver(next.appPort, '/')
+      await browser.elementByCss('#to-non-iso').click()
+
+      const text = await browser.elementByCss('#page').text()
+
+      await waitFor(3000)
+
+      expect(text).toBe('/[slug]')
+    } finally {
+      if (browser) {
+        await browser.close()
+      }
+    }
+  })
+})
diff --git a/test/production/app-dir-prefetch-non-iso-url/next.config.js b/test/production/app-dir-prefetch-non-iso-url/next.config.js
new file mode 100644
index 000000000000000..426499ce6de355c
--- /dev/null
+++ b/test/production/app-dir-prefetch-non-iso-url/next.config.js
@@ -0,0 +1,6 @@
+/** @type {import("next").NextConfig} */
+const nextConfig = {
+  experimental: { appDir: true },
+}
+
+module.exports = nextConfig