diff --git a/airflow-core/newsfragments/64281.significant.rst b/airflow-core/newsfragments/64281.significant.rst
new file mode 100644
index 0000000000000..9e91de9db5e82
--- /dev/null
+++ b/airflow-core/newsfragments/64281.significant.rst
@@ -0,0 +1 @@
+Rework Monaco Editor style to match Chakra UI color palette.
diff --git a/airflow-core/src/airflow/ui/src/components/JsonEditor.tsx b/airflow-core/src/airflow/ui/src/components/JsonEditor.tsx
index 3b9cc6f4e01a4..806b73b7d2625 100644
--- a/airflow-core/src/airflow/ui/src/components/JsonEditor.tsx
+++ b/airflow-core/src/airflow/ui/src/components/JsonEditor.tsx
@@ -19,7 +19,7 @@
 import Editor, { type EditorProps } from "@monaco-editor/react";
 import { useRef } from "react";
 
-import { useColorMode } from "src/context/colorMode";
+import { useMonacoTheme } from "src/context/colorMode";
 
 type JsonEditorProps = {
   readonly editable?: boolean;
@@ -39,7 +39,7 @@ export const JsonEditor = ({
   value,
   ...rest
 }: JsonEditorProps) => {
-  const { colorMode } = useColorMode();
+  const { beforeMount, theme } = useMonacoTheme();
   const onBlurRef = useRef(onBlur);
 
   onBlurRef.current = onBlur;
@@ -55,8 +55,6 @@ export const JsonEditor = ({
     scrollBeyondLastLine: false,
   };
 
-  const theme = colorMode === "dark" ? "vs-dark" : "vs-light";
-
   const handleChange = (val: string | undefined) => {
     onChange?.(val ?? "");
   };
@@ -72,6 +70,7 @@ export const JsonEditor = ({
       {...rest}
     >
       <Editor
+        beforeMount={beforeMount}
         height={height}
         language="json"
         onChange={handleChange}
diff --git a/airflow-core/src/airflow/ui/src/components/RenderedJsonField.tsx b/airflow-core/src/airflow/ui/src/components/RenderedJsonField.tsx
index a289cdae89246..bea8e37259c9b 100644
--- a/airflow-core/src/airflow/ui/src/components/RenderedJsonField.tsx
+++ b/airflow-core/src/airflow/ui/src/components/RenderedJsonField.tsx
@@ -18,13 +18,10 @@
  */
 import { Flex, type FlexProps } from "@chakra-ui/react";
 import Editor, { type OnMount } from "@monaco-editor/react";
-import { useCallback, useState } from "react";
+import { useCallback } from "react";
 
 import { ClipboardRoot, ClipboardIconButton } from "src/components/ui";
-import { useColorMode } from "src/context/colorMode";
-
-const MAX_HEIGHT = 300;
-const MIN_HEIGHT = 40;
+import { useMonacoTheme } from "src/context/colorMode";
 
 type Props = {
   readonly collapsed?: boolean;
@@ -34,31 +31,14 @@ type Props = {
 
 const RenderedJsonField = ({ collapsed = false, content, enableClipboard = true, ...rest }: Props) => {
   const contentFormatted = JSON.stringify(content, undefined, 2);
-  const { colorMode } = useColorMode();
+  const { beforeMount, theme } = useMonacoTheme();
   const lineCount = contentFormatted.split("\n").length;
-  const expandedHeight = Math.min(Math.max(lineCount * 19 + 10, MIN_HEIGHT), MAX_HEIGHT);
-  const [editorHeight, setEditorHeight] = useState(collapsed ? MIN_HEIGHT : expandedHeight);
-  const [isReady, setIsReady] = useState(!collapsed);
-  const theme = colorMode === "dark" ? "vs-dark" : "vs-light";
+  const height = `${Math.min(Math.max(lineCount * 19 + 10, 40), 300)}px`;
 
   const handleMount: OnMount = useCallback(
     (editorInstance) => {
-      editorInstance.onDidContentSizeChange(() => {
-        const contentHeight = editorInstance.getContentHeight();
-
-        setEditorHeight(Math.min(Math.max(contentHeight, MIN_HEIGHT), MAX_HEIGHT));
-      });
-
       if (collapsed) {
-        const action = editorInstance.getAction("editor.foldAll");
-
-        if (action) {
-          void action.run().then(() => {
-            setIsReady(true);
-          });
-        } else {
-          setIsReady(true);
-        }
+        void editorInstance.getAction("editor.foldAll")?.run();
       }
     },
     [collapsed],
@@ -66,16 +46,15 @@ const RenderedJsonField = ({ collapsed = false, content, enableClipboard = true,
 
   return (
     <Flex
-      flex={1}
-      gap={2}
-      minW={200}
-      // Hide the editor until it's ready to prevent a flickering effect when collapsing.
-      // The editor will be hidden until the fold action is completed (if collapsed) or immediately if not collapsed.
-      style={isReady ? undefined : { height: "0px", overflow: "hidden" }}
+      border="1px solid"
+      borderColor="border.emphasized"
+      borderRadius="md"
+      overflow="hidden"
       {...rest}
     >
       <Editor
-        height={`${editorHeight}px`}
+        beforeMount={beforeMount}
+        height={height}
         language="json"
         onMount={handleMount}
         options={{
diff --git a/airflow-core/src/airflow/ui/src/context/colorMode/index.ts b/airflow-core/src/airflow/ui/src/context/colorMode/index.ts
index 30edc0a3216e3..b8d579a2d7997 100644
--- a/airflow-core/src/airflow/ui/src/context/colorMode/index.ts
+++ b/airflow-core/src/airflow/ui/src/context/colorMode/index.ts
@@ -19,3 +19,4 @@
 
 export * from "./ColorModeProvider";
 export * from "./useColorMode";
+export * from "./useMonacoTheme";
diff --git a/airflow-core/src/airflow/ui/src/context/colorMode/useMonacoTheme.ts b/airflow-core/src/airflow/ui/src/context/colorMode/useMonacoTheme.ts
new file mode 100644
index 0000000000000..6dbb386cccf31
--- /dev/null
+++ b/airflow-core/src/airflow/ui/src/context/colorMode/useMonacoTheme.ts
@@ -0,0 +1,95 @@
+/*!
+ * Licensed to the Apache Software Foundation (ASF) under one
+ * or more contributor license agreements.  See the NOTICE file
+ * distributed with this work for additional information
+ * regarding copyright ownership.  The ASF licenses this file
+ * to you under the Apache License, Version 2.0 (the
+ * "License"); you may not use this file except in compliance
+ * with the License.  You may obtain a copy of the License at
+ *
+ *   http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing,
+ * software distributed under the License is distributed on an
+ * "AS IS" BASIS, WITHOUT WARRANTIES OR CONDITIONS OF ANY
+ * KIND, either express or implied.  See the License for the
+ * specific language governing permissions and limitations
+ * under the License.
+ */
+import type { Monaco } from "@monaco-editor/react";
+import { useCallback } from "react";
+
+import { useColorMode } from "./useColorMode";
+
+const cssVarToHex = (cssVar: string): string => {
+  const value = getComputedStyle(document.documentElement).getPropertyValue(cssVar).trim();
+  const canvas = document.createElement("canvas");
+
+  canvas.width = 1;
+  canvas.height = 1;
+  const ctx = canvas.getContext("2d");
+
+  if (!ctx || !value) {
+    return "#000000";
+  }
+  ctx.fillStyle = value;
+  ctx.fillRect(0, 0, 1, 1);
+  const [red = 0, green = 0, blue = 0] = ctx.getImageData(0, 0, 1, 1).data;
+
+  return `#${red.toString(16).padStart(2, "0")}${green.toString(16).padStart(2, "0")}${blue.toString(16).padStart(2, "0")}`;
+};
+
+const defineMonacoThemes = (monaco: Monaco) => {
+  monaco.editor.defineTheme("airflow-light", {
+    base: "vs",
+    colors: {
+      "editor.background": cssVarToHex("--chakra-colors-gray-50"),
+      "editor.foreground": cssVarToHex("--chakra-colors-gray-900"),
+      "editor.inactiveSelectionBackground": cssVarToHex("--chakra-colors-gray-200"),
+      "editor.selectionBackground": cssVarToHex("--chakra-colors-brand-200"),
+      "editorGutter.background": cssVarToHex("--chakra-colors-gray-100"),
+      "editorLineNumber.activeForeground": cssVarToHex("--chakra-colors-gray-700"),
+      "editorLineNumber.foreground": cssVarToHex("--chakra-colors-gray-400"),
+      "editorSuggestWidget.background": cssVarToHex("--chakra-colors-gray-50"),
+      "editorWidget.background": cssVarToHex("--chakra-colors-gray-50"),
+      "editorWidget.border": cssVarToHex("--chakra-colors-gray-300"),
+      "scrollbarSlider.background": cssVarToHex("--chakra-colors-gray-300"),
+      "scrollbarSlider.hoverBackground": cssVarToHex("--chakra-colors-gray-400"),
+    },
+    inherit: true,
+    rules: [],
+  });
+
+  monaco.editor.defineTheme("airflow-dark", {
+    base: "vs-dark",
+    colors: {
+      "editor.background": cssVarToHex("--chakra-colors-gray-900"),
+      "editor.foreground": cssVarToHex("--chakra-colors-gray-100"),
+      "editor.inactiveSelectionBackground": cssVarToHex("--chakra-colors-gray-800"),
+      "editor.selectionBackground": cssVarToHex("--chakra-colors-brand-800"),
+      "editorGutter.background": cssVarToHex("--chakra-colors-gray-950"),
+      "editorLineNumber.activeForeground": cssVarToHex("--chakra-colors-gray-300"),
+      "editorLineNumber.foreground": cssVarToHex("--chakra-colors-gray-500"),
+      "editorSuggestWidget.background": cssVarToHex("--chakra-colors-gray-900"),
+      "editorWidget.background": cssVarToHex("--chakra-colors-gray-900"),
+      "editorWidget.border": cssVarToHex("--chakra-colors-gray-700"),
+      "scrollbarSlider.background": cssVarToHex("--chakra-colors-gray-700"),
+      "scrollbarSlider.hoverBackground": cssVarToHex("--chakra-colors-gray-600"),
+    },
+    inherit: true,
+    rules: [],
+  });
+};
+
+export const useMonacoTheme = () => {
+  const { colorMode } = useColorMode();
+
+  const beforeMount = useCallback((monaco: Monaco) => {
+    defineMonacoThemes(monaco);
+  }, []);
+
+  return {
+    beforeMount,
+    theme: colorMode === "dark" ? "airflow-dark" : "airflow-light",
+  };
+};
diff --git a/airflow-core/src/airflow/ui/src/pages/Dag/Code/Code.tsx b/airflow-core/src/airflow/ui/src/pages/Dag/Code/Code.tsx
index 3d023c9f0904f..a3dd224f890d9 100644
--- a/airflow-core/src/airflow/ui/src/pages/Dag/Code/Code.tsx
+++ b/airflow-core/src/airflow/ui/src/pages/Dag/Code/Code.tsx
@@ -38,7 +38,7 @@ import { ErrorAlert } from "src/components/ErrorAlert";
 import Time from "src/components/Time";
 import { ClipboardRoot, ClipboardButton, Tooltip } from "src/components/ui";
 import { ProgressBar } from "src/components/ui";
-import { useColorMode } from "src/context/colorMode";
+import { useMonacoTheme } from "src/context/colorMode";
 import useSelectedVersion from "src/hooks/useSelectedVersion";
 import { useConfig } from "src/queries/useConfig";
 import { renderDuration } from "src/utils";
@@ -115,7 +115,7 @@ export const Code = () => {
     setIsCompareDropdownOpen(false);
   };
 
-  const { colorMode } = useColorMode();
+  const { beforeMount, theme } = useMonacoTheme();
 
   useHotkeys("w", toggleWrap);
 
@@ -137,8 +137,6 @@ export const Code = () => {
     wordWrap: wrap ? "on" : "off",
   };
 
-  const theme = colorMode === "dark" ? "vs-dark" : "vs-light";
-
   const hasMultipleVersions = (dagVersions?.dag_versions.length ?? 0) >= 2;
 
   return (
@@ -278,6 +276,7 @@ export const Code = () => {
             <FileLocation fileloc={dag.fileloc} relativeFileloc={dag.relative_fileloc} />
           )}
           <Editor
+            beforeMount={beforeMount}
             language="python"
             options={editorOptions}
             theme={theme}
diff --git a/airflow-core/src/airflow/ui/src/pages/Dag/Code/CodeDiffViewer.tsx b/airflow-core/src/airflow/ui/src/pages/Dag/Code/CodeDiffViewer.tsx
index 8ca2a6e41cbcb..08acae1b42a76 100644
--- a/airflow-core/src/airflow/ui/src/pages/Dag/Code/CodeDiffViewer.tsx
+++ b/airflow-core/src/airflow/ui/src/pages/Dag/Code/CodeDiffViewer.tsx
@@ -19,7 +19,7 @@
 import { Box } from "@chakra-ui/react";
 import { DiffEditor, type DiffEditorProps } from "@monaco-editor/react";
 
-import { useColorMode } from "src/context/colorMode";
+import { useMonacoTheme } from "src/context/colorMode";
 
 type CodeDiffViewerProps = {
   readonly height?: string;
@@ -36,7 +36,7 @@ export const CodeDiffViewer = ({
   originalCode,
   renderSideBySide = true,
 }: CodeDiffViewerProps) => {
-  const { colorMode } = useColorMode();
+  const { beforeMount, theme } = useMonacoTheme();
 
   const diffOptions: DiffEditorProps["options"] = {
     automaticLayout: true,
@@ -62,8 +62,6 @@ export const CodeDiffViewer = ({
     },
   };
 
-  const theme = colorMode === "dark" ? "vs-dark" : "vs-light";
-
   return (
     <Box
       css={{
@@ -76,6 +74,7 @@ export const CodeDiffViewer = ({
       zIndex={1}
     >
       <DiffEditor
+        beforeMount={beforeMount}
         language={language}
         modified={modifiedCode}
         options={diffOptions}