diff --git a/packages/core/src/kiwi/instance-overrides.ts b/packages/core/src/kiwi/instance-overrides.ts
index 17023b434..72d64bd9e 100644
--- a/packages/core/src/kiwi/instance-overrides.ts
+++ b/packages/core/src/kiwi/instance-overrides.ts
@@ -64,38 +64,55 @@ export function populateAndApplyOverrides(
   guidToNodeId: Map<string, string>,
   blobs: Uint8Array[] = []
 ): void {
-  // Work-queue population: seed with empty instances, then discover newly
-  // cloned nested instances by walking the subtree (avoids full graph scan per round).
-  const populateQueue: string[] = []
-  for (const node of graph.getAllNodes()) {
-    if (node.type === 'INSTANCE' && node.componentId && node.childIds.length === 0) {
-      populateQueue.push(node.id)
-    }
-  }
+  // Populate empty INSTANCE nodes from their source components. Instances
+  // must be populated bottom-up: if an instance's source is itself an
+  // unpopulated instance, populate the source first so cloned children
+  // are complete.
+  function ensurePopulated(nodeId: string, visiting: Set<string>): void {
+    const node = graph.getNode(nodeId)
+    if (!node || node.type !== 'INSTANCE' || !node.componentId || node.childIds.length > 0) return
+    if (visiting.has(nodeId)) return
+    visiting.add(nodeId)
 
-  function collectEmptyInstances(parentId: string, out: string[]) {
-    const parent = graph.getNode(parentId)
-    if (!parent) return
-    for (const childId of parent.childIds) {
+    const comp = graph.getNode(node.componentId)
+    if (!comp) return
+
+    // If the source is an unpopulated instance, populate it first
+    if (comp.type === 'INSTANCE' && comp.componentId && comp.childIds.length === 0) {
+      ensurePopulated(comp.id, visiting)
+    }
+    // Also ensure children of the source are populated (nested instances)
+    for (const childId of comp.childIds) {
       const child = graph.getNode(childId)
-      if (!child) continue
-      if (child.type === 'INSTANCE' && child.componentId && child.childIds.length === 0) {
-        out.push(child.id)
-      } else if (child.childIds.length > 0) {
-        collectEmptyInstances(childId, out)
+      if (child?.type === 'INSTANCE' && child.componentId && child.childIds.length === 0) {
+        ensurePopulated(childId, visiting)
       }
     }
+
+    if (comp.childIds.length > 0 && node.childIds.length === 0) {
+      graph.populateInstanceChildren(nodeId, node.componentId)
+    }
   }
 
-  while (populateQueue.length > 0) {
-    const nodeId = populateQueue.pop()
-    if (!nodeId) continue
-    const node = graph.getNode(nodeId)
-    if (node?.type !== 'INSTANCE' || !node.componentId || node.childIds.length > 0) continue
-    const comp = graph.getNode(node.componentId)
-    if (comp && comp.childIds.length > 0) {
-      graph.populateInstanceChildren(nodeId, node.componentId)
-      collectEmptyInstances(nodeId, populateQueue)
+  const visiting = new Set<string>()
+  for (const node of graph.getAllNodes()) {
+    if (node.type === 'INSTANCE' && node.componentId && node.childIds.length === 0) {
+      ensurePopulated(node.id, visiting)
+    }
+  }
+  // Second pass: cloning may have introduced new empty instances not seen
+  // in the first pass (nested clones). Repeat until stable.
+  let changed = true
+  while (changed) {
+    changed = false
+    for (const node of graph.getAllNodes()) {
+      if (node.type === 'INSTANCE' && node.componentId && node.childIds.length === 0) {
+        const comp = graph.getNode(node.componentId)
+        if (comp && comp.childIds.length > 0) {
+          graph.populateInstanceChildren(node.id, node.componentId)
+          changed = true
+        }
+      }
     }
   }
 
@@ -282,15 +299,24 @@ export function populateAndApplyOverrides(
         }
       }
 
-      // Also apply from cloned instance sources — after population, cloned
-      // instances have componentId pointing to the original kiwi node
+      // Walk the componentId chain to find a kiwi source with assignments.
+      // Cloned instances may be several levels deep (clone of clone of …),
+      // so a single-hop lookup is insufficient.
       if (!node.componentId) continue
-      const sourceFigmaId = nodeIdToGuid.get(node.componentId)
-      if (!sourceFigmaId) continue
-      const assignments = assignmentSources.get(sourceFigmaId)
-      if (!assignments) continue
-
-      applyPropAssignments(node.id, assignmentsToValueMap(assignments), propRefsMap)
+      let sourceId: string | undefined = node.componentId
+      for (let depth = 0; sourceId && depth < 20; depth++) {
+        const figmaId = nodeIdToGuid.get(sourceId)
+        if (figmaId) {
+          const assignments = assignmentSources.get(figmaId)
+          if (assignments) {
+            applyPropAssignments(node.id, assignmentsToValueMap(assignments), propRefsMap)
+            break
+          }
+        }
+        const n = graph.getNode(sourceId)
+        if (!n?.componentId || n.componentId === sourceId) break
+        sourceId = n.componentId
+      }
     }
   }
 
@@ -528,7 +554,8 @@ export function populateAndApplyOverrides(
         overriddenNodes.add(targetId)
 
         if (ov.overriddenSymbolID) {
-          const newCompId = guidToNodeId.get(guidToString(ov.overriddenSymbolID))
+          const swapGuid = guidToString(ov.overriddenSymbolID)
+          const newCompId = guidToNodeId.get(swapGuid)
           if (newCompId) repopulateInstance(targetId, newCompId)
         }
 
@@ -666,11 +693,9 @@ export function populateAndApplyOverrides(
   }
 
   // Order matters:
-  // 1. symbolOverrides — set property values and swap instances
-  // 2. transitive sync — propagate overrides through clone chains (may
-  //    repopulate INSTANCE children, wiping any earlier property changes)
+  // 1. symbolOverrides — set property values and swap instances (kiwi + clones)
+  // 2. transitive sync — propagate overrides through remaining clone chains
   // 3. componentProperties — toggle visibility / swap via prop assignments
-  //    (must run AFTER sync so repopulated children aren't lost)
   // 4. derivedSymbolData — apply Figma's pre-computed sizes last
   const overriddenNodes = applySymbolOverrides()
 
@@ -678,7 +703,5 @@ export function populateAndApplyOverrides(
 
   applyComponentProperties()
 
-  // DSD resolution runs AFTER overrides so guidPaths can reach children
-  // of instance-swapped nodes (repopulateInstance replaces children).
   applyDerivedSymbolData()
 }