diff --git a/tabby-terminal/src/frontends/xtermFrontend.ts b/tabby-terminal/src/frontends/xtermFrontend.ts
index a96d468388..c8243fe3bb 100644
--- a/tabby-terminal/src/frontends/xtermFrontend.ts
+++ b/tabby-terminal/src/frontends/xtermFrontend.ts
@@ -14,7 +14,7 @@ import { SerializeAddon } from '@xterm/addon-serialize'
 import { ImageAddon } from '@xterm/addon-image'
 import { CanvasAddon } from '@xterm/addon-canvas'
 import { BaseTerminalProfile, TerminalColorScheme } from '../api/interfaces'
-import { getTerminalBackgroundColor } from '../helpers'
+import { getXtermBackgroundColor } from '../helpers'
 import './xterm.css'
 
 const COLOR_NAMES = [
@@ -394,7 +394,7 @@ export class XTermFrontend extends Frontend {
             foreground: scheme.foreground,
             selectionBackground: scheme.selection ?? '#88888888',
             selectionForeground: scheme.selectionForeground ?? undefined,
-            background: getTerminalBackgroundColor(this.configService, this.themes, scheme) ?? '#00000000',
+            background: getXtermBackgroundColor(this.configService, this.themes, scheme),
             cursor: scheme.cursor,
             cursorAccent: scheme.cursorAccent,
             overviewRulerBorder: scheme.background,
diff --git a/tabby-terminal/src/helpers.ts b/tabby-terminal/src/helpers.ts
index ebfd255369..8e1d57122c 100644
--- a/tabby-terminal/src/helpers.ts
+++ b/tabby-terminal/src/helpers.ts
@@ -1,13 +1,21 @@
 import { TerminalColorScheme } from './api/interfaces'
 import { ConfigService, ThemesService } from 'tabby-core'
 
+function getActiveTerminalTheme (
+    themes: ThemesService,
+): { appTheme: ReturnType<ThemesService['findCurrentTheme']>, appColorScheme: TerminalColorScheme } {
+    const appTheme = themes.findCurrentTheme()
+    const appColorScheme = themes._getActiveColorScheme() as TerminalColorScheme
+
+    return { appTheme, appColorScheme }
+}
+
 export function getTerminalBackgroundColor (
     config: ConfigService,
     themes: ThemesService,
     scheme: TerminalColorScheme | null,
 ): string|null {
-    const appTheme = themes.findCurrentTheme()
-    const appColorScheme = themes._getActiveColorScheme() as TerminalColorScheme
+    const { appTheme, appColorScheme } = getActiveTerminalTheme(themes)
 
     // Use non transparent background when:
     // - legacy theme and user choses colorScheme based BG
@@ -19,3 +27,17 @@ export function getTerminalBackgroundColor (
 
     return shouldUseCSBackground && scheme ? scheme.background : null
 }
+
+export function getXtermBackgroundColor (
+    config: ConfigService,
+    themes: ThemesService,
+    scheme: TerminalColorScheme | null,
+): string {
+    const configuredBackground = getTerminalBackgroundColor(config, themes, scheme)
+    if (configuredBackground) {
+        return configuredBackground
+    }
+
+    const { appTheme, appColorScheme } = getActiveTerminalTheme(themes)
+    return appTheme.followsColorScheme ? appColorScheme.background : appTheme.terminalBackground
+}