diff --git a/crates/wast/src/component/expand.rs b/crates/wast/src/component/expand.rs
index a58ad5b007..a35104127a 100644
--- a/crates/wast/src/component/expand.rs
+++ b/crates/wast/src/component/expand.rs
@@ -488,6 +488,7 @@ impl<'a> Expander<'a> {
                         name: None,
                         def: key.to_def(item.span),
                         parent: None,
+                        final_type: None,
                     }));
                     let idx = Index::Id(id);
                     t.index = Some(idx);
diff --git a/crates/wast/src/core/binary.rs b/crates/wast/src/core/binary.rs
index 5ae4752349..80f0080c5a 100644
--- a/crates/wast/src/core/binary.rs
+++ b/crates/wast/src/core/binary.rs
@@ -173,10 +173,25 @@ impl Encode for RecOrType<'_> {
 
 impl Encode for Type<'_> {
     fn encode(&self, e: &mut Vec<u8>) {
-        if let Some(parent) = &self.parent {
-            e.push(0x50);
-            (1 as usize).encode(e);
-            parent.encode(e);
+        match (&self.parent, self.final_type) {
+            (Some(parent), Some(true)) => {
+                // Type is final with a supertype
+                e.push(0x4e);
+                e.push(0x01);
+                parent.encode(e);
+            }
+            (Some(parent), Some(false) | None) => {
+                // Type is not final and has a declared supertype
+                e.push(0x50);
+                e.push(0x01);
+                parent.encode(e);
+            }
+            (None, Some(false)) => {
+                // Sub was used without any declared supertype
+                e.push(0x50);
+                e.push(0x00);
+            }
+            (None, _) => {} // No supertype, sub wasn't used
         }
         match &self.def {
             TypeDef::Func(func) => {
diff --git a/crates/wast/src/core/resolve/types.rs b/crates/wast/src/core/resolve/types.rs
index b3cc76d1f9..aaf2988c18 100644
--- a/crates/wast/src/core/resolve/types.rs
+++ b/crates/wast/src/core/resolve/types.rs
@@ -218,6 +218,7 @@ impl<'a> Expander<'a> {
             name: None,
             def: key.to_def(span),
             parent: None,
+            final_type: None,
         }));
         let idx = Index::Id(id);
         key.insert(self, idx);
diff --git a/crates/wast/src/core/types.rs b/crates/wast/src/core/types.rs
index 9abb906806..5cf7beccaa 100644
--- a/crates/wast/src/core/types.rs
+++ b/crates/wast/src/core/types.rs
@@ -724,6 +724,8 @@ pub struct Type<'a> {
     pub def: TypeDef<'a>,
     /// The declared parent type of this definition.
     pub parent: Option<Index<'a>>,
+    /// Whether this type is final or not. By default types are final.
+    pub final_type: Option<bool>,
 }
 
 impl<'a> Peek for Type<'a> {
@@ -741,19 +743,28 @@ impl<'a> Parse<'a> for Type<'a> {
         let id = parser.parse()?;
         let name = parser.parse()?;
 
-        let (parent, def) = if parser.peek2::<kw::sub>() {
+        let (parent, def, final_type) = if parser.peek2::<kw::sub>() {
             parser.parens(|parser| {
                 parser.parse::<kw::sub>()?;
+
+                let final_type: Option<bool> =
+                if parser.peek::<kw::r#final>() {
+                    parser.parse::<kw::r#final>()?;
+                    Some(true)
+                } else {
+                    Some(false)
+                };
+
                 let parent = if parser.peek::<Index<'a>>() {
                     parser.parse()?
                 } else {
                     None
                 };
                 let def = parser.parens(|parser| parser.parse())?;
-                Ok((parent, def))
+                Ok((parent, def, final_type))
             })?
         } else {
-            (None, parser.parens(|parser| parser.parse())?)
+            (None, parser.parens(|parser| parser.parse())?, None)
         };
 
         Ok(Type {
@@ -762,6 +773,7 @@ impl<'a> Parse<'a> for Type<'a> {
             name,
             def,
             parent,
+            final_type,
         })
     }
 }
diff --git a/crates/wast/src/lib.rs b/crates/wast/src/lib.rs
index 90142d8a49..2952ecd6fa 100644
--- a/crates/wast/src/lib.rs
+++ b/crates/wast/src/lib.rs
@@ -474,6 +474,7 @@ pub mod kw {
     custom_keyword!(shared);
     custom_keyword!(start);
     custom_keyword!(sub);
+    custom_keyword!(r#final = "final");
     custom_keyword!(table);
     custom_keyword!(then);
     custom_keyword!(r#try = "try");
diff --git a/tests/local/gc/gc-rec-sub.wat b/tests/local/gc/gc-rec-sub.wat
index 527f3abfe2..cfea4f732a 100644
--- a/tests/local/gc/gc-rec-sub.wat
+++ b/tests/local/gc/gc-rec-sub.wat
@@ -35,5 +35,8 @@
   (rec
     (type (sub $a (func)))
   )
+  (rec
+    (type (sub final $a (func)))
+  )
   (type (sub $a (func)))
 )