diff --git a/crates/engine/src/contact_sheet.rs b/crates/engine/src/contact_sheet.rs
index 663d6f826..e83ad8c67 100644
--- a/crates/engine/src/contact_sheet.rs
+++ b/crates/engine/src/contact_sheet.rs
@@ -138,7 +138,8 @@ impl Prepared {
                         size: 0.5,
                         opacity: 1.0,
                         anchor: Anchor::Center,
-                        inset: 0.0,
+                        inset_x: 0.0,
+                        inset_y: 0.0,
                         color: [32; 3],
                         shadow: false,
                         ..Default::default()
@@ -305,7 +306,8 @@ mod tests {
                 size: 0.5,
                 opacity: 1.0,
                 anchor: Anchor::Center,
-                inset: 0.0,
+                inset_x: 0.0,
+                inset_y: 0.0,
                 color: [32; 3],
                 shadow: false,
                 ..Default::default()
@@ -320,7 +322,8 @@ mod tests {
                 size: 0.5,
                 opacity: 1.0,
                 anchor: Anchor::Center,
-                inset: 0.0,
+                inset_x: 0.0,
+                inset_y: 0.0,
                 color: [32; 3],
                 shadow: false,
                 ..Default::default()
diff --git a/crates/engine/src/export.rs b/crates/engine/src/export.rs
index 6a9e9147c..1f1f72b5a 100644
--- a/crates/engine/src/export.rs
+++ b/crates/engine/src/export.rs
@@ -209,8 +209,12 @@ pub struct Watermark {
     /// 0..1.
     pub opacity: f32,
     pub anchor: Anchor,
-    /// Margin as a fraction of the short edge.
-    pub inset: f32,
+    /// Margin from the left or right edge, as a fraction of the short edge (unused when the anchor
+    /// is centred across: top, center, bottom).
+    pub inset_x: f32,
+    /// Margin from the top or bottom edge, as a fraction of the short edge (unused when the anchor
+    /// is centred down: left, center, right).
+    pub inset_y: f32,
     /// sRGB colour.
     pub color: [u8; 3],
     /// Soft dark drop shadow for legibility on bright areas.
@@ -232,7 +236,8 @@ impl Default for Watermark {
             size: 0.035,
             opacity: 0.7,
             anchor: Anchor::BottomRight,
-            inset: 0.025,
+            inset_x: 0.025,
+            inset_y: 0.025,
             color: [255; 3],
             shadow: true,
             image: String::new(),
@@ -438,18 +443,18 @@ fn watermark_coverage(
         }
     }
     let (tw, th) = if wm.vertical { (columns as f32 * px, tw.max(y)) } else { (tw.max(x), y + px) };
-    let inset = wm.inset.clamp(0.0, 0.4) * short;
+    let (ix, iy) = (wm.inset_x.clamp(0.0, 0.4) * short, wm.inset_y.clamp(0.0, 0.4) * short);
     let (w, h) = (width as f32, height as f32);
     use Anchor::*;
     let ox = match wm.anchor {
-        TopLeft | Left | BottomLeft => inset,
+        TopLeft | Left | BottomLeft => ix,
         Top | Center | Bottom => (w - tw) / 2.0,
-        TopRight | Right | BottomRight => w - inset - tw,
+        TopRight | Right | BottomRight => w - ix - tw,
     };
     let oy = match wm.anchor {
-        TopLeft | Top | TopRight => inset,
+        TopLeft | Top | TopRight => iy,
         Left | Center | Right => (h - th) / 2.0,
-        BottomLeft | Bottom | BottomRight => h - inset - th,
+        BottomLeft | Bottom | BottomRight => h - iy - th,
     };
     let alpha = wm.opacity.clamp(0.0, 1.0);
     let mut blend = |gx: i32, gy: i32, cov: f32, col: [u8; 3], a: f32| {
@@ -514,19 +519,20 @@ fn logo_coverage(width: usize, height: usize, wm: &Watermark, mut blend_px: impl
         [p[0] as f32 * a, p[1] as f32 * a, p[2] as f32 * a, a]
     });
     let scaled = lightcraft_raster::resample::resize(&pre, lw, lh, lightcraft_raster::resample::Filter::Mitchell);
-    let inset = wm.inset.clamp(0.0, 0.4) * width.min(height) as f32;
+    let short = width.min(height) as f32;
+    let (ix, iy) = (wm.inset_x.clamp(0.0, 0.4) * short, wm.inset_y.clamp(0.0, 0.4) * short);
     let (w, h, lwf, lhf) = (width as f32, height as f32, lw as f32, lh as f32);
     use Anchor::*;
     let ox = match wm.anchor {
-        TopLeft | Left | BottomLeft => inset,
+        TopLeft | Left | BottomLeft => ix,
         Top | Center | Bottom => (w - lwf) / 2.0,
-        TopRight | Right | BottomRight => w - inset - lwf,
+        TopRight | Right | BottomRight => w - ix - lwf,
     }
     .max(0.0) as usize;
     let oy = match wm.anchor {
-        TopLeft | Top | TopRight => inset,
+        TopLeft | Top | TopRight => iy,
         Left | Center | Right => (h - lhf) / 2.0,
-        BottomLeft | Bottom | BottomRight => h - inset - lhf,
+        BottomLeft | Bottom | BottomRight => h - iy - lhf,
     }
     .max(0.0) as usize;
     let space = wm.target.unwrap_or(OutputSpace::Srgb);
@@ -667,8 +673,10 @@ pub const OPTION_PARAMS: &[&str] = &[
     "hdr",
 ];
 
-/// The keys of a `watermark` object ([`Watermark`], camelCase).
-pub const WATERMARK_PARAMS: &[&str] = &["text", "vertical", "size", "opacity", "anchor", "inset", "color", "shadow", "image", "imageWidth"];
+/// The keys of a `watermark` object ([`Watermark`], camelCase). `inset` sets `insetX` and `insetY`
+/// together (what versions before the two margins wrote); either of those, when given, wins.
+pub const WATERMARK_PARAMS: &[&str] =
+    &["text", "vertical", "size", "opacity", "anchor", "insetX", "insetY", "inset", "color", "shadow", "image", "imageWidth"];
 
 /// Text height as a fraction of the short edge: the range the renderer draws without clamping.
 pub const WATERMARK_SIZE_RANGE: (f32, f32) = (0.005, 0.5);
@@ -710,6 +718,19 @@ fn whole(v: &serde_json::Value) -> Option<i64> {
     v.as_i64()
 }
 
+/// A `watermark` object as a [`Watermark`]; a legacy `inset` fills whichever of `insetX` and
+/// `insetY` is missing.
+fn watermark_from_json(v: &serde_json::Value) -> serde_json::Result<Watermark> {
+    let mut v = v.clone();
+    if let Some(o) = v.as_object_mut()
+        && let Some(inset) = o.remove("inset")
+    {
+        o.entry("insetX").or_insert_with(|| inset.clone());
+        o.entry("insetY").or_insert(inset);
+    }
+    serde_json::from_value(v)
+}
+
 impl ExportOptions {
     /// Stored export settings (a saved preset, `prefs.json ▸ lastExport`) with the keys an older or
     /// newer version may have written and this one doesn't know dropped, also inside `watermark`.
@@ -841,7 +862,7 @@ impl ExportOptions {
             Value::Object(o) => o,
             _ => {
                 return Err(bad(
-                    "`watermark` must be text or an object {text, vertical, size, opacity, anchor, inset, color, shadow, image, imageWidth}".into(),
+                    "`watermark` must be text or an object {text, vertical, size, opacity, anchor, insetX, insetY, inset, color, shadow, image, imageWidth}".into(),
                 ));
             }
         };
@@ -864,7 +885,7 @@ impl ExportOptions {
                 }
                 "size" => frac(k, v, WATERMARK_SIZE_RANGE, "fraction of the short edge")?,
                 "opacity" => frac(k, v, (0.0, 1.0), "0 = invisible, 1 = solid")?,
-                "inset" => frac(k, v, WATERMARK_INSET_RANGE, "fraction of the short edge")?,
+                "insetX" | "insetY" | "inset" => frac(k, v, WATERMARK_INSET_RANGE, "fraction of the short edge")?,
                 "imageWidth" => frac(k, v, WATERMARK_IMAGE_WIDTH_RANGE, "fraction of the photo's width")?,
                 "anchor" => {
                     serde_json::from_value::<Anchor>(v.clone()).map_err(|_| {
@@ -880,7 +901,7 @@ impl ExportOptions {
                 _ => return Err(bad(unknown_key("watermark key", k, WATERMARK_PARAMS))),
             }
         }
-        serde_json::from_value::<Watermark>(v.clone()).map(|_| ()).map_err(|e| bad(format!("`watermark`: {e}")))
+        watermark_from_json(v).map(|_| ()).map_err(|e| bad(format!("`watermark`: {e}")))
     }
 
     /// Read options from command params (`format`, `quality`, `limitKb`, `sharpen`, `sharpenAmount`,
@@ -923,7 +944,7 @@ impl ExportOptions {
             remove_location: p.get("removeLocation").and_then(Value::as_bool).unwrap_or(d.remove_location),
             watermark: match p.get("watermark") {
                 Some(Value::String(t)) => Some(Watermark { text: t.clone(), ..Default::default() }),
-                Some(v @ Value::Object(_)) => serde_json::from_value(v.clone()).ok(),
+                Some(v @ Value::Object(_)) => watermark_from_json(v).ok(),
                 _ => None,
             }
             .filter(|w: &Watermark| !w.text.trim().is_empty() || !w.image.trim().is_empty()),
@@ -1996,6 +2017,40 @@ mod tests {
         assert!(ExportOptions::from_json(&serde_json::json!({"watermark": ""})).watermark.is_none());
     }
 
+    /// Horizontal and vertical margins move a text watermark separately; settings saved with one
+    /// `inset` (before the two margins) read as both, and either new key overrides it.
+    #[test]
+    fn watermark_insets_are_horizontal_and_vertical() {
+        // gaps between the drawn text and the right and bottom edges of a 400 × 300 image
+        let gaps = |wm: &Watermark| {
+            let mut img = Rgba8::new(400, 300);
+            draw_watermark(&mut img, wm);
+            let lit: Vec<(usize, usize)> = (0..300).flat_map(|y| (0..400).map(move |x| (x, y))).filter(|&(x, y)| img.get(x, y)[0] > 128).collect();
+            let right = lit.iter().map(|p| p.0).max().unwrap();
+            let bottom = lit.iter().map(|p| p.1).max().unwrap();
+            (399 - right as i64, 299 - bottom as i64)
+        };
+        let base = Watermark { text: "LC".into(), size: 0.1, opacity: 1.0, shadow: false, inset_x: 0.0, inset_y: 0.0, ..Default::default() };
+        let (r0, b0) = gaps(&base);
+        // 0.2 and 0.1 of the 300 px short edge
+        let (r1, b1) = gaps(&Watermark { inset_x: 0.2, ..base.clone() });
+        assert!((r1 - r0 - 60).abs() <= 1 && (b1 - b0).abs() <= 1, "horizontal: {r0},{b0} → {r1},{b1}");
+        let (r2, b2) = gaps(&Watermark { inset_y: 0.1, ..base.clone() });
+        assert!((r2 - r0).abs() <= 1 && (b2 - b0 - 30).abs() <= 1, "vertical: {r0},{b0} → {r2},{b2}");
+        // the old single margin
+        let wm = |w: serde_json::Value| ExportOptions::from_json(&json!({"watermark": w})).watermark.unwrap();
+        let old = wm(json!({"text": "LC", "inset": 0.1}));
+        assert_eq!((old.inset_x, old.inset_y), (0.1, 0.1));
+        let mixed = wm(json!({"text": "LC", "inset": 0.1, "insetY": 0.3}));
+        assert_eq!((mixed.inset_x, mixed.inset_y), (0.1, 0.3));
+        assert!(ExportOptions::from_params(&json!({"watermark": {"text": "LC", "inset": 0.1}})).is_ok());
+        // saved and read back as the two margins
+        let o = ExportOptions { watermark: Some(Watermark { inset_x: 0.05, inset_y: 0.15, ..base }), ..Default::default() };
+        let saved = o.to_json();
+        assert!(saved["watermark"].get("inset").is_none(), "{saved}");
+        assert_eq!(ExportOptions::from_json(&saved).watermark.map(|w| (w.inset_x, w.inset_y)), Some((0.05, 0.15)));
+    }
+
     fn vertical_japanese() -> Watermark {
         let options =
             ExportOptions::from_json(&json!({"watermark": {"text": "日本語", "vertical": true, "size": 0.1, "shadow": false, "opacity": 1.0}}));
@@ -2050,7 +2105,8 @@ mod tests {
             vertical: true,
             size: 0.1,
             anchor: Anchor::TopLeft,
-            inset: 0.0,
+            inset_x: 0.0,
+            inset_y: 0.0,
             shadow: false,
             opacity: 1.0,
             ..Default::default()
@@ -2075,7 +2131,8 @@ mod tests {
                 vertical: true,
                 size: 0.1,
                 anchor: Anchor::Center,
-                inset: 0.0,
+                inset_x: 0.0,
+                inset_y: 0.0,
                 shadow: false,
                 opacity: 1.0,
                 ..Default::default()
@@ -2137,7 +2194,7 @@ mod tests {
         let w = lit.iter().map(|p| p.0).max().unwrap() - lit.iter().map(|p| p.0).min().unwrap();
         let h = lit.iter().map(|p| p.1).max().unwrap() - lit.iter().map(|p| p.1).min().unwrap();
         assert!(h > w * 2, "vertical Japanese must extend down the column");
-        let two = Watermark { text: "日\n本".into(), anchor: Anchor::TopLeft, inset: 0.0, ..wm };
+        let two = Watermark { text: "日\n本".into(), anchor: Anchor::TopLeft, inset_x: 0.0, inset_y: 0.0, ..wm };
         img.data.fill([0, 0, 0, 255]);
         draw_watermark(&mut img, &two);
         for (text, dx) in [("本", 0), ("日", 30)] {
@@ -2163,13 +2220,27 @@ mod tests {
         std::fs::write(&logo_path, png).unwrap();
         let mut img = Rgba8::new(400, 300);
         img.data.iter_mut().for_each(|p| *p = [0, 0, 0, 255]);
-        let wm = Watermark { image: logo_path.to_string_lossy().into(), image_width: 0.25, opacity: 1.0, inset: 0.0, ..Default::default() };
+        let wm = Watermark {
+            image: logo_path.to_string_lossy().into(),
+            image_width: 0.25,
+            opacity: 1.0,
+            inset_x: 0.0,
+            inset_y: 0.0,
+            ..Default::default()
+        };
         draw_watermark(&mut img, &wm);
         // 100 px wide × 50 px high in the bottom-right corner
         assert!(img.get(310, 280)[0] > 200, "opaque half: {:?}", img.get(310, 280));
         assert_eq!(img.get(390, 280), [0, 0, 0, 255], "transparent half leaves the photo");
         assert_eq!(img.get(310, 240), [0, 0, 0, 255], "above the logo");
         assert_eq!(img.get(10, 10), [0, 0, 0, 255]);
+        // 30 px from the right edge and 15 px from the bottom: x 270..370, y 235..285
+        let mut img = Rgba8::new(400, 300);
+        img.data.iter_mut().for_each(|p| *p = [0, 0, 0, 255]);
+        draw_watermark(&mut img, &Watermark { inset_x: 0.1, inset_y: 0.05, ..wm.clone() });
+        assert!(img.get(272, 283)[0] > 200, "inside the moved logo: {:?}", img.get(272, 283));
+        assert_eq!(img.get(267, 283), [0, 0, 0, 255], "left of the logo");
+        assert_eq!(img.get(272, 288), [0, 0, 0, 255], "below the logo");
         // an image-only watermark survives the params (no text needed)
         let o = ExportOptions::from_json(&json!({"watermark": {"image": logo_path.to_string_lossy(), "imageWidth": 0.1}}));
         assert_eq!(o.watermark.as_ref().map(|w| w.image_width), Some(0.1));
@@ -2508,14 +2579,12 @@ mod tests {
     fn watermark_params_are_validated() {
         use serde_json::json;
         let err = |w: serde_json::Value| ExportOptions::from_params(&json!({"watermark": w})).err().map(|e| e.to_string()).unwrap_or_default();
-        assert!(
-            err(json!(5))
-                .contains("`watermark` must be text or an object {text, vertical, size, opacity, anchor, inset, color, shadow, image, imageWidth}")
-        );
-        assert!(
-            err(json!({"text": "x", "bogus": 1}))
-                .contains("unknown watermark key `bogus` (one of text, vertical, size, opacity, anchor, inset, color, shadow, image, imageWidth)")
-        );
+        assert!(err(json!(5)).contains(
+            "`watermark` must be text or an object {text, vertical, size, opacity, anchor, insetX, insetY, inset, color, shadow, image, imageWidth}"
+        ));
+        assert!(err(json!({"text": "x", "bogus": 1})).contains(
+            "unknown watermark key `bogus` (one of text, vertical, size, opacity, anchor, insetX, insetY, inset, color, shadow, image, imageWidth)"
+        ));
         assert!(err(json!({"text": "x", "sizee": 0.1})).contains("did you mean `size`"));
         for size in [json!(3), json!(0.5001), json!(0), json!("big")] {
             let e = err(json!({"text": "x", "size": size}));
@@ -2523,6 +2592,8 @@ mod tests {
         }
         assert!(err(json!({"text": "x", "opacity": 1.5})).contains("`watermark.opacity` must be a number 0..1"));
         assert!(err(json!({"text": "x", "inset": -0.1})).contains("`watermark.inset` must be a number 0..0.4"));
+        assert!(err(json!({"text": "x", "insetX": 0.5})).contains("`watermark.insetX` must be a number 0..0.4"));
+        assert!(err(json!({"text": "x", "insetY": "far"})).contains("`watermark.insetY` must be a number 0..0.4"));
         assert!(err(json!({"image": "logo.png", "imageWidth": 2})).contains("`watermark.imageWidth` must be a number 0.01..1"));
         assert!(err(json!({"text": "x", "anchor": "middle"})).contains("`watermark.anchor` must be one of"));
         assert!(err(json!({"text": "x", "color": [255, 255]})).contains("`watermark.color` must be [r, g, b]"));
diff --git a/crates/mcp/src/headless.rs b/crates/mcp/src/headless.rs
index acbecb60b..2c9497d84 100644
--- a/crates/mcp/src/headless.rs
+++ b/crates/mcp/src/headless.rs
@@ -131,7 +131,7 @@ impl Backend for Headless {
             "engine.commands" => {
                 let mut v: Vec<Value> = self.session.commands().into_iter().map(|c| serde_json::to_value(c).unwrap_or_default()).collect();
                 v.push(json!({"id": "app.export", "label": "Export Now", "menu": [], "shortcut": null,
-                    "params": "{path?: output file (.jpg/.png/.tif/.webp/.avif/.dng) | dir?, ids?, preset?, format?: jpeg|png|tiff|webp|avif|dng|original, longEdge?|shortEdge?|width?|height?|megapixels?|percent? (default longEdge 3000; longEdge 0 = full size), dontEnlarge?, ppi?, quality?: 1..100, limitKb?, colorSpace?: srgb|displayP3|adobeRgb|proPhoto|rec2020, bitDepth?: 8|10|16|32, hdr? (HDR output for HDR edits: gain map JPEG, float TIFF), sharpen?: none|screen|matte|glossy, sharpenAmount?: low|standard|high, metadata?: all|allExceptCamera|copyright|none, removeLocation?, naming?, startNumber?, subfolder?, conflict?: unique|overwrite|skip, tiffCompression?: none|lzw|zip, dngCompression?: lossless|deflate|uncompressed, watermark?: text | {text?, vertical? (upright columns, right to left), size? (text height, 0.005..0.5 of the short edge; default 0.035), opacity? (0..1; 0.7), anchor?: topLeft|top|topRight|left|center|right|bottomLeft|bottom|bottomRight, inset? (margin, 0..0.4 of the short edge; 0.025), color? [r,g,b] sRGB, shadow?, image? (graphic drawn instead of the text), imageWidth? (0.01..1 of the photo's width; 0.2)}} — an unknown parameter, an out-of-range watermark size or a value of the wrong kind is an error, not a default",
+                    "params": "{path?: output file (.jpg/.png/.tif/.webp/.avif/.dng) | dir?, ids?, preset?, format?: jpeg|png|tiff|webp|avif|dng|original, longEdge?|shortEdge?|width?|height?|megapixels?|percent? (default longEdge 3000; longEdge 0 = full size), dontEnlarge?, ppi?, quality?: 1..100, limitKb?, colorSpace?: srgb|displayP3|adobeRgb|proPhoto|rec2020, bitDepth?: 8|10|16|32, hdr? (HDR output for HDR edits: gain map JPEG, float TIFF), sharpen?: none|screen|matte|glossy, sharpenAmount?: low|standard|high, metadata?: all|allExceptCamera|copyright|none, removeLocation?, naming?, startNumber?, subfolder?, conflict?: unique|overwrite|skip, tiffCompression?: none|lzw|zip, dngCompression?: lossless|deflate|uncompressed, watermark?: text | {text?, vertical? (upright columns, right to left), size? (text height, 0.005..0.5 of the short edge; default 0.035), opacity? (0..1; 0.7), anchor?: topLeft|top|topRight|left|center|right|bottomLeft|bottom|bottomRight, insetX? (margin from the left/right edge, 0..0.4 of the short edge; 0.025), insetY? (from the top/bottom edge; 0.025), inset? (sets both), color? [r,g,b] sRGB, shadow?, image? (graphic drawn instead of the text), imageWidth? (0.01..1 of the photo's width; 0.2)}} — an unknown parameter, an out-of-range watermark size or a value of the wrong kind is an error, not a default",
                     "enabled": self.session.active().is_some()}));
                 Ok(Value::Array(v))
             }
diff --git a/crates/mcp/src/tools.rs b/crates/mcp/src/tools.rs
index dd52da402..16b9699b9 100644
--- a/crates/mcp/src/tools.rs
+++ b/crates/mcp/src/tools.rs
@@ -259,7 +259,7 @@ pub fn helper_tools(has_ui: bool) -> Vec<Value> {
                 "colorSpace": {"type": "string", "enum": ["srgb", "displayP3", "adobeRgb", "proPhoto", "rec2020"], "description": "Output colour space (default sRGB; AVIF is always sRGB). adobeRgb = Adobe RGB (1998) compatible; the embedded ICC profile is generated from the published primaries"},
                 "bitDepth": {"type": "integer", "enum": [8, 10, 16, 32], "description": "Bits per channel: PNG 8|16 (default 8), TIFF 8|16|32 (default 16; 32 = linear float with a linear profile), AVIF 8|10; JPEG/WebP are 8-bit"},
                 "hdr": {"type": "boolean", "description": "HDR output for photos edited in HDR (develop.hdr): JPEG as an ISO 21496-1 gain map JPEG, AVIF as 10-bit Rec. 2020 PQ, 32-bit TIFF with highlights above 1; other formats and SDR edits export as usual"},
-                "watermark": {"description": "Text, or {text, vertical (boolean; defaults to false: upright columns right to left), size (text height as a fraction of the short edge, 0.005..0.5; default 0.035), opacity (0..1; default 0.7), anchor (topLeft|top|topRight|left|center|right|bottomLeft|bottom|bottomRight), inset (margin as a fraction of the short edge, 0..0.4; default 0.025), color [r,g,b] (sRGB 0..255), shadow (boolean), image (path of a graphic drawn instead of the text), imageWidth (fraction of the photo's width, 0.01..1; default 0.2)}. Unknown keys and out-of-range sizes are errors"}
+                "watermark": {"description": "Text, or {text, vertical (boolean; defaults to false: upright columns right to left), size (text height as a fraction of the short edge, 0.005..0.5; default 0.035), opacity (0..1; default 0.7), anchor (topLeft|top|topRight|left|center|right|bottomLeft|bottom|bottomRight), insetX (margin from the left or right edge as a fraction of the short edge, 0..0.4; default 0.025), insetY (margin from the top or bottom edge, same units), inset (sets both), color [r,g,b] (sRGB 0..255), shadow (boolean), image (path of a graphic drawn instead of the text), imageWidth (fraction of the photo's width, 0.01..1; default 0.2)}. Unknown keys and out-of-range sizes are errors"}
             }),
             &[],
         ),
diff --git a/crates/ui-egui/locales/de.json b/crates/ui-egui/locales/de.json
index aa24e0f10..28c259a24 100644
--- a/crates/ui-egui/locales/de.json
+++ b/crates/ui-egui/locales/de.json
@@ -657,6 +657,7 @@
   "History & Activity (Y)": "Verlauf und Aktivität (Y)",
   "Home": "Persönlicher Ordner",
   "Horizontal": "Horizontal",
+  "Horizontal inset (% of short edge)": "Horizontaler Abstand (% der kurzen Kante)",
   "Horizontal text": "Horizontaler Text",
   "Hours": "Stunden",
   "Hue": "Farbton",
@@ -1562,6 +1563,7 @@
   "Versions": "Versionen",
   "Versions (Shift+V)": "Versionen (Umschalt+V)",
   "Vertical": "Vertikal",
+  "Vertical inset (% of short edge)": "Vertikaler Abstand (% der kurzen Kante)",
   "Vertical text": "Vertikaler Text",
   "Vibrance": "Dynamik",
   "Videos": "Videos",
diff --git a/crates/ui-egui/locales/es.json b/crates/ui-egui/locales/es.json
index c4f2e8357..9f02b8190 100644
--- a/crates/ui-egui/locales/es.json
+++ b/crates/ui-egui/locales/es.json
@@ -624,6 +624,7 @@
   "History & Activity (Y)": "Historial y actividad (Y)",
   "Home": "Carpeta personal",
   "Horizontal": "Horizontal",
+  "Horizontal inset (% of short edge)": "Margen horizontal (% del lado corto)",
   "Horizontal text": "Texto horizontal",
   "Hours": "Horas",
   "How to install the model": "Cómo instalar el modelo",
@@ -1501,6 +1502,7 @@
   "Versions": "Versiones",
   "Versions (Shift+V)": "Versiones (Mayús+V)",
   "Vertical": "Vertical",
+  "Vertical inset (% of short edge)": "Margen vertical (% del lado corto)",
   "Vertical text": "Texto vertical",
   "Vibrance": "Intensidad",
   "Videos": "Vídeos",
diff --git a/crates/ui-egui/locales/fr.json b/crates/ui-egui/locales/fr.json
index f3422bc0a..86ed164c2 100644
--- a/crates/ui-egui/locales/fr.json
+++ b/crates/ui-egui/locales/fr.json
@@ -624,6 +624,7 @@
   "History & Activity (Y)": "Historique et activité (Y)",
   "Home": "Dossier personnel",
   "Horizontal": "Horizontal",
+  "Horizontal inset (% of short edge)": "Marge horizontale (% du petit côté)",
   "Horizontal text": "Texte horizontal",
   "Hours": "Heures",
   "How to install the model": "Comment installer le modèle",
@@ -1499,6 +1500,7 @@
   "Versions": "Versions",
   "Versions (Shift+V)": "Versions (Maj+V)",
   "Vertical": "Vertical",
+  "Vertical inset (% of short edge)": "Marge verticale (% du petit côté)",
   "Vertical text": "Texte vertical",
   "Vibrance": "Vibrance",
   "Videos": "Vidéos",
diff --git a/crates/ui-egui/locales/ja.json b/crates/ui-egui/locales/ja.json
index a7a3a32ef..20553442f 100644
--- a/crates/ui-egui/locales/ja.json
+++ b/crates/ui-egui/locales/ja.json
@@ -507,6 +507,7 @@
   "Has GPS": "GPS情報",
   "High Contrast B&W": "ハイコントラスト白黒",
   "Home": "ホーム",
+  "Horizontal inset (% of short edge)": "水平方向の余白（短辺に対する%）",
   "Hours": "時間",
   "ISO Speed": "ISO感度",
   "ISO speed": "ISO感度",
@@ -1421,6 +1422,7 @@
   "Versions": "バージョン",
   "Versions (Shift+V)": "バージョン（⇧V）",
   "Vertical": "垂直",
+  "Vertical inset (% of short edge)": "垂直方向の余白（短辺に対する%）",
   "Vibrance": "自然な彩度",
   "Videos": "動画",
   "View": "表示",
diff --git a/crates/ui-egui/locales/pt-br.json b/crates/ui-egui/locales/pt-br.json
index c3d9a8d78..1a8619599 100644
--- a/crates/ui-egui/locales/pt-br.json
+++ b/crates/ui-egui/locales/pt-br.json
@@ -630,6 +630,7 @@
   "History & Activity (Y)": "Histórico e atividade (Y)",
   "Home": "Pasta pessoal",
   "Horizontal": "Horizontal",
+  "Horizontal inset (% of short edge)": "Margem horizontal (% da aresta curta)",
   "Horizontal text": "Texto horizontal",
   "Hours": "Horas",
   "How to install the model": "Como instalar o modelo",
@@ -1512,6 +1513,7 @@
   "Versions": "Versões",
   "Versions (Shift+V)": "Versões (Shift+V)",
   "Vertical": "Vertical",
+  "Vertical inset (% of short edge)": "Margem vertical (% da aresta curta)",
   "Vertical text": "Texto vertical",
   "Vibrance": "Intensidade",
   "Videos": "Vídeos",
diff --git a/crates/ui-egui/locales/ru.json b/crates/ui-egui/locales/ru.json
index bf9974740..4877e3cc0 100644
--- a/crates/ui-egui/locales/ru.json
+++ b/crates/ui-egui/locales/ru.json
@@ -519,6 +519,7 @@
   "History": "История",
   "History & Activity (Y)": "История и активность (Y)",
   "Horizontal": "По горизонтали",
+  "Horizontal inset (% of short edge)": "Отступ по горизонтали (% от короткой стороны)",
   "Horizontal text": "Горизонтальный текст",
   "How to install the model": "Как установить модель",
   "Hue": "Тон",
@@ -1258,6 +1259,7 @@
   "Versions": "Версии",
   "Versions (Shift+V)": "Версии (Shift+V)",
   "Vertical": "По вертикали",
+  "Vertical inset (% of short edge)": "Отступ по вертикали (% от короткой стороны)",
   "Vertical text": "Вертикальный текст",
   "Vibrance": "Красочность",
   "Videos": "Видео",
diff --git a/crates/ui-egui/locales/uk.json b/crates/ui-egui/locales/uk.json
index c73c05b93..49bd10120 100644
--- a/crates/ui-egui/locales/uk.json
+++ b/crates/ui-egui/locales/uk.json
@@ -97,6 +97,7 @@
   "Grab bag": "Випадкова добірка",
   "Group name": "Назва групи",
   "Home": "Домашня тека",
+  "Horizontal inset (% of short edge)": "Відступ по горизонталі (% короткого краю)",
   "ISO Speed": "Чутливість ISO",
   "Imported": "Імпортовані",
   "Join the ArtCraft Discord": "Приєднатися до Discord ArtCraft",
@@ -294,6 +295,7 @@
   "Variance": "Дисперсія",
   "Version": "Версія",
   "Vertical": "Вертикальна",
+  "Vertical inset (% of short edge)": "Відступ по вертикалі (% короткого краю)",
   "Vibrance": "Соковитість",
   "View": "Вигляд",
   "Vignetting": "Віньєтування",
diff --git a/crates/ui-egui/locales/zh-hans.json b/crates/ui-egui/locales/zh-hans.json
index 21fa4e4e9..7832f4856 100644
--- a/crates/ui-egui/locales/zh-hans.json
+++ b/crates/ui-egui/locales/zh-hans.json
@@ -513,6 +513,7 @@
   "Has Edits": "有编辑",
   "Has GPS": "有 GPS",
   "Home": "主文件夹",
+  "Horizontal inset (% of short edge)": "水平边距 (占短边 %)",
   "Hours": "小时",
   "ISO Speed": "ISO 感光度",
   "ISO speed": "ISO 感光度",
@@ -1495,6 +1496,7 @@
   "Versions": "版本",
   "Versions (Shift+V)": "版本 (Shift+V)",
   "Vertical": "垂直",
+  "Vertical inset (% of short edge)": "垂直边距 (占短边 %)",
   "Vertical text": "竖排文字",
   "Vibrance": "鲜艳度",
   "Videos": "视频",
diff --git a/crates/ui-egui/locales/zh-hant.json b/crates/ui-egui/locales/zh-hant.json
index d2e0a30c2..578d7dece 100644
--- a/crates/ui-egui/locales/zh-hant.json
+++ b/crates/ui-egui/locales/zh-hant.json
@@ -513,6 +513,7 @@
   "Has Edits": "有編輯",
   "Has GPS": "有 GPS",
   "Home": "個人資料夾",
+  "Horizontal inset (% of short edge)": "水平邊距（短邊百分比）",
   "Hours": "小時",
   "ISO Speed": "ISO 感光度",
   "ISO speed": "ISO 感光度",
@@ -1495,6 +1496,7 @@
   "Versions": "版本",
   "Versions (Shift+V)": "版本（Shift+V）",
   "Vertical": "垂直",
+  "Vertical inset (% of short edge)": "垂直邊距（短邊百分比）",
   "Vertical text": "垂直文字",
   "Vibrance": "自然飽和度",
   "Videos": "影片",
diff --git a/crates/ui-egui/src/panels/dialogs.rs b/crates/ui-egui/src/panels/dialogs.rs
index 8db84a83d..45723eb50 100644
--- a/crates/ui-egui/src/panels/dialogs.rs
+++ b/crates/ui-egui/src/panels/dialogs.rs
@@ -677,9 +677,16 @@ pub fn show(app: &mut LightcraftApp, ctx: &egui::Context) {
                         if num(ui, &WM_OPACITY, &mut op) {
                             wm.opacity = (op / 100.0) as f32;
                         }
-                        let mut inset = wm.inset as f64 * 100.0;
-                        if num(ui, &WM_INSET, &mut inset) {
-                            wm.inset = (inset / 100.0) as f32;
+                        // like Lightroom Classic: a margin from the side edges and one from the top and bottom
+                        // edges, each unused (greyed) when the position is centred along that axis
+                        use lightcraft_engine::export::Anchor as P;
+                        let across = !matches!(wm.anchor, P::Top | P::Center | P::Bottom);
+                        if let Some(v) = crate::widgets::slider(ui, &WM_INSET_X, wm.inset_x as f64 * 100.0, across, None).value {
+                            wm.inset_x = (v / 100.0) as f32;
+                        }
+                        let down = !matches!(wm.anchor, P::Left | P::Center | P::Right);
+                        if let Some(v) = crate::widgets::slider(ui, &WM_INSET_Y, wm.inset_y as f64 * 100.0, down, None).value {
+                            wm.inset_y = (v / 100.0) as f32;
                         }
                         if !graphic {
                             ui.checkbox(&mut wm.shadow, crate::i18n::tr("Shadow"));
@@ -1516,17 +1523,16 @@ fn export_size(ui: &mut egui::Ui, full: &mut bool, r: &mut lightcraft_engine::ex
 /// Keep them in grid order so bottom-centre and edge-centre anchors are available in Export.
 const WM_POSITIONS: [(lightcraft_engine::export::Anchor, &str); 9] = {
     use lightcraft_engine::export::Anchor::*;
-    [
-        (TopLeft, "↖"), (Top, "↑"), (TopRight, "↗"),
-        (Left, "←"), (Center, "•"), (Right, "→"),
-        (BottomLeft, "↙"), (Bottom, "↓"), (BottomRight, "↘"),
-    ]
+    [(TopLeft, "↖"), (Top, "↑"), (TopRight, "↗"), (Left, "←"), (Center, "•"), (Right, "→"), (BottomLeft, "↙"), (Bottom, "↓"), (BottomRight, "↘")]
 };
 
 const WM_IMAGE_WIDTH: ControlSpec = spec("export.watermarkImageWidth", "Width (% of photo)", 2.0, 100.0, 20.0, 1.0);
 const WM_SIZE: ControlSpec = spec("export.watermarkSize", "Size (% of short edge)", 1.0, 15.0, 3.5, 0.5);
 const WM_OPACITY: ControlSpec = spec("export.watermarkOpacity", "Opacity (%)", 5.0, 100.0, 70.0, 1.0);
-const WM_INSET: ControlSpec = ControlSpec { decimals: 1, ..spec("export.watermarkInset", "Inset (% of short edge)", 0.0, 40.0, 2.5, 0.5) };
+const WM_INSET_X: ControlSpec =
+    ControlSpec { decimals: 1, ..spec("export.watermarkInsetX", "Horizontal inset (% of short edge)", 0.0, 40.0, 2.5, 0.5) };
+const WM_INSET_Y: ControlSpec =
+    ControlSpec { decimals: 1, ..spec("export.watermarkInsetY", "Vertical inset (% of short edge)", 0.0, 40.0, 2.5, 0.5) };
 
 /// A themed slider row editing `v`; true when it changed.
 fn num(ui: &mut egui::Ui, spec: &ControlSpec, v: &mut f64) -> bool {
@@ -1602,9 +1608,15 @@ mod watermark_position_tests {
     #[test]
     fn export_dialog_offers_every_rendered_anchor_exactly_once() {
         let anchors = [
-            Anchor::TopLeft, Anchor::Top, Anchor::TopRight,
-            Anchor::Left, Anchor::Center, Anchor::Right,
-            Anchor::BottomLeft, Anchor::Bottom, Anchor::BottomRight,
+            Anchor::TopLeft,
+            Anchor::Top,
+            Anchor::TopRight,
+            Anchor::Left,
+            Anchor::Center,
+            Anchor::Right,
+            Anchor::BottomLeft,
+            Anchor::Bottom,
+            Anchor::BottomRight,
         ];
         assert_eq!(WM_POSITIONS.len(), anchors.len());
         for anchor in anchors {
diff --git a/docs/parity-checklist.md b/docs/parity-checklist.md
index 099411089..8ff325740 100644
--- a/docs/parity-checklist.md
+++ b/docs/parity-checklist.md
@@ -391,7 +391,7 @@ differences and missing bindings are in [ui-parity.md](ui-parity.md#shortcuts).
 | LR-EXP-HDR | HDR output | P2 | 🟡 | `cmd:app.export`, `crates/ui-egui/src/panels/dialogs.rs` | HDR output checkbox in the export dialog: gain map JPEG, PQ AVIF, float TIFF; no HDR presets yet |
 | LR-EXP-SHARPEN | Output sharpening | P1 | ✅ | `cmd:app.export` (`sharpen`, `sharpenAmount`) | |
 | LR-EXP-METADATA | Metadata policy | P1 | ✅ | `cmd:app.export` (`metadata`, `removeLocation`) | |
-| LR-EXP-WATERMARK | Watermark | P1 | ✅ | `cmd:app.export` (`watermark`: text, or `{text, vertical, size, opacity, anchor, inset, color, shadow, image, imageWidth}`), `crates/engine/src/export.rs` (`Watermark`, `WATERMARK_PARAMS`) | text (`size` = height as a fraction of the short edge, 0.005..0.5, default 0.035; `color` sRGB `[r,g,b]`; `shadow`; Japanese vertical glyph forms and origins, tested by `biz_ud_vertical_watermarks_place_punctuation_at_the_top_right`; extended grapheme cells keep decomposed dakuten/handakuten and Latin accents together, tested by `vertical_watermarks_keep_combining_marks_in_one_cell` and `upright_watermark_cell_retains_multiple_glyphs` (see `docs/vertical-watermarks.md`)) or a graphic with transparency (`image` path, `imageWidth` = fraction of the photo's width, 0.01..1, converted to the output colour space); `anchor`, `inset` (fraction of the short edge, 0..0.4), `opacity` 0..1. Unknown keys and out-of-range values are errors (issue #183) |
+| LR-EXP-WATERMARK | Watermark | P1 | ✅ | `cmd:app.export` (`watermark`: text, or `{text, vertical, size, opacity, anchor, insetX, insetY, inset, color, shadow, image, imageWidth}`), `crates/engine/src/export.rs` (`Watermark`, `WATERMARK_PARAMS`) | text (`size` = height as a fraction of the short edge, 0.005..0.5, default 0.035; `color` sRGB `[r,g,b]`; `shadow`; Japanese vertical glyph forms and origins, tested by `biz_ud_vertical_watermarks_place_punctuation_at_the_top_right`; extended grapheme cells keep decomposed dakuten/handakuten and Latin accents together, tested by `vertical_watermarks_keep_combining_marks_in_one_cell` and `upright_watermark_cell_retains_multiple_glyphs` (see `docs/vertical-watermarks.md`)) or a graphic with transparency (`image` path, `imageWidth` = fraction of the photo's width, 0.01..1, converted to the output colour space); `anchor` (nine positions), `insetX` / `insetY` (margins from the side and from the top/bottom edges, each a fraction of the short edge, 0..0.4; the Export dialog's Horizontal and Vertical inset sliders, as in Lightroom Classic; the older single `inset` still reads as both; tested by `watermark_insets_are_horizontal_and_vertical`), `opacity` 0..1. Unknown keys and out-of-range values are errors (issue #183) |
 | LR-EXP-NAMING | File naming | P1 | ✅ | `cmd:app.export` (`naming`, `startNumber`), `crates/engine/src/rename.rs` (`expand_tokens`) | one template language for export, Rename Photos and import renaming: `{name}`, `{num}` (number at the end of the name), `{seq}` / `{seq:N}`, `{date}` / `{date:%Y-%m-%d}`, `{folder}`, `{camera}`, `{lens}`, `{iso}`, `{rating}`, `{title}`, `{creator}`, `{ext}`; free-form template rather than a list of named schemes |
 | LR-EXP-LOCATION | Destination folder | P0 | ✅ | `cmd:app.export` (`dir`, `subfolder`, `conflict`: unique / overwrite / skip), `cmd:export.checkTarget`, `crates/ui-egui/src/panels/dialogs.rs` (Choose… folder picker), `crates/engine/src/originals.rs`, `crates/catalog/src/safe_file.rs` | folder picker on the desktop; existing files get `-2`, `-3`… by default; the policy covers a file and its sidecars together; a catalogued original (or its sidecar) is never written over, whatever the policy or an exact `path` (export, `ui.render`, MCP `render_photo`, merge `previewPath`, `lightcraft-cli render`); files are written to a temp file and renamed into place (issue #93; not synced file by file — exports can be made again, issue #134) |
 | LR-EXP-PREVIOUS | Export with previous settings | P0 | ✅ | `cmd:app.exportPrevious`, `cmd:dialog.export` | last options persist in prefs.json; dialog prefilled; no named export presets yet |
diff --git a/docs/vertical-watermarks.md b/docs/vertical-watermarks.md
index bd10516c1..c242b5633 100644
--- a/docs/vertical-watermarks.md
+++ b/docs/vertical-watermarks.md
@@ -1,6 +1,6 @@
 # Vertical text watermarks
 
-Set `watermark.vertical` to `true` in export options, or choose Vertical in the export dialog. Text runs down each column; a newline starts the next column to its left. The size, nine anchors, inset, opacity, colour and shadow use the same controls as horizontal watermarks. Existing presets without `vertical` remain horizontal.
+Set `watermark.vertical` to `true` in export options, or choose Vertical in the export dialog. Text runs down each column; a newline starts the next column to its left. The size, nine anchors, horizontal and vertical insets, opacity, colour and shadow use the same controls as horizontal watermarks. Existing presets without `vertical` remain horizontal.
 
 ## Character cells