diff --git a/.chloggen/strip-aws-sdk-local-root.yaml b/.chloggen/strip-aws-sdk-local-root.yaml
new file mode 100644
index 000000000000..4c43b5405339
--- /dev/null
+++ b/.chloggen/strip-aws-sdk-local-root.yaml
@@ -0,0 +1,27 @@
+# Use this changelog template to create an entry for release notes.
+
+# One of 'breaking', 'deprecation', 'new_component', 'enhancement', 'bug_fix'
+change_type: bug_fix
+
+# The name of the component, or a single word describing the area of concern, (e.g. filelogreceiver)
+component: awsxrayexporter
+
+# A brief description of the change.  Surround your text with quotes ("") if it needs to start with a backtick (`).
+note: Extend the AWSK.SDK prefix stripping to cover a previously missed case, for local root spans
+
+# Mandatory: One or more tracking issues related to the change. You can use the PR number here if no issue exists.
+issues: [27232]
+
+# (Optional) One or more lines of additional information to render under the primary note.
+# These lines will be padded with 2 spaces and then inserted directly into the document.
+# Use pipe (|) for multiline entries.
+subtext: Follow-up from https://github.com/open-telemetry/opentelemetry-collector-contrib/pull/27232
+
+# If your change doesn't affect end users or the exported elements of any package,
+# you should instead start your pull request title with [chore] or use the "Skip Changelog" label.
+# Optional: The change log or logs in which this entry should be included.
+# e.g. '[user]' or '[user, api]'
+# Include 'user' if the change is relevant to end users.
+# Include 'api' if there is a change to a library API.
+# Default: '[user]'
+change_logs: [user]
\ No newline at end of file
diff --git a/exporter/awsxrayexporter/internal/translator/segment.go b/exporter/awsxrayexporter/internal/translator/segment.go
index efda3ed22f2e..0ff0199016e3 100644
--- a/exporter/awsxrayexporter/internal/translator/segment.go
+++ b/exporter/awsxrayexporter/internal/translator/segment.go
@@ -155,7 +155,8 @@ func MakeDependencySubsegmentForLocalRootDependencySpan(span ptrace.Span, resour
 	}
 
 	if myAwsRemoteService, ok := span.Attributes().Get(awsRemoteService); ok {
-		dependencySubsegment.Name = awsxray.String(myAwsRemoteService.Str())
+		subsegmentName := myAwsRemoteService.Str()
+		dependencySubsegment.Name = awsxray.String(trimAwsSdkPrefix(subsegmentName, span))
 	}
 
 	return dependencySubsegment, err
@@ -370,9 +371,7 @@ func MakeSegment(span ptrace.Span, resource pcommon.Resource, indexedAttrs []str
 		if remoteServiceName, ok := attributes.Get(awsRemoteService); ok {
 			name = remoteServiceName.Str()
 			// only strip the prefix for AWS spans
-			if isAwsSdkSpan(span) && strings.HasPrefix(name, "AWS.SDK.") {
-				name = strings.TrimPrefix(name, "AWS.SDK.")
-			}
+			name = trimAwsSdkPrefix(name, span)
 		}
 	}
 
@@ -752,3 +751,10 @@ func fixAnnotationKey(key string) string {
 		}
 	}, key)
 }
+
+func trimAwsSdkPrefix(name string, span ptrace.Span) string {
+	if isAwsSdkSpan(span) && strings.HasPrefix(name, "AWS.SDK.") {
+		return strings.TrimPrefix(name, "AWS.SDK.")
+	}
+	return name
+}
diff --git a/exporter/awsxrayexporter/internal/translator/segment_test.go b/exporter/awsxrayexporter/internal/translator/segment_test.go
index dd5978c61309..18fdd70771ee 100644
--- a/exporter/awsxrayexporter/internal/translator/segment_test.go
+++ b/exporter/awsxrayexporter/internal/translator/segment_test.go
@@ -1333,6 +1333,39 @@ func TestLocalRootClient(t *testing.T) {
 	assert.Equal(t, segments[0].EndTime, segments[1].EndTime)
 }
 
+func TestLocalRootClientAwsServiceMetrics(t *testing.T) {
+	spanName := "SQS ReceiveMessage"
+	resource := getBasicResource()
+
+	parentSpanID := newSegmentID()
+
+	attributes := getBasicAttributes()
+	attributes[awsSpanKind] = "LOCAL_ROOT"
+	attributes[conventions.AttributeRPCSystem] = "aws-api"
+	attributes[conventions.AttributeHTTPMethod] = "POST"
+	attributes[conventions.AttributeHTTPScheme] = "https"
+	attributes[conventions.AttributeRPCService] = "SQS"
+	attributes[awsRemoteService] = "AWS.SDK.SQS"
+
+	span := constructClientSpan(parentSpanID, spanName, 200, "OK", attributes)
+
+	spanLink := span.Links().AppendEmpty()
+	spanLink.SetTraceID(newTraceID())
+	spanLink.SetSpanID(newSegmentID())
+
+	segments, err := MakeSegmentsFromSpan(span, resource, []string{awsRemoteService, "myAnnotationKey"}, false, nil, false)
+
+	assert.NotNil(t, segments)
+	assert.Equal(t, 2, len(segments))
+	assert.Nil(t, err)
+
+	subsegment := segments[0]
+
+	assert.Equal(t, "subsegment", *subsegment.Type)
+	assert.Equal(t, "SQS", *subsegment.Name)
+	assert.Equal(t, "aws", *subsegment.Namespace)
+}
+
 func TestLocalRootProducer(t *testing.T) {
 	spanName := "destination operation"
 	resource := getBasicResource()