diff --git a/tests/persistent_bazel_test.sh b/tests/persistent_bazel_test.sh
new file mode 100755
index 0000000..4e2982a
--- /dev/null
+++ b/tests/persistent_bazel_test.sh
@@ -0,0 +1,83 @@
+#!/bin/bash -eu
+
+# Copyright (C) 2023 The Android Open Source Project
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+#      http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+
+set -o pipefail
+
+source "$(dirname "$0")/lib.sh"
+
+# This test verifies that adding USE_PERSISTENT_BAZEL creates a Bazel process
+# that outlasts the build process.
+# This test should only be run in sandboxed environments (because this test
+# verifies a Bazel process using global process list, and may spawn lingering
+# Bazel processes).
+function test_persistent_bazel {
+  setup
+
+  # Ensure no existing Bazel process.
+  if [[ -e out/bazel/output/server/server.pid.txt ]]; then
+    kill $(cat out/bazel/output/server/server.pid.txt) 2>/dev/null || true
+    if kill -0 $(cat out/bazel/output/server/server.pid.txt) 2>/dev/null ; then
+      fail "Error killing pre-setup bazel"
+    fi
+  fi
+
+  USE_PERSISTENT_BAZEL=1 run_soong nothing
+
+  if ! kill -0 $(cat out/bazel/output/server/server.pid.txt) 2>/dev/null ; then
+    fail "Persistent bazel process expected, but not found after first build"
+  fi
+  BAZEL_PID=$(cat out/bazel/output/server/server.pid.txt)
+
+  USE_PERSISTENT_BAZEL=1 run_soong nothing
+
+  if ! kill -0 $BAZEL_PID 2>/dev/null ; then
+    fail "Bazel pid $BAZEL_PID was killed after second build"
+  fi
+
+  kill $BAZEL_PID 2>/dev/null
+  if ! kill -0 $BAZEL_PID 2>/dev/null ; then
+    fail "Error killing bazel on shutdown"
+  fi
+}
+
+# Verifies that USE_PERSISTENT_BAZEL mode operates as expected in the event
+# that there are Bazel failures.
+function test_bazel_failure {
+  setup
+
+  # Ensure no existing Bazel process.
+  if [[ -e out/bazel/output/server/server.pid.txt ]]; then
+    kill $(cat out/bazel/output/server/server.pid.txt) 2>/dev/null || true
+    if kill -0 $(cat out/bazel/output/server/server.pid.txt) 2>/dev/null ; then
+      fail "Error killing pre-setup bazel"
+    fi
+  fi
+
+  # Introduce a syntax error in a BUILD file which is used in every build
+  # (Note this is a BUILD file which is copied as part of test setup, so this
+  # has no effect on sources outside of this test.
+  rm -rf  build/bazel/rules
+
+  USE_PERSISTENT_BAZEL=1 run_soong nothing 1>out/failurelog.txt 2>&1 && fail "Expected build failure" || true
+
+  if ! grep -sq "'build/bazel/rules' is not a package" out/failurelog.txt ; then
+    fail "Expected error to contain 'build/bazel/rules' is not a package, instead got:\n$(cat out/failurelog.txt)"
+  fi
+
+  kill $(cat out/bazel/output/server/server.pid.txt) 2>/dev/null || true
+}
+
+scan_and_run_tests