diff --git a/CHANGELOG.md b/CHANGELOG.md
index 467e5df5dfb..576af61833c 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -29,6 +29,7 @@
 - Do not set MeterProvider to global otel (#5146)
 - Make `InstrumentationLibrary<signal>ToScope` helper functions unexported (#5164)
 - Remove Log's "ShortName" from logging exporter output (#5172)
+- `exporter/otlp`: Retry RESOURCE_EXHAUSTED only if the server returns RetryInfo (#5147)
 
 ### 🚩 Deprecations 🚩
 
diff --git a/exporter/otlpexporter/otlp.go b/exporter/otlpexporter/otlp.go
index 83138775b3c..ce5a489020f 100644
--- a/exporter/otlpexporter/otlp.go
+++ b/exporter/otlpexporter/otlp.go
@@ -147,48 +147,59 @@ func processError(err error) error {
 
 	// Now, this is this a real error.
 
-	if !shouldRetry(st.Code()) {
+	retryInfo := getRetryInfo(st)
+
+	if !shouldRetry(st.Code(), retryInfo) {
 		// It is not a retryable error, we should not retry.
 		return consumererror.NewPermanent(err)
 	}
 
-	// Need to retry.
-
 	// Check if server returned throttling information.
-	throttleDuration := getThrottleDuration(st)
+	throttleDuration := getThrottleDuration(retryInfo)
 	if throttleDuration != 0 {
+		// We are throttled. Wait before retrying as requested by the server.
 		return exporterhelper.NewThrottleRetry(err, throttleDuration)
 	}
 
+	// Need to retry.
+
 	return err
 }
 
-func shouldRetry(code codes.Code) bool {
+func shouldRetry(code codes.Code, retryInfo *errdetails.RetryInfo) bool {
 	switch code {
 	case codes.Canceled,
 		codes.DeadlineExceeded,
-		codes.ResourceExhausted,
 		codes.Aborted,
 		codes.OutOfRange,
 		codes.Unavailable,
 		codes.DataLoss:
 		// These are retryable errors.
 		return true
+	case codes.ResourceExhausted:
+		// Retry only if RetryInfo was supplied by the server.
+		// This indicates that the server can still recover from resource exhaustion.
+		return retryInfo != nil
 	}
 	// Don't retry on any other code.
 	return false
 }
 
-func getThrottleDuration(status *status.Status) time.Duration {
-	// See if throttling information is available.
+func getRetryInfo(status *status.Status) *errdetails.RetryInfo {
 	for _, detail := range status.Details() {
 		if t, ok := detail.(*errdetails.RetryInfo); ok {
-			if t.RetryDelay.Seconds > 0 || t.RetryDelay.Nanos > 0 {
-				// We are throttled. Wait before retrying as requested by the server.
-				return time.Duration(t.RetryDelay.Seconds)*time.Second + time.Duration(t.RetryDelay.Nanos)*time.Nanosecond
-			}
-			return 0
+			return t
 		}
 	}
+	return nil
+}
+
+func getThrottleDuration(t *errdetails.RetryInfo) time.Duration {
+	if t == nil || t.RetryDelay == nil {
+		return 0
+	}
+	if t.RetryDelay.Seconds > 0 || t.RetryDelay.Nanos > 0 {
+		return time.Duration(t.RetryDelay.Seconds)*time.Second + time.Duration(t.RetryDelay.Nanos)*time.Nanosecond
+	}
 	return 0
 }
diff --git a/exporter/otlpexporter/otlp_test.go b/exporter/otlpexporter/otlp_test.go
index 60620adf122..8cd952641af 100644
--- a/exporter/otlpexporter/otlp_test.go
+++ b/exporter/otlpexporter/otlp_test.go
@@ -26,9 +26,13 @@ import (
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/require"
 	"go.uber.org/atomic"
+	"google.golang.org/genproto/googleapis/rpc/errdetails"
 	"google.golang.org/grpc"
+	"google.golang.org/grpc/codes"
 	"google.golang.org/grpc/credentials"
 	"google.golang.org/grpc/metadata"
+	"google.golang.org/grpc/status"
+	"google.golang.org/protobuf/types/known/durationpb"
 
 	"go.opentelemetry.io/collector/component"
 	"go.opentelemetry.io/collector/component/componenttest"
@@ -59,6 +63,7 @@ func (r *mockReceiver) GetMetadata() metadata.MD {
 
 type mockTracesReceiver struct {
 	mockReceiver
+	exportError error
 	lastRequest ptrace.Traces
 }
 
@@ -70,7 +75,7 @@ func (r *mockTracesReceiver) Export(ctx context.Context, req ptraceotlp.Request)
 	defer r.mux.Unlock()
 	r.lastRequest = td
 	r.metadata, _ = metadata.FromIncomingContext(ctx)
-	return ptraceotlp.NewResponse(), nil
+	return ptraceotlp.NewResponse(), r.exportError
 }
 
 func (r *mockTracesReceiver) GetLastRequest() ptrace.Traces {
@@ -523,6 +528,58 @@ func TestSendTraceDataServerStartWhileRequest(t *testing.T) {
 	cancel()
 }
 
+func TestSendTracesOnResourceExhaustion(t *testing.T) {
+	ln, err := net.Listen("tcp", "localhost:")
+	require.NoError(t, err)
+	rcv, _ := otlpTracesReceiverOnGRPCServer(ln, false)
+	rcv.exportError = status.Error(codes.ResourceExhausted, "resource exhausted")
+	defer rcv.srv.GracefulStop()
+
+	factory := NewFactory()
+	cfg := factory.CreateDefaultConfig().(*Config)
+	cfg.RetrySettings.InitialInterval = 0
+	cfg.GRPCClientSettings = configgrpc.GRPCClientSettings{
+		Endpoint: ln.Addr().String(),
+		TLSSetting: configtls.TLSClientSetting{
+			Insecure: true,
+		},
+	}
+	set := componenttest.NewNopExporterCreateSettings()
+	exp, err := factory.CreateTracesExporter(context.Background(), set, cfg)
+	require.NoError(t, err)
+	require.NotNil(t, exp)
+
+	defer func() {
+		assert.NoError(t, exp.Shutdown(context.Background()))
+	}()
+
+	host := componenttest.NewNopHost()
+	assert.NoError(t, exp.Start(context.Background(), host))
+
+	assert.EqualValues(t, 0, rcv.requestCount.Load())
+
+	td := ptrace.NewTraces()
+	assert.NoError(t, exp.ConsumeTraces(context.Background(), td))
+
+	assert.Never(t, func() bool {
+		return rcv.requestCount.Load() > 1
+	}, 1*time.Second, 5*time.Millisecond, "Should not retry if RetryInfo is not included into status details by the server.")
+
+	rcv.requestCount.Swap(0)
+
+	st := status.New(codes.ResourceExhausted, "resource exhausted")
+	st, _ = st.WithDetails(&errdetails.RetryInfo{
+		RetryDelay: durationpb.New(100 * time.Millisecond),
+	})
+	rcv.exportError = st.Err()
+
+	assert.NoError(t, exp.ConsumeTraces(context.Background(), td))
+
+	assert.Eventually(t, func() bool {
+		return rcv.requestCount.Load() > 1
+	}, 10*time.Second, 5*time.Millisecond, "Should retry if RetryInfo is included into status details by the server.")
+}
+
 func startServerAndMakeRequest(t *testing.T, exp component.TracesExporter, td ptrace.Traces, ln net.Listener) {
 	rcv, _ := otlpTracesReceiverOnGRPCServer(ln, false)
 	defer rcv.srv.GracefulStop()