diff --git a/openpype/hosts/maya/api/pipeline.py b/openpype/hosts/maya/api/pipeline.py
index 4ab915cc7a..b4042fd3d7 100644
--- a/openpype/hosts/maya/api/pipeline.py
+++ b/openpype/hosts/maya/api/pipeline.py
@@ -2,6 +2,7 @@ import os
 import errno
 import logging
 import contextlib
+import shutil
 
 from maya import utils, cmds, OpenMaya
 import maya.api.OpenMaya as om
@@ -113,6 +114,9 @@ class MayaHost(HostBase, IWorkfileHost, ILoadHost):
         register_event_callback("taskChanged", on_task_changed)
         register_event_callback("workfile.open.before", before_workfile_open)
         register_event_callback("workfile.save.before", before_workfile_save)
+        register_event_callback(
+            "workfile.save.before", workfile_save_before_xgen
+        )
         register_event_callback("workfile.save.after", after_workfile_save)
 
     def open_workfile(self, filepath):
@@ -681,6 +685,91 @@ def before_workfile_save(event):
         create_workspace_mel(workdir_path, project_name)
 
 
+def workfile_save_before_xgen(event):
+    """Manage Xgen external files when switching context.
+
+    Xgen has various external files that needs to be unique and relative to the
+    workfile, so we need to copy and potentially overwrite these files when
+    switching context.
+
+    Args:
+        event (Event) - openpype/lib/events.py
+    """
+    if not cmds.pluginInfo("xgenToolkit", query=True, loaded=True):
+        return
+
+    import xgenm
+
+    current_work_dir = legacy_io.Session["AVALON_WORKDIR"].replace("\\", "/")
+    expected_work_dir = event.data["workdir_path"].replace("\\", "/")
+    if current_work_dir == expected_work_dir:
+        return
+
+    palettes = cmds.ls(type="xgmPalette", long=True)
+    if not palettes:
+        return
+
+    transfers = []
+    overwrites = []
+    attribute_changes = {}
+    attrs = ["xgFileName", "xgBaseFile"]
+    for palette in palettes:
+        sanitized_palette = palette.replace("|", "")
+        project_path = xgenm.getAttr("xgProjectPath", sanitized_palette)
+        _, maya_extension = os.path.splitext(event.data["filename"])
+
+        for attr in attrs:
+            node_attr = "{}.{}".format(palette, attr)
+            attr_value = cmds.getAttr(node_attr)
+
+            if not attr_value:
+                continue
+
+            source = os.path.join(project_path, attr_value)
+
+            attr_value = event.data["filename"].replace(
+                maya_extension,
+                "__{}{}".format(
+                    sanitized_palette.replace(":", "__"),
+                    os.path.splitext(attr_value)[1]
+                )
+            )
+            target = os.path.join(expected_work_dir, attr_value)
+
+            transfers.append((source, target))
+            attribute_changes[node_attr] = attr_value
+
+        relative_path = xgenm.getAttr(
+            "xgDataPath", sanitized_palette
+        ).split(os.pathsep)[0]
+        absolute_path = relative_path.replace("${PROJECT}", project_path)
+        for root, _, files in os.walk(absolute_path):
+            for f in files:
+                source = os.path.join(root, f).replace("\\", "/")
+                target = source.replace(project_path, expected_work_dir + "/")
+                transfers.append((source, target))
+                if os.path.exists(target):
+                    overwrites.append(target)
+
+    # Ask user about overwriting files.
+    if overwrites:
+        log.warning(
+            "WARNING! Potential loss of data.\n\n"
+            "Found duplicate Xgen files in new context.\n{}".format(
+                "\n".join(overwrites)
+            )
+        )
+        return
+
+    for source, destination in transfers:
+        if not os.path.exists(os.path.dirname(destination)):
+            os.makedirs(os.path.dirname(destination))
+        shutil.copy(source, destination)
+
+    for attribute, value in attribute_changes.items():
+        cmds.setAttr(attribute, value, type="string")
+
+
 def after_workfile_save(event):
     workfile_name = event["filename"]
     if (