diff --git a/news/changelog-1.8.md b/news/changelog-1.8.md
index 6fb2558af1..1b474612dc 100644
--- a/news/changelog-1.8.md
+++ b/news/changelog-1.8.md
@@ -69,6 +69,10 @@ All changes included in 1.8:
 
 - ([#12753](https://github.com/quarto-dev/quarto-cli/issues/12753)): Support change in IPython 9+ and import `set_matplotlib_formats` from `matplotlib_inline.backend_inline` in the internal `setup.py` script used to initialize rendering with Jupyter engine.
 
+### `julia`
+
+- ([#12870](https://github.com/quarto-dev/quarto-cli/pull/12870)): Update `julia` engine from `0.17.0` to `0.17.3` to improve `juliaup` detection on Windows systems and correctly set `Base.source_path()` output to match REPL and script usage.
+
 ## Other fixes and improvements
 
 - ([#11321](https://github.com/quarto-dev/quarto-cli/issues/11321)): Follow [recommendation from LaTeX project](https://latex-project.org/news/latex2e-news/ltnews40.pdf) and use `lualatex` instead of `xelatex` as the default PDF engine.
diff --git a/src/resources/julia/Project.toml b/src/resources/julia/Project.toml
index 605ada4b64..08c36b12cf 100644
--- a/src/resources/julia/Project.toml
+++ b/src/resources/julia/Project.toml
@@ -2,4 +2,4 @@
 QuartoNotebookRunner = "4c0109c6-14e9-4c88-93f0-2b974d3468f4"
 
 [compat]
-QuartoNotebookRunner = "=0.17.0"
+QuartoNotebookRunner = "=0.17.3"