diff --git a/ext/dynblock/README.md b/ext/dynblock/README.md
new file mode 100644
index 0000000..4c42e6d
--- /dev/null
+++ b/ext/dynblock/README.md
@@ -0,0 +1,99 @@
+# HCL Dynamic Blocks Extension
+
+This HCL extension implements a special block type named "dynamic" that can
+be used to dynamically generate blocks of other types by iterating over
+collection values.
+
+Normally the block structure in an HCL configuration file is rigid, even
+though dynamic expressions can be used within attribute values. This is
+convenient for most applications since it allows the overall structure of
+the document to be decoded easily, but in some applications it is desirable
+to allow dynamic block generation within certain portions of the configuration.
+
+Dynamic block generation is performed using the `dynamic` block type:
+
+```hcl
+toplevel {
+  nested {
+    foo = "static block 1"
+  }
+
+  dynamic "nested" {
+    for_each = ["a", "b", "c"]
+    iterator = nested
+    content {
+      foo = "dynamic block ${nested.value}"
+    }
+  }
+
+  nested {
+    foo = "static block 2"
+  }
+}
+```
+
+The above is interpreted as if it were written as follows:
+
+```hcl
+toplevel {
+  nested {
+    foo = "static block 1"
+  }
+
+  nested {
+    foo = "dynamic block a"
+  }
+
+  nested {
+    foo = "dynamic block b"
+  }
+
+  nested {
+    foo = "dynamic block c"
+  }
+
+  nested {
+    foo = "static block 2"
+  }
+}
+```
+
+Since HCL block syntax is not normally exposed to the possibility of unknown
+values, this extension must make some compromises when asked to iterate over
+an unknown collection. If the length of the collection cannot be statically
+recognized (because it is an unknown value of list, map, or set type) then
+the `dynamic` construct will generate a _single_ dynamic block whose iterator
+key and value are both unknown values of the dynamic pseudo-type, thus causing
+any attribute values derived from iteration to appear as unknown values. There
+is no explicit representation of the fact that the length of the collection may
+eventually be different than one.
+
+## Usage
+
+Pass a body to function `Expand` to obtain a new body that will, on access
+to its content, evaluate and expand any nested `dynamic` blocks.
+Dynamic block processing is also automatically propagated into any nested
+blocks that are returned, allowing users to nest dynamic blocks inside
+one another and to nest dynamic blocks inside other static blocks.
+
+HCL structural decoding does not normally have access to an `EvalContext`, so
+any variables and functions that should be available to the `for_each`
+and `labels` expressions must be passed in when calling `Expand`. Expressions
+within the `content` block are evaluated separately and so can be passed a
+separate `EvalContext` if desired, during normal attribute expression
+evaluation.
+
+Some applications dynamically generate an `EvalContext` by analyzing which
+variables are referenced by an expression before evaluating it. This can be
+achieved for a block that might contain `dynamic` blocks by calling
+`ForEachVariables`, which returns the variables required by the `for_each`
+and `labels` attributes in all `dynamic` blocks within the given body,
+including any nested `dynamic` blocks.
+
+# Performance
+
+This extension is going quite harshly against the grain of the HCL API, and
+so it uses lots of wrapping objects and temporary data structures to get its
+work done. HCL in general is not suitable for use in high-performance situations
+or situations sensitive to memory pressure, but that is _especially_ true for
+this extension.
diff --git a/ext/dynblock/expand_body.go b/ext/dynblock/expand_body.go
new file mode 100644
index 0000000..697440e
--- /dev/null
+++ b/ext/dynblock/expand_body.go
@@ -0,0 +1,251 @@
+package dynblock
+
+import (
+	"fmt"
+
+	"github.com/hashicorp/hcl2/hcl"
+	"github.com/zclconf/go-cty/cty"
+)
+
+// expandBody wraps another hcl.Body and expands any "dynamic" blocks found
+// inside whenever Content or PartialContent is called.
+type expandBody struct {
+	original   hcl.Body
+	forEachCtx *hcl.EvalContext
+	iteration  *iteration // non-nil if we're nested inside another "dynamic" block
+
+	// These are used with PartialContent to produce a "remaining items"
+	// body to return. They are nil on all bodies fresh out of the transformer.
+	//
+	// Note that this is re-implemented here rather than delegating to the
+	// existing support required by the underlying body because we need to
+	// retain access to the entire original body on subsequent decode operations
+	// so we can retain any "dynamic" blocks for types we didn't take consume
+	// on the first pass.
+	hiddenAttrs  map[string]struct{}
+	hiddenBlocks map[string]hcl.BlockHeaderSchema
+}
+
+func (b *expandBody) Content(schema *hcl.BodySchema) (*hcl.BodyContent, hcl.Diagnostics) {
+	extSchema := b.extendSchema(schema)
+	rawContent, diags := b.original.Content(extSchema)
+
+	blocks, blockDiags := b.expandBlocks(schema, rawContent.Blocks, false)
+	diags = append(diags, blockDiags...)
+	attrs := b.prepareAttributes(rawContent.Attributes)
+
+	content := &hcl.BodyContent{
+		Attributes:       attrs,
+		Blocks:           blocks,
+		MissingItemRange: b.original.MissingItemRange(),
+	}
+
+	return content, diags
+}
+
+func (b *expandBody) PartialContent(schema *hcl.BodySchema) (*hcl.BodyContent, hcl.Body, hcl.Diagnostics) {
+	extSchema := b.extendSchema(schema)
+	rawContent, _, diags := b.original.PartialContent(extSchema)
+	// We discard the "remain" argument above because we're going to construct
+	// our own remain that also takes into account remaining "dynamic" blocks.
+
+	blocks, blockDiags := b.expandBlocks(schema, rawContent.Blocks, true)
+	diags = append(diags, blockDiags...)
+	attrs := b.prepareAttributes(rawContent.Attributes)
+
+	content := &hcl.BodyContent{
+		Attributes:       attrs,
+		Blocks:           blocks,
+		MissingItemRange: b.original.MissingItemRange(),
+	}
+
+	remain := &expandBody{
+		original:     b.original,
+		forEachCtx:   b.forEachCtx,
+		iteration:    b.iteration,
+		hiddenAttrs:  make(map[string]struct{}),
+		hiddenBlocks: make(map[string]hcl.BlockHeaderSchema),
+	}
+	for name := range b.hiddenAttrs {
+		remain.hiddenAttrs[name] = struct{}{}
+	}
+	for typeName, blockS := range b.hiddenBlocks {
+		remain.hiddenBlocks[typeName] = blockS
+	}
+	for _, attrS := range schema.Attributes {
+		remain.hiddenAttrs[attrS.Name] = struct{}{}
+	}
+	for _, blockS := range schema.Blocks {
+		remain.hiddenBlocks[blockS.Type] = blockS
+	}
+
+	return content, remain, diags
+}
+
+func (b *expandBody) extendSchema(schema *hcl.BodySchema) *hcl.BodySchema {
+	// We augment the requested schema to also include our special "dynamic"
+	// block type, since then we'll get instances of it interleaved with
+	// all of the literal child blocks we must also include.
+	extSchema := &hcl.BodySchema{
+		Attributes: schema.Attributes,
+		Blocks:     make([]hcl.BlockHeaderSchema, len(schema.Blocks), len(schema.Blocks)+len(b.hiddenBlocks)+1),
+	}
+	copy(extSchema.Blocks, schema.Blocks)
+	extSchema.Blocks = append(extSchema.Blocks, dynamicBlockHeaderSchema)
+
+	// If we have any hiddenBlocks then we also need to register those here
+	// so that a call to "Content" on the underlying body won't fail.
+	// (We'll filter these out again once we process the result of either
+	// Content or PartialContent.)
+	for _, blockS := range b.hiddenBlocks {
+		extSchema.Blocks = append(extSchema.Blocks, blockS)
+	}
+
+	// If we have any hiddenAttrs then we also need to register these, for
+	// the same reason as we deal with hiddenBlocks above.
+	if len(b.hiddenAttrs) != 0 {
+		newAttrs := make([]hcl.AttributeSchema, len(schema.Attributes), len(schema.Attributes)+len(b.hiddenAttrs))
+		copy(newAttrs, extSchema.Attributes)
+		for name := range b.hiddenAttrs {
+			newAttrs = append(newAttrs, hcl.AttributeSchema{
+				Name:     name,
+				Required: false,
+			})
+		}
+		extSchema.Attributes = newAttrs
+	}
+
+	return extSchema
+}
+
+func (b *expandBody) prepareAttributes(rawAttrs hcl.Attributes) hcl.Attributes {
+	if len(b.hiddenAttrs) == 0 && b.iteration == nil {
+		// Easy path: just pass through the attrs from the original body verbatim
+		return rawAttrs
+	}
+
+	// Otherwise we have some work to do: we must filter out any attributes
+	// that are hidden (since a previous PartialContent call already saw these)
+	// and wrap the expressions of the inner attributes so that they will
+	// have access to our iteration variables.
+	attrs := make(hcl.Attributes, len(rawAttrs))
+	for name, rawAttr := range rawAttrs {
+		if _, hidden := b.hiddenAttrs[name]; hidden {
+			continue
+		}
+		if b.iteration != nil {
+			attr := *rawAttr // shallow copy so we can mutate it
+			attr.Expr = exprWrap{
+				Expression: attr.Expr,
+				i:          b.iteration,
+			}
+			attrs[name] = &attr
+		} else {
+			// If we have no active iteration then no wrapping is required.
+			attrs[name] = rawAttr
+		}
+	}
+	return attrs
+}
+
+func (b *expandBody) expandBlocks(schema *hcl.BodySchema, rawBlocks hcl.Blocks, partial bool) (hcl.Blocks, hcl.Diagnostics) {
+	var blocks hcl.Blocks
+	var diags hcl.Diagnostics
+
+	for _, rawBlock := range rawBlocks {
+		switch rawBlock.Type {
+		case "dynamic":
+			realBlockType := rawBlock.Labels[0]
+			if _, hidden := b.hiddenBlocks[realBlockType]; hidden {
+				continue
+			}
+
+			var blockS *hcl.BlockHeaderSchema
+			for _, candidate := range schema.Blocks {
+				if candidate.Type == realBlockType {
+					blockS = &candidate
+					break
+				}
+			}
+			if blockS == nil {
+				// Not a block type that the caller requested.
+				if !partial {
+					diags = append(diags, &hcl.Diagnostic{
+						Severity: hcl.DiagError,
+						Summary:  "Unsupported block type",
+						Detail:   fmt.Sprintf("Blocks of type %q are not expected here.", realBlockType),
+						Subject:  &rawBlock.LabelRanges[0],
+					})
+				}
+				continue
+			}
+
+			spec, specDiags := b.decodeSpec(blockS, rawBlock)
+			diags = append(diags, specDiags...)
+			if specDiags.HasErrors() {
+				continue
+			}
+
+			if spec.forEachVal.IsKnown() {
+				for it := spec.forEachVal.ElementIterator(); it.Next(); {
+					key, value := it.Element()
+					i := b.iteration.MakeChild(spec.iteratorName, key, value)
+
+					block, blockDiags := spec.newBlock(i, b.forEachCtx)
+					diags = append(diags, blockDiags...)
+					if block != nil {
+						// Attach our new iteration context so that attributes
+						// and other nested blocks can refer to our iterator.
+						block.Body = b.expandChild(block.Body, i)
+						blocks = append(blocks, block)
+					}
+				}
+			} else {
+				// If our top-level iteration value isn't known then we're forced
+				// to compromise since HCL doesn't have any concept of an
+				// "unknown block". In this case then, we'll produce a single
+				// dynamic block with the iterator values set to DynamicVal,
+				// which at least makes the potential for a block visible
+				// in our result, even though it's not represented in a fully-accurate
+				// way.
+				i := b.iteration.MakeChild(spec.iteratorName, cty.DynamicVal, cty.DynamicVal)
+				block, blockDiags := spec.newBlock(i, b.forEachCtx)
+				diags = append(diags, blockDiags...)
+				if block != nil {
+					block.Body = b.expandChild(block.Body, i)
+					blocks = append(blocks, block)
+				}
+			}
+
+		default:
+			if _, hidden := b.hiddenBlocks[rawBlock.Type]; !hidden {
+				// A static block doesn't create a new iteration context, but
+				// it does need to inherit _our own_ iteration context in
+				// case it contains expressions that refer to our inherited
+				// iterators, or nested "dynamic" blocks.
+				expandedBlock := *rawBlock // shallow copy
+				expandedBlock.Body = b.expandChild(rawBlock.Body, b.iteration)
+				blocks = append(blocks, &expandedBlock)
+			}
+		}
+	}
+
+	return blocks, diags
+}
+
+func (b *expandBody) expandChild(child hcl.Body, i *iteration) hcl.Body {
+	ret := Expand(child, b.forEachCtx)
+	ret.(*expandBody).iteration = i
+	return ret
+}
+
+func (b *expandBody) JustAttributes() (hcl.Attributes, hcl.Diagnostics) {
+	// blocks aren't allowed in JustAttributes mode and this body can
+	// only produce blocks, so we'll just pass straight through to our
+	// underlying body here.
+	return b.original.JustAttributes()
+}
+
+func (b *expandBody) MissingItemRange() hcl.Range {
+	return b.original.MissingItemRange()
+}
diff --git a/ext/dynblock/expand_body_test.go b/ext/dynblock/expand_body_test.go
new file mode 100644
index 0000000..9cc4733
--- /dev/null
+++ b/ext/dynblock/expand_body_test.go
@@ -0,0 +1,278 @@
+package dynblock
+
+import (
+	"testing"
+
+	"github.com/hashicorp/hcl2/hcldec"
+
+	"github.com/hashicorp/hcl2/hcl"
+	"github.com/hashicorp/hcl2/hcltest"
+	"github.com/zclconf/go-cty/cty"
+)
+
+func TestExpand(t *testing.T) {
+	srcBody := hcltest.MockBody(&hcl.BodyContent{
+		Blocks: hcl.Blocks{
+			{
+				Type:        "a",
+				Labels:      []string{"static0"},
+				LabelRanges: []hcl.Range{hcl.Range{}},
+				Body: hcltest.MockBody(&hcl.BodyContent{
+					Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+						"val": hcltest.MockExprLiteral(cty.StringVal("static a 0")),
+					}),
+				}),
+			},
+			{
+				Type: "b",
+				Body: hcltest.MockBody(&hcl.BodyContent{
+					Blocks: hcl.Blocks{
+						{
+							Type: "c",
+							Body: hcltest.MockBody(&hcl.BodyContent{
+								Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+									"val0": hcltest.MockExprLiteral(cty.StringVal("static c 0")),
+								}),
+							}),
+						},
+						{
+							Type:        "dynamic",
+							Labels:      []string{"c"},
+							LabelRanges: []hcl.Range{hcl.Range{}},
+							Body: hcltest.MockBody(&hcl.BodyContent{
+								Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+									"for_each": hcltest.MockExprLiteral(cty.ListVal([]cty.Value{
+										cty.StringVal("dynamic c 0"),
+										cty.StringVal("dynamic c 1"),
+									})),
+									"iterator": hcltest.MockExprVariable("dyn_c"),
+								}),
+								Blocks: hcl.Blocks{
+									{
+										Type: "content",
+										Body: hcltest.MockBody(&hcl.BodyContent{
+											Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+												"val0": hcltest.MockExprTraversalSrc("dyn_c.value"),
+											}),
+										}),
+									},
+								},
+							}),
+						},
+					},
+				}),
+			},
+			{
+				Type:        "dynamic",
+				Labels:      []string{"a"},
+				LabelRanges: []hcl.Range{hcl.Range{}},
+				Body: hcltest.MockBody(&hcl.BodyContent{
+					Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+						"for_each": hcltest.MockExprLiteral(cty.ListVal([]cty.Value{
+							cty.StringVal("dynamic a 0"),
+							cty.StringVal("dynamic a 1"),
+							cty.StringVal("dynamic a 2"),
+						})),
+						"labels": hcltest.MockExprList([]hcl.Expression{
+							hcltest.MockExprTraversalSrc("a.key"),
+						}),
+					}),
+					Blocks: hcl.Blocks{
+						{
+							Type: "content",
+							Body: hcltest.MockBody(&hcl.BodyContent{
+								Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+									"val": hcltest.MockExprTraversalSrc("a.value"),
+								}),
+							}),
+						},
+					},
+				}),
+			},
+			{
+				Type:        "dynamic",
+				Labels:      []string{"b"},
+				LabelRanges: []hcl.Range{hcl.Range{}},
+				Body: hcltest.MockBody(&hcl.BodyContent{
+					Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+						"for_each": hcltest.MockExprLiteral(cty.ListVal([]cty.Value{
+							cty.StringVal("dynamic b 0"),
+							cty.StringVal("dynamic b 1"),
+						})),
+						"iterator": hcltest.MockExprVariable("dyn_b"),
+					}),
+					Blocks: hcl.Blocks{
+						{
+							Type: "content",
+							Body: hcltest.MockBody(&hcl.BodyContent{
+								Blocks: hcl.Blocks{
+									{
+										Type: "c",
+										Body: hcltest.MockBody(&hcl.BodyContent{
+											Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+												"val0": hcltest.MockExprLiteral(cty.StringVal("static c 1")),
+												"val1": hcltest.MockExprTraversalSrc("dyn_b.value"),
+											}),
+										}),
+									},
+									{
+										Type:        "dynamic",
+										Labels:      []string{"c"},
+										LabelRanges: []hcl.Range{hcl.Range{}},
+										Body: hcltest.MockBody(&hcl.BodyContent{
+											Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+												"for_each": hcltest.MockExprLiteral(cty.ListVal([]cty.Value{
+													cty.StringVal("dynamic c 2"),
+													cty.StringVal("dynamic c 3"),
+												})),
+											}),
+											Blocks: hcl.Blocks{
+												{
+													Type: "content",
+													Body: hcltest.MockBody(&hcl.BodyContent{
+														Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+															"val0": hcltest.MockExprTraversalSrc("c.value"),
+															"val1": hcltest.MockExprTraversalSrc("dyn_b.value"),
+														}),
+													}),
+												},
+											},
+										}),
+									},
+								},
+							}),
+						},
+					},
+				}),
+			},
+			{
+				Type:        "a",
+				Labels:      []string{"static1"},
+				LabelRanges: []hcl.Range{hcl.Range{}},
+				Body: hcltest.MockBody(&hcl.BodyContent{
+					Attributes: hcltest.MockAttrs(map[string]hcl.Expression{
+						"val": hcltest.MockExprLiteral(cty.StringVal("static a 1")),
+					}),
+				}),
+			},
+		},
+	})
+
+	dynBody := Expand(srcBody, nil)
+	var remain hcl.Body
+
+	t.Run("PartialDecode", func(t *testing.T) {
+		decSpec := &hcldec.BlockMapSpec{
+			TypeName:   "a",
+			LabelNames: []string{"key"},
+			Nested: &hcldec.AttrSpec{
+				Name:     "val",
+				Type:     cty.String,
+				Required: true,
+			},
+		}
+
+		var got cty.Value
+		var diags hcl.Diagnostics
+		got, remain, diags = hcldec.PartialDecode(dynBody, decSpec, nil)
+		if len(diags) != 0 {
+			t.Errorf("unexpected diagnostics")
+			for _, diag := range diags {
+				t.Logf("- %s", diag)
+			}
+			return
+		}
+
+		want := cty.MapVal(map[string]cty.Value{
+			"static0": cty.StringVal("static a 0"),
+			"static1": cty.StringVal("static a 1"),
+			"0":       cty.StringVal("dynamic a 0"),
+			"1":       cty.StringVal("dynamic a 1"),
+			"2":       cty.StringVal("dynamic a 2"),
+		})
+
+		if !got.RawEquals(want) {
+			t.Errorf("wrong result\ngot:  %#v\nwant: %#v", got, want)
+		}
+	})
+
+	t.Run("Decode", func(t *testing.T) {
+		decSpec := &hcldec.BlockListSpec{
+			TypeName: "b",
+			Nested: &hcldec.BlockListSpec{
+				TypeName: "c",
+				Nested: &hcldec.ObjectSpec{
+					"val0": &hcldec.AttrSpec{
+						Name: "val0",
+						Type: cty.String,
+					},
+					"val1": &hcldec.AttrSpec{
+						Name: "val1",
+						Type: cty.String,
+					},
+				},
+			},
+		}
+
+		var got cty.Value
+		var diags hcl.Diagnostics
+		got, diags = hcldec.Decode(remain, decSpec, nil)
+		if len(diags) != 0 {
+			t.Errorf("unexpected diagnostics")
+			for _, diag := range diags {
+				t.Logf("- %s", diag)
+			}
+			return
+		}
+
+		want := cty.ListVal([]cty.Value{
+			cty.ListVal([]cty.Value{
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("static c 0"),
+					"val1": cty.NullVal(cty.String),
+				}),
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("dynamic c 0"),
+					"val1": cty.NullVal(cty.String),
+				}),
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("dynamic c 1"),
+					"val1": cty.NullVal(cty.String),
+				}),
+			}),
+			cty.ListVal([]cty.Value{
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("static c 1"),
+					"val1": cty.StringVal("dynamic b 0"),
+				}),
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("dynamic c 2"),
+					"val1": cty.StringVal("dynamic b 0"),
+				}),
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("dynamic c 3"),
+					"val1": cty.StringVal("dynamic b 0"),
+				}),
+			}),
+			cty.ListVal([]cty.Value{
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("static c 1"),
+					"val1": cty.StringVal("dynamic b 1"),
+				}),
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("dynamic c 2"),
+					"val1": cty.StringVal("dynamic b 1"),
+				}),
+				cty.ObjectVal(map[string]cty.Value{
+					"val0": cty.StringVal("dynamic c 3"),
+					"val1": cty.StringVal("dynamic b 1"),
+				}),
+			}),
+		})
+
+		if !got.RawEquals(want) {
+			t.Errorf("wrong result\ngot:  %#v\nwant: %#v", got, want)
+		}
+	})
+
+}
diff --git a/ext/dynblock/expand_spec.go b/ext/dynblock/expand_spec.go
new file mode 100644
index 0000000..fa91c9f
--- /dev/null
+++ b/ext/dynblock/expand_spec.go
@@ -0,0 +1,202 @@
+package dynblock
+
+import (
+	"fmt"
+
+	"github.com/hashicorp/hcl2/hcl"
+	"github.com/zclconf/go-cty/cty"
+	"github.com/zclconf/go-cty/cty/convert"
+)
+
+type expandSpec struct {
+	blockType      string
+	blockTypeRange hcl.Range
+	defRange       hcl.Range
+	forEachVal     cty.Value
+	iteratorName   string
+	labelExprs     []hcl.Expression
+	contentBody    hcl.Body
+	inherited      map[string]*iteration
+}
+
+func (b *expandBody) decodeSpec(blockS *hcl.BlockHeaderSchema, rawSpec *hcl.Block) (*expandSpec, hcl.Diagnostics) {
+	var diags hcl.Diagnostics
+
+	var schema *hcl.BodySchema
+	if len(blockS.LabelNames) != 0 {
+		schema = dynamicBlockBodySchemaLabels
+	} else {
+		schema = dynamicBlockBodySchemaNoLabels
+	}
+
+	specContent, specDiags := rawSpec.Body.Content(schema)
+	diags = append(diags, specDiags...)
+	if specDiags.HasErrors() {
+		return nil, diags
+	}
+
+	//// for_each attribute
+
+	eachAttr := specContent.Attributes["for_each"]
+	eachVal, eachDiags := eachAttr.Expr.Value(b.forEachCtx)
+	diags = append(diags, eachDiags...)
+
+	if !eachVal.CanIterateElements() {
+		diags = append(diags, &hcl.Diagnostic{
+			Severity: hcl.DiagError,
+			Summary:  "Invalid dynamic for_each value",
+			Detail:   fmt.Sprintf("Cannot use a value of type %s in for_each. An iterable collection is required.", eachVal.Type()),
+			Subject:  eachAttr.Expr.Range().Ptr(),
+		})
+		return nil, diags
+	}
+	if eachVal.IsNull() {
+		diags = append(diags, &hcl.Diagnostic{
+			Severity: hcl.DiagError,
+			Summary:  "Invalid dynamic for_each value",
+			Detail:   "Cannot use a null value in for_each.",
+			Subject:  eachAttr.Expr.Range().Ptr(),
+		})
+		return nil, diags
+	}
+
+	//// iterator attribute
+
+	iteratorName := blockS.Type
+	if iteratorAttr := specContent.Attributes["iterator"]; iteratorAttr != nil {
+		itTraversal, itDiags := hcl.AbsTraversalForExpr(iteratorAttr.Expr)
+		diags = append(diags, itDiags...)
+		if itDiags.HasErrors() {
+			return nil, diags
+		}
+
+		if len(itTraversal) != 1 {
+			diags = append(diags, &hcl.Diagnostic{
+				Severity: hcl.DiagError,
+				Summary:  "Invalid dynamic iterator name",
+				Detail:   "Dynamic iterator must be a single variable name.",
+				Subject:  itTraversal.SourceRange().Ptr(),
+			})
+			return nil, diags
+		}
+
+		iteratorName = itTraversal.RootName()
+	}
+
+	var labelExprs []hcl.Expression
+	if labelsAttr := specContent.Attributes["labels"]; labelsAttr != nil {
+		var labelDiags hcl.Diagnostics
+		labelExprs, labelDiags = hcl.ExprList(labelsAttr.Expr)
+		diags = append(diags, labelDiags...)
+		if labelDiags.HasErrors() {
+			return nil, diags
+		}
+
+		if len(labelExprs) > len(blockS.LabelNames) {
+			diags = append(diags, &hcl.Diagnostic{
+				Severity: hcl.DiagError,
+				Summary:  "Extraneous dynamic block label",
+				Detail:   fmt.Sprintf("Blocks of type %q require %d label(s).", blockS.Type, len(blockS.LabelNames)),
+				Subject:  labelExprs[len(blockS.LabelNames)].Range().Ptr(),
+			})
+			return nil, diags
+		} else if len(labelExprs) < len(blockS.LabelNames) {
+			diags = append(diags, &hcl.Diagnostic{
+				Severity: hcl.DiagError,
+				Summary:  "Insufficient dynamic block labels",
+				Detail:   fmt.Sprintf("Blocks of type %q require %d label(s).", blockS.Type, len(blockS.LabelNames)),
+				Subject:  labelsAttr.Expr.Range().Ptr(),
+			})
+			return nil, diags
+		}
+	}
+
+	// Since our schema requests only blocks of type "content", we can assume
+	// that all entries in specContent.Blocks are content blocks.
+	if len(specContent.Blocks) == 0 {
+		diags = append(diags, &hcl.Diagnostic{
+			Severity: hcl.DiagError,
+			Summary:  "Missing dynamic content block",
+			Detail:   "A dynamic block must have a nested block of type \"content\" to describe the body of each generated block.",
+			Subject:  &specContent.MissingItemRange,
+		})
+		return nil, diags
+	}
+	if len(specContent.Blocks) > 1 {
+		diags = append(diags, &hcl.Diagnostic{
+			Severity: hcl.DiagError,
+			Summary:  "Extraneous dynamic content block",
+			Detail:   "Only one nested content block is allowed for each dynamic block.",
+			Subject:  &specContent.Blocks[1].DefRange,
+		})
+		return nil, diags
+	}
+
+	return &expandSpec{
+		blockType:      blockS.Type,
+		blockTypeRange: rawSpec.LabelRanges[0],
+		defRange:       rawSpec.DefRange,
+		forEachVal:     eachVal,
+		iteratorName:   iteratorName,
+		labelExprs:     labelExprs,
+		contentBody:    specContent.Blocks[0].Body,
+	}, diags
+}
+
+func (s *expandSpec) newBlock(i *iteration, ctx *hcl.EvalContext) (*hcl.Block, hcl.Diagnostics) {
+	var diags hcl.Diagnostics
+	var labels []string
+	var labelRanges []hcl.Range
+	lCtx := i.EvalContext(ctx)
+	for _, labelExpr := range s.labelExprs {
+		labelVal, labelDiags := labelExpr.Value(lCtx)
+		diags = append(diags, labelDiags...)
+		if labelDiags.HasErrors() {
+			return nil, diags
+		}
+
+		var convErr error
+		labelVal, convErr = convert.Convert(labelVal, cty.String)
+		if convErr != nil {
+			diags = append(diags, &hcl.Diagnostic{
+				Severity: hcl.DiagError,
+				Summary:  "Invalid dynamic block label",
+				Detail:   fmt.Sprintf("Cannot use this value as a dynamic block label: %s.", convErr),
+				Subject:  labelExpr.Range().Ptr(),
+			})
+			return nil, diags
+		}
+		if labelVal.IsNull() {
+			diags = append(diags, &hcl.Diagnostic{
+				Severity: hcl.DiagError,
+				Summary:  "Invalid dynamic block label",
+				Detail:   "Cannot use a null value as a dynamic block label.",
+				Subject:  labelExpr.Range().Ptr(),
+			})
+			return nil, diags
+		}
+		if !labelVal.IsKnown() {
+			diags = append(diags, &hcl.Diagnostic{
+				Severity: hcl.DiagError,
+				Summary:  "Invalid dynamic block label",
+				Detail:   "This value is not yet known. Dynamic block labels must be immediately-known values.",
+				Subject:  labelExpr.Range().Ptr(),
+			})
+			return nil, diags
+		}
+
+		labels = append(labels, labelVal.AsString())
+		labelRanges = append(labelRanges, labelExpr.Range())
+	}
+
+	block := &hcl.Block{
+		Type:        s.blockType,
+		TypeRange:   s.blockTypeRange,
+		Labels:      labels,
+		LabelRanges: labelRanges,
+		DefRange:    s.defRange,
+		Body:        s.contentBody,
+	}
+
+	return block, diags
+}
diff --git a/ext/dynblock/expr_wrap.go b/ext/dynblock/expr_wrap.go
new file mode 100644
index 0000000..f29d5a6
--- /dev/null
+++ b/ext/dynblock/expr_wrap.go
@@ -0,0 +1,60 @@
+package dynblock
+
+import (
+	"github.com/hashicorp/hcl2/hcl"
+	"github.com/zclconf/go-cty/cty"
+)
+
+type exprWrap struct {
+	hcl.Expression
+	i *iteration
+}
+
+func (e exprWrap) Variables() []hcl.Traversal {
+	raw := e.Expression.Variables()
+	ret := make([]hcl.Traversal, 0, len(raw))
+
+	// Filter out traversals that refer to our iterator name or any
+	// iterator we've inherited; we're going to provide those in
+	// our Value wrapper, so the caller doesn't need to know about them.
+	for _, traversal := range raw {
+		rootName := traversal.RootName()
+		if rootName == e.i.IteratorName {
+			continue
+		}
+		if _, inherited := e.i.Inherited[rootName]; inherited {
+			continue
+		}
+		ret = append(ret, traversal)
+	}
+	return ret
+}
+
+func (e exprWrap) Value(ctx *hcl.EvalContext) (cty.Value, hcl.Diagnostics) {
+	extCtx := e.i.EvalContext(ctx)
+	return e.Expression.Value(extCtx)
+}
+
+// Passthrough implementation for hcl.ExprList
+func (e exprWrap) ExprList() []hcl.Expression {
+	type exprList interface {
+		ExprList() []hcl.Expression
+	}
+
+	if el, supported := e.Expression.(exprList); supported {
+		return el.ExprList()
+	}
+	return nil
+}
+
+// Passthrough implementation for hcl.AbsTraversalForExpr and hcl.RelTraversalForExpr
+func (e exprWrap) AsTraversal() hcl.Traversal {
+	type asTraversal interface {
+		AsTraversal() hcl.Traversal
+	}
+
+	if at, supported := e.Expression.(asTraversal); supported {
+		return at.AsTraversal()
+	}
+	return nil
+}
diff --git a/ext/dynblock/iteration.go b/ext/dynblock/iteration.go
new file mode 100644
index 0000000..580fa43
--- /dev/null
+++ b/ext/dynblock/iteration.go
@@ -0,0 +1,64 @@
+package dynblock
+
+import (
+	"github.com/hashicorp/hcl2/hcl"
+	"github.com/zclconf/go-cty/cty"
+)
+
+type iteration struct {
+	IteratorName string
+	Key          cty.Value
+	Value        cty.Value
+	Inherited    map[string]*iteration
+}
+
+func (s *expandSpec) MakeIteration(key, value cty.Value) *iteration {
+	return &iteration{
+		IteratorName: s.iteratorName,
+		Key:          key,
+		Value:        value,
+		Inherited:    s.inherited,
+	}
+}
+
+func (i *iteration) Object() cty.Value {
+	return cty.ObjectVal(map[string]cty.Value{
+		"key":   i.Key,
+		"value": i.Value,
+	})
+}
+
+func (i *iteration) EvalContext(base *hcl.EvalContext) *hcl.EvalContext {
+	new := base.NewChild()
+	new.Variables = map[string]cty.Value{}
+
+	for name, otherIt := range i.Inherited {
+		new.Variables[name] = otherIt.Object()
+	}
+	new.Variables[i.IteratorName] = i.Object()
+
+	return new
+}
+
+func (i *iteration) MakeChild(iteratorName string, key, value cty.Value) *iteration {
+	if i == nil {
+		// Create entirely new root iteration, then
+		return &iteration{
+			IteratorName: iteratorName,
+			Key:          key,
+			Value:        value,
+		}
+	}
+
+	inherited := map[string]*iteration{}
+	for name, otherIt := range i.Inherited {
+		inherited[name] = otherIt
+	}
+	inherited[i.IteratorName] = i
+	return &iteration{
+		IteratorName: iteratorName,
+		Key:          key,
+		Value:        value,
+		Inherited:    inherited,
+	}
+}
diff --git a/ext/dynblock/public.go b/ext/dynblock/public.go
new file mode 100644
index 0000000..b7e8ca9
--- /dev/null
+++ b/ext/dynblock/public.go
@@ -0,0 +1,44 @@
+package dynblock
+
+import (
+	"github.com/hashicorp/hcl2/hcl"
+)
+
+// Expand "dynamic" blocks in the given body, returning a new body that
+// has those blocks expanded.
+//
+// The given EvalContext is used when evaluating "for_each" and "labels"
+// attributes within dynamic blocks, allowing those expressions access to
+// variables and functions beyond the iterator variable created by the
+// iteration.
+//
+// Expand returns no diagnostics because no blocks are actually expanded
+// until a call to Content or PartialContent on the returned body, which
+// will then expand only the blocks selected by the schema.
+//
+// "dynamic" blocks are also expanded automatically within nested blocks
+// in the given body, including within other dynamic blocks, thus allowing
+// multi-dimensional iteration. However, it is not possible to
+// dynamically-generate the "dynamic" blocks themselves except through nesting.
+//
+//     parent {
+//       dynamic "child" {
+//         for_each = child_objs
+//         content {
+//           dynamic "grandchild" {
+//             for_each = child.value.children
+//             labels   = [grandchild.key]
+//             content {
+//               parent_key = child.key
+//               value      = grandchild.value
+//             }
+//           }
+//         }
+//       }
+//     }
+func Expand(body hcl.Body, ctx *hcl.EvalContext) hcl.Body {
+	return &expandBody{
+		original:   body,
+		forEachCtx: ctx,
+	}
+}
diff --git a/ext/dynblock/schema.go b/ext/dynblock/schema.go
new file mode 100644
index 0000000..dc8ed5a
--- /dev/null
+++ b/ext/dynblock/schema.go
@@ -0,0 +1,50 @@
+package dynblock
+
+import "github.com/hashicorp/hcl2/hcl"
+
+var dynamicBlockHeaderSchema = hcl.BlockHeaderSchema{
+	Type:       "dynamic",
+	LabelNames: []string{"type"},
+}
+
+var dynamicBlockBodySchemaLabels = &hcl.BodySchema{
+	Attributes: []hcl.AttributeSchema{
+		{
+			Name:     "for_each",
+			Required: true,
+		},
+		{
+			Name:     "iterator",
+			Required: false,
+		},
+		{
+			Name:     "labels",
+			Required: true,
+		},
+	},
+	Blocks: []hcl.BlockHeaderSchema{
+		{
+			Type:       "content",
+			LabelNames: nil,
+		},
+	},
+}
+
+var dynamicBlockBodySchemaNoLabels = &hcl.BodySchema{
+	Attributes: []hcl.AttributeSchema{
+		{
+			Name:     "for_each",
+			Required: true,
+		},
+		{
+			Name:     "iterator",
+			Required: false,
+		},
+	},
+	Blocks: []hcl.BlockHeaderSchema{
+		{
+			Type:       "content",
+			LabelNames: nil,
+		},
+	},
+}
diff --git a/ext/dynblock/variables.go b/ext/dynblock/variables.go
new file mode 100644
index 0000000..245fb09
--- /dev/null
+++ b/ext/dynblock/variables.go
@@ -0,0 +1,72 @@
+package dynblock
+
+import (
+	"github.com/hashicorp/hcl2/hcl"
+)
+
+// ForEachVariables looks for "dynamic" blocks inside the given body
+// (which should be a body that would be passed to Expand, not the return
+// value of Expand) and returns any variables that are used within their
+// "for_each" and "labels" expressions, for use in dynamically constructing a
+// scope to pass as part of a hcl.EvalContext to Transformer.
+func ForEachVariables(original hcl.Body) []hcl.Traversal {
+	var traversals []hcl.Traversal
+	container, _, _ := original.PartialContent(variableDetectionContainerSchema)
+	if container == nil {
+		return traversals
+	}
+
+	for _, block := range container.Blocks {
+		inner, _, _ := block.Body.PartialContent(variableDetectionInnerSchema)
+		if inner == nil {
+			continue
+		}
+		iteratorName := block.Labels[0]
+		if attr, exists := inner.Attributes["iterator"]; exists {
+			iterTraversal, _ := hcl.AbsTraversalForExpr(attr.Expr)
+			if len(iterTraversal) > 0 {
+				iteratorName = iterTraversal.RootName()
+			}
+		}
+
+		if attr, exists := inner.Attributes["for_each"]; exists {
+			traversals = append(traversals, attr.Expr.Variables()...)
+		}
+		if attr, exists := inner.Attributes["labels"]; exists {
+			// Filter out our own iterator name, since the caller
+			// doesn't need to provide that.
+			for _, traversal := range attr.Expr.Variables() {
+				if traversal.RootName() != iteratorName {
+					traversals = append(traversals, traversal)
+				}
+			}
+		}
+	}
+
+	return traversals
+}
+
+// These are more-relaxed schemata than what's in schema.go, since we
+// want to maximize the amount of variables we can find even if there
+// are erroneous blocks.
+var variableDetectionContainerSchema = &hcl.BodySchema{
+	Blocks: []hcl.BlockHeaderSchema{
+		dynamicBlockHeaderSchema,
+	},
+}
+var variableDetectionInnerSchema = &hcl.BodySchema{
+	Attributes: []hcl.AttributeSchema{
+		{
+			Name:     "for_each",
+			Required: false,
+		},
+		{
+			Name:     "labels",
+			Required: false,
+		},
+		{
+			Name:     "iterator",
+			Required: false,
+		},
+	},
+}