diff --git a/pytype/load_pytd.py b/pytype/load_pytd.py
index ac422811e..b314e8d01 100644
--- a/pytype/load_pytd.py
+++ b/pytype/load_pytd.py
@@ -737,6 +737,11 @@ def finish_and_verify_ast(self, mod_ast):
               self._modules[k].ast
           )
         mod_ast = self._resolve_external_types(mod_ast)
+        # Circular imports can leave type params (e.g. ParamSpecArgs)
+        # unresolved. External type parameters are added to the AST in
+        # visitors.AdjustTypeParameters, after resolving local types. But those
+        # are needed to resolve e.g. `_P.args` references.
+        mod_ast = self._resolver.resolve_local_types(mod_ast)
         self._resolver.verify(mod_ast)
     return mod_ast
 
diff --git a/pytype/load_pytd_test.py b/pytype/load_pytd_test.py
index cfd7b2ba3..5268db13e 100644
--- a/pytype/load_pytd_test.py
+++ b/pytype/load_pytd_test.py
@@ -280,6 +280,43 @@ class Popen: ...
           )
       )
 
+  def test_circular_dependency_with_type_param(self):
+    with test_utils.Tempdir() as d:
+      d.create_file(
+          "bar.pyi",
+          """
+          from typing import Callable, ParamSpec
+
+          from foo import Foo
+
+          _P = ParamSpec("_P")
+
+          class Bar:
+            foo: Foo | None
+          def bar(obj: Callable[_P, None], /, *args: _P.args, **kwargs: _P.kwargs) -> Bar: ...
+          """,
+      )
+      d.create_file(
+          "foo.pyi",
+          """
+          from bar import bar as _bar
+
+          class Foo: ...
+          bar = _bar
+          """,
+      )
+      loader = load_pytd.Loader(
+          config.Options.create(
+              module_name="base",
+              python_version=self.python_version,
+              pythonpath=d.path,
+          )
+      )
+      bar = loader.import_name("bar")
+      foo = loader.import_name("foo")
+      self.assertTrue(bar.Lookup("bar.bar"))
+      self.assertTrue(foo.Lookup("foo.bar"))
+
   def test_cache(self):
     with test_utils.Tempdir() as d:
       d.create_file("foo.pyi", "def get_bar() -> bar.Bar: ...")