diff --git a/module/zfs/arc.c b/module/zfs/arc.c
index 611b50c1e..aa193fe59 100644
--- a/module/zfs/arc.c
+++ b/module/zfs/arc.c
@@ -3654,7 +3654,13 @@ arc_hdr_destroy(arc_buf_hdr_t *hdr)
 	}
 	ASSERT(!HDR_IO_IN_PROGRESS(hdr));
 	ASSERT(!HDR_IN_HASH_TABLE(hdr));
+	boolean_t l1hdr_destroyed = B_FALSE;
 
+	/*
+	 * If L2_WRITING, destroy L1HDR before L2HDR (under mutex) so
+	 * arc_hdr_free_abd() can properly defer ABDs. Otherwise, destroy
+	 * L1HDR outside mutex to minimize contention.
+	 */
 	if (HDR_HAS_L2HDR(hdr)) {
 		l2arc_dev_t *dev = hdr->b_l2hdr.b_dev;
 		boolean_t buflist_held = MUTEX_HELD(&dev->l2ad_mtx);
@@ -3672,9 +3678,26 @@ arc_hdr_destroy(arc_buf_hdr_t *hdr)
 		 * want to re-destroy the header's L2 portion.
 		 */
 		if (HDR_HAS_L2HDR(hdr)) {
+			if (HDR_L2_WRITING(hdr)) {
+				l1hdr_destroyed = B_TRUE;
 
-			if (!HDR_EMPTY(hdr))
-				buf_discard_identity(hdr);
+				if (!HDR_EMPTY(hdr))
+					buf_discard_identity(hdr);
+
+				if (HDR_HAS_L1HDR(hdr)) {
+					arc_cksum_free(hdr);
+
+					while (hdr->b_l1hdr.b_buf != NULL)
+						arc_buf_destroy_impl(
+						    hdr->b_l1hdr.b_buf);
+
+					if (hdr->b_l1hdr.b_pabd != NULL)
+						arc_hdr_free_abd(hdr, B_FALSE);
+
+					if (HDR_HAS_RABD(hdr))
+						arc_hdr_free_abd(hdr, B_TRUE);
+				}
+			}
 
 			arc_hdr_l2hdr_destroy(hdr);
 		}
@@ -3683,26 +3706,22 @@ arc_hdr_destroy(arc_buf_hdr_t *hdr)
 			mutex_exit(&dev->l2ad_mtx);
 	}
 
-	/*
-	 * The header's identify can only be safely discarded once it is no
-	 * longer discoverable.  This requires removing it from the hash table
-	 * and the l2arc header list.  After this point the hash lock can not
-	 * be used to protect the header.
-	 */
-	if (!HDR_EMPTY(hdr))
-		buf_discard_identity(hdr);
+	if (!l1hdr_destroyed) {
+		if (!HDR_EMPTY(hdr))
+			buf_discard_identity(hdr);
 
-	if (HDR_HAS_L1HDR(hdr)) {
-		arc_cksum_free(hdr);
+		if (HDR_HAS_L1HDR(hdr)) {
+			arc_cksum_free(hdr);
 
-		while (hdr->b_l1hdr.b_buf != NULL)
-			arc_buf_destroy_impl(hdr->b_l1hdr.b_buf);
+			while (hdr->b_l1hdr.b_buf != NULL)
+				arc_buf_destroy_impl(hdr->b_l1hdr.b_buf);
 
-		if (hdr->b_l1hdr.b_pabd != NULL)
-			arc_hdr_free_abd(hdr, B_FALSE);
+			if (hdr->b_l1hdr.b_pabd != NULL)
+				arc_hdr_free_abd(hdr, B_FALSE);
 
-		if (HDR_HAS_RABD(hdr))
-			arc_hdr_free_abd(hdr, B_TRUE);
+			if (HDR_HAS_RABD(hdr))
+				arc_hdr_free_abd(hdr, B_TRUE);
+		}
 	}
 
 	ASSERT0P(hdr->b_hash_next);