AbstractThe first palladium‐catalyzed allylation of isocyanoacetates with vinyl aziridines has been developed. The reaction conditions were suitable for a variety of α‐aryl isocyanoacetates as well as N‐substituted vinyl aziridines, affording the corresponding allylation products in moderate to high yields (up to 98 %) along with excellent stereoselectivity and regioselectivity. Transformations of the allylation products into trans‐4,5‐dehydrolysine analogues and a highly functionalized proline ester derivative were further demonstrated, and a preliminary asymmetric version of the reaction has also been evaluated.