diff --git a/compiler/Builder.js b/compiler/Builder.js
index e4e3881fd..6d626e524 100644
--- a/compiler/Builder.js
+++ b/compiler/Builder.js
@@ -44,6 +44,7 @@ var ThisExpression = require('./ast/ThisExpression');
 var Expression = require('./ast/Expression');
 var parseExpression = require('./util/parseExpression');
 var parseJavaScriptArgs = require('./util/parseJavaScriptArgs');
+var removeEscapeFunctions = require('./util/removeEscapeFunctions');
 
 var DEFAULT_BUILDER;
 
@@ -295,9 +296,13 @@ class Builder {
         return new ObjectExpression({properties});
     }
 
-    parseExpression(str) {
+    parseExpression(str, options) {
         ok(typeof str === 'string', '"str" should be a string expression');
-        return parseExpression(str, DEFAULT_BUILDER);
+        var parsed = parseExpression(str, DEFAULT_BUILDER);
+        if (options && options.escapeXml === false) {
+            parsed = removeEscapeFunctions(parsed);
+        }
+        return parsed;
     }
 
     parseJavaScriptArgs(args) {
diff --git a/taglibs/html/html-element-tag.js b/taglibs/html/html-element-tag.js
new file mode 100644
index 000000000..e58f2e751
--- /dev/null
+++ b/taglibs/html/html-element-tag.js
@@ -0,0 +1,14 @@
+'use strict';
+
+module.exports = function(elNode, codegen) {
+    var tagName = elNode.argument;
+    if (!tagName) {
+        codegen.addError('Invalid <html-element> tag. Expected: <html-element(<tag-name-expression>) ... >');
+        return;
+    }
+
+    tagName = codegen.builder.parseExpression(tagName, { escapeXml: false });
+
+    elNode.setTagName(tagName);
+    return elNode;
+};
\ No newline at end of file
diff --git a/taglibs/html/marko-taglib.json b/taglibs/html/marko-taglib.json
index 750a12308..409f32798 100644
--- a/taglibs/html/marko-taglib.json
+++ b/taglibs/html/marko-taglib.json
@@ -2,5 +2,8 @@
     "taglib-id": "marko-html",
     "<html-comment>": {
         "renderer": "./html-comment-tag.js"
+    },
+    "<html-element>": {
+        "code-generator": "./html-element-tag.js"
     }
 }
\ No newline at end of file
diff --git a/test/fixtures/render/autotest/dynamic-tag-name/template.marko b/test/fixtures/render/autotest/dynamic-tag-name/template.marko
deleted file mode 100644
index b440eb846..000000000
--- a/test/fixtures/render/autotest/dynamic-tag-name/template.marko
+++ /dev/null
@@ -1,3 +0,0 @@
-<html-element tag-name="hello-${data.myTagName}" class="my-class" foo="bar">
-    My nested content
-</html-element>
\ No newline at end of file
diff --git a/test/fixtures/render/autotest/dynamic-tag-name/expected.html b/test/fixtures/render/autotest/html-element-tag/expected.html
similarity index 100%
rename from test/fixtures/render/autotest/dynamic-tag-name/expected.html
rename to test/fixtures/render/autotest/html-element-tag/expected.html
diff --git a/test/fixtures/render/autotest/html-element-tag/template.marko b/test/fixtures/render/autotest/html-element-tag/template.marko
new file mode 100644
index 000000000..2bbc19fb9
--- /dev/null
+++ b/test/fixtures/render/autotest/html-element-tag/template.marko
@@ -0,0 +1,3 @@
+<html-element("hello-${data.myTagName}") class="my-class" foo="bar">
+    My nested content
+</html-element>
\ No newline at end of file
diff --git a/test/fixtures/render/autotest/dynamic-tag-name/test.js b/test/fixtures/render/autotest/html-element-tag/test.js
similarity index 100%
rename from test/fixtures/render/autotest/dynamic-tag-name/test.js
rename to test/fixtures/render/autotest/html-element-tag/test.js