diff --git a/CHANGES.md b/CHANGES.md
index ac0cd6f..0cdfaff 100644
--- a/CHANGES.md
+++ b/CHANGES.md
@@ -12,9 +12,7 @@
 * Added `environment.yml` to setup a conda/mamba development environment. 
 * Updated copyright notice.
 * Changed the development dependency from `h5netcdf` to `h5netcdf[h5py]`
-  to ensure the HDF5 backend required by NetCDF tests is installed and
-  constrained `xarray` to `<2026.4` to retain compatibility with
-  the Zarr 2. (#110)
+  to ensure the HDF5 backend required by NetCDF tests is installed. (#110)
 
 ## Version 0.8.0 (from 2024-10-04)
 
diff --git a/environment.yml b/environment.yml
index 1d18372..74e46d9 100644
--- a/environment.yml
+++ b/environment.yml
@@ -11,7 +11,7 @@ dependencies:
   - numcodecs
   - numpy
   - pyyaml
-  - xarray <2026.4
+  - xarray
   - zarr >=3,<4
   # Dev Dependencies
   - isort
diff --git a/pyproject.toml b/pyproject.toml
index 67a1f3c..713ebe7 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -27,7 +27,7 @@ dependencies = [
   "numcodecs",
   "numpy",
   "pyyaml",
-  "xarray <2026.4",
+  "xarray",
   "zarr >=3,<4"
 ]