diff --git a/doc/build/changelog/unreleased_14/7537.rst b/doc/build/changelog/unreleased_14/7537.rst
new file mode 100644
index 0000000000..d48cf30a07
--- /dev/null
+++ b/doc/build/changelog/unreleased_14/7537.rst
@@ -0,0 +1,17 @@
+.. change::
+    :tags: bug, sql, postgresql
+    :tickets: 7537
+
+    Added additional rule to the system that determines ``TypeEngine``
+    implementations from Python literals to apply a second level of adjustment
+    to the type, so that a Python datetime with or without tzinfo can set the
+    ``timezone=True`` parameter on the returned :class:`.DateTime` object, as
+    well as :class:`.Time`. This helps with some round-trip scenarios on
+    type-sensitive PostgreSQL dialects such as asyncpg, psycopg3 (2.0 only).
+
+.. change::
+    :tags: bug, postgresql, asyncpg
+    :tickets: 7537
+
+    Improved support for asyncpg handling of TIME WITH TIMEZONE, which
+    was not fully implemented.
diff --git a/lib/sqlalchemy/sql/sqltypes.py b/lib/sqlalchemy/sql/sqltypes.py
index cda7b35cda..8a862d121a 100644
--- a/lib/sqlalchemy/sql/sqltypes.py
+++ b/lib/sqlalchemy/sql/sqltypes.py
@@ -622,6 +622,13 @@ class DateTime(_LookupExpressionAdapter, TypeEngine):
     def get_dbapi_type(self, dbapi):
         return dbapi.DATETIME
 
+    def _resolve_for_literal(self, value):
+        with_timezone = value.tzinfo is not None
+        if with_timezone and not self.timezone:
+            return DATETIME_TIMEZONE
+        else:
+            return self
+
     @property
     def python_type(self):
         return dt.datetime
@@ -692,6 +699,13 @@ class Time(_LookupExpressionAdapter, TypeEngine):
     def python_type(self):
         return dt.time
 
+    def _resolve_for_literal(self, value):
+        with_timezone = value.tzinfo is not None
+        if with_timezone and not self.timezone:
+            return TIME_TIMEZONE
+        else:
+            return self
+
     @util.memoized_property
     def _expression_adaptations(self):
         # Based on https://www.postgresql.org/docs/current/\
@@ -2994,6 +3008,8 @@ STRINGTYPE = String()
 INTEGERTYPE = Integer()
 MATCHTYPE = MatchType()
 TABLEVALUE = TableValueType()
+DATETIME_TIMEZONE = DateTime(timezone=True)
+TIME_TIMEZONE = Time(timezone=True)
 
 _type_map = {
     int: Integer(),
@@ -3031,7 +3047,7 @@ def _resolve_value_to_type(value):
             )
         return NULLTYPE
     else:
-        return _result_type
+        return _result_type._resolve_for_literal(value)
 
 
 # back-assign to type_api
diff --git a/lib/sqlalchemy/sql/type_api.py b/lib/sqlalchemy/sql/type_api.py
index 07cd4d95fb..b087dd1e94 100644
--- a/lib/sqlalchemy/sql/type_api.py
+++ b/lib/sqlalchemy/sql/type_api.py
@@ -592,6 +592,17 @@ class TypeEngine(Traversible):
         )
         return new_type
 
+    def _resolve_for_literal(self, value):
+        """adjust this type given a literal Python value that will be
+        stored in a bound parameter.
+
+        Used exclusively by _resolve_value_to_type().
+
+        .. versionadded:: 1.4.30 or 2.0
+
+        """
+        return self
+
     @util.memoized_property
     def _type_affinity(self):
         """Return a rudimental 'affinity' value expressing the general class
diff --git a/lib/sqlalchemy/testing/requirements.py b/lib/sqlalchemy/testing/requirements.py
index 5cf80a1fb8..e87ed6edc6 100644
--- a/lib/sqlalchemy/testing/requirements.py
+++ b/lib/sqlalchemy/testing/requirements.py
@@ -753,6 +753,29 @@ class SuiteRequirements(Requirements):
 
         return exclusions.open()
 
+    @property
+    def datetime_timezone(self):
+        """target dialect supports representation of Python
+        datetime.datetime() with tzinfo with DateTime(timezone=True)."""
+
+        return exclusions.closed()
+
+    @property
+    def time_timezone(self):
+        """target dialect supports representation of Python
+        datetime.time() with tzinfo with Time(timezone=True)."""
+
+        return exclusions.closed()
+
+    @property
+    def datetime_implicit_bound(self):
+        """target dialect when given a datetime object will bind it such
+        that the database server knows the object is a datetime, and not
+        a plain string.
+
+        """
+        return exclusions.open()
+
     @property
     def datetime_microseconds(self):
         """target dialect supports representation of Python
@@ -767,6 +790,16 @@ class SuiteRequirements(Requirements):
         if TIMESTAMP is used."""
         return exclusions.closed()
 
+    @property
+    def timestamp_microseconds_implicit_bound(self):
+        """target dialect when given a datetime object which also includes
+        a microseconds portion when using the TIMESTAMP data type
+        will bind it such that the database server knows
+        the object is a datetime with microseconds, and not a plain string.
+
+        """
+        return self.timestamp_microseconds
+
     @property
     def datetime_historic(self):
         """target dialect supports representation of Python
diff --git a/lib/sqlalchemy/testing/suite/test_types.py b/lib/sqlalchemy/testing/suite/test_types.py
index 78596457ee..796de5d939 100644
--- a/lib/sqlalchemy/testing/suite/test_types.py
+++ b/lib/sqlalchemy/testing/suite/test_types.py
@@ -302,6 +302,11 @@ class _DateFixture(_LiteralRoundTripFixture, fixtures.TestBase):
             Column("decorated_date_data", Decorated),
         )
 
+    @testing.requires.datetime_implicit_bound
+    def test_select_direct(self, connection):
+        result = connection.scalar(select(literal(self.data)))
+        eq_(result, self.data)
+
     def test_round_trip(self, connection):
         date_table = self.tables.date_table
 
@@ -376,6 +381,15 @@ class DateTimeTest(_DateFixture, fixtures.TablesTest):
     data = datetime.datetime(2012, 10, 15, 12, 57, 18)
 
 
+class DateTimeTZTest(_DateFixture, fixtures.TablesTest):
+    __requires__ = ("datetime_timezone",)
+    __backend__ = True
+    datatype = DateTime(timezone=True)
+    data = datetime.datetime(
+        2012, 10, 15, 12, 57, 18, tzinfo=datetime.timezone.utc
+    )
+
+
 class DateTimeMicrosecondsTest(_DateFixture, fixtures.TablesTest):
     __requires__ = ("datetime_microseconds",)
     __backend__ = True
@@ -389,6 +403,11 @@ class TimestampMicrosecondsTest(_DateFixture, fixtures.TablesTest):
     datatype = TIMESTAMP
     data = datetime.datetime(2012, 10, 15, 12, 57, 18, 396)
 
+    @testing.requires.timestamp_microseconds_implicit_bound
+    def test_select_direct(self, connection):
+        result = connection.scalar(select(literal(self.data)))
+        eq_(result, self.data)
+
 
 class TimeTest(_DateFixture, fixtures.TablesTest):
     __requires__ = ("time",)
@@ -397,6 +416,13 @@ class TimeTest(_DateFixture, fixtures.TablesTest):
     data = datetime.time(12, 57, 18)
 
 
+class TimeTZTest(_DateFixture, fixtures.TablesTest):
+    __requires__ = ("time_timezone",)
+    __backend__ = True
+    datatype = Time(timezone=True)
+    data = datetime.time(12, 57, 18, tzinfo=datetime.timezone.utc)
+
+
 class TimeMicrosecondsTest(_DateFixture, fixtures.TablesTest):
     __requires__ = ("time_microseconds",)
     __backend__ = True
@@ -1515,6 +1541,7 @@ __all__ = (
     "JSONLegacyStringCastIndexTest",
     "DateTest",
     "DateTimeTest",
+    "DateTimeTZTest",
     "TextTest",
     "NumericTest",
     "IntegerTest",
@@ -1524,6 +1551,7 @@ __all__ = (
     "TimeMicrosecondsTest",
     "TimestampMicrosecondsTest",
     "TimeTest",
+    "TimeTZTest",
     "TrueDivTest",
     "DateTimeMicrosecondsTest",
     "DateHistoricTest",
diff --git a/test/requirements.py b/test/requirements.py
index 3934dd23fc..eede69eb63 100644
--- a/test/requirements.py
+++ b/test/requirements.py
@@ -1046,6 +1046,23 @@ class DefaultRequirements(SuiteRequirements):
 
         return exclusions.open()
 
+    @property
+    def datetime_implicit_bound(self):
+        """target dialect when given a datetime object will bind it such
+        that the database server knows the object is a datetime, and not
+        a plain string.
+
+        """
+        return exclusions.fails_on(["mysql", "mariadb"])
+
+    @property
+    def datetime_timezone(self):
+        return exclusions.only_on("postgresql")
+
+    @property
+    def time_timezone(self):
+        return exclusions.only_on("postgresql") + exclusions.skip_if("+pg8000")
+
     @property
     def datetime_microseconds(self):
         """target dialect supports representation of Python
@@ -1061,6 +1078,10 @@ class DefaultRequirements(SuiteRequirements):
 
         return only_on(["oracle"])
 
+    @property
+    def timestamp_microseconds_implicit_bound(self):
+        return self.timestamp_microseconds + exclusions.fails_on(["oracle"])
+
     @property
     def datetime_historic(self):
         """target dialect supports representation of Python