diff --git a/plugins/gradle/src/org/jetbrains/plugins/gradle/service/execution/GradleExecutionHelper.java b/plugins/gradle/src/org/jetbrains/plugins/gradle/service/execution/GradleExecutionHelper.java
index 6b6e51d22a76..0f6ef0399041 100644
--- a/plugins/gradle/src/org/jetbrains/plugins/gradle/service/execution/GradleExecutionHelper.java
+++ b/plugins/gradle/src/org/jetbrains/plugins/gradle/service/execution/GradleExecutionHelper.java
@@ -15,6 +15,7 @@
  */
 package org.jetbrains.plugins.gradle.service.execution;
 
+import com.google.common.annotations.VisibleForTesting;
 import com.intellij.execution.configurations.GeneralCommandLine;
 import com.intellij.openapi.application.Application;
 import com.intellij.openapi.application.ApplicationManager;
@@ -143,7 +144,9 @@ public class GradleExecutionHelper {
     }
 
     if (!settings.getArguments().isEmpty()) {
-      LOG.info("Passing command-line args to Gradle Tooling API: " + StringUtil.join(settings.getArguments(), " "));
+      String loggableArgs = StringUtil.join(obfuscatePasswordParameters(settings.getArguments()), " ");
+      LOG.info("Passing command-line args to Gradle Tooling API: " + loggableArgs);
+
       // filter nulls and empty strings
       List<String> filteredArgs = ContainerUtil.mapNotNull(settings.getArguments(), s -> StringUtil.isEmpty(s) ? null : s);
 
@@ -575,6 +578,26 @@ public class GradleExecutionHelper {
     return result;
   }
 
+  @VisibleForTesting
+  @NotNull
+  static List<String> obfuscatePasswordParameters(@NotNull List<String> commandLineArguments) {
+    List<String> replaced = new ArrayList<>(commandLineArguments.size());
+    final String PASSWORD_PARAMETER_IDENTIFIER = ".password=";
+    for (String option : commandLineArguments) {
+      // Find parameters ending in "password", like:
+      //   -Pandroid.injected.signing.store.password=
+      //   -Pandroid.injected.signing.key.password=
+      int index = option.indexOf(PASSWORD_PARAMETER_IDENTIFIER);
+      if (index == -1) {
+        replaced.add(option);
+      }
+      else {
+        replaced.add(option.substring(0, index + PASSWORD_PARAMETER_IDENTIFIER.length()) + "*********");
+      }
+    }
+    return replaced;
+  }
+
   /**
    * @deprecated to be removed in future version
    */
diff --git a/plugins/gradle/testSources/org/jetbrains/plugins/gradle/service/execution/GradleExecutionHelperTest.java b/plugins/gradle/testSources/org/jetbrains/plugins/gradle/service/execution/GradleExecutionHelperTest.java
new file mode 100644
index 000000000000..20bdb70a4289
--- /dev/null
+++ b/plugins/gradle/testSources/org/jetbrains/plugins/gradle/service/execution/GradleExecutionHelperTest.java
@@ -0,0 +1,51 @@
+/*
+ * Copyright (C) 2017 The Android Open Source Project
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *      http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.jetbrains.plugins.gradle.service.execution;
+
+import com.google.common.collect.ImmutableList;
+import org.junit.Test;
+
+import java.util.List;
+
+import static org.junit.Assert.assertEquals;
+
+public class GradleExecutionHelperTest {
+
+  @Test
+  public void testPasswordObfuscation() throws Exception {
+    List<String> originalArgs = ImmutableList.of(
+      "--configure-on-demand",
+      "-Pandroid.injected.invoked.from.ide=true",
+      "-Pandroid.injected.signing.store.password=asdfghjkl;",
+      "-Pandroid.injected.signing.key.alias=testKey",
+      "-Pandroid.injected.signing.key.password=blabla",
+      "/tmp/asLocalRepo1004.gradle"
+    );
+
+    List<String> obfuscatedArgs = GradleExecutionHelper.obfuscatePasswordParameters(originalArgs);
+
+    List<String> expectedArgs = ImmutableList.of(
+      "--configure-on-demand",
+      "-Pandroid.injected.invoked.from.ide=true",
+      "-Pandroid.injected.signing.store.password=*********",
+      "-Pandroid.injected.signing.key.alias=testKey",
+      "-Pandroid.injected.signing.key.password=*********",
+      "/tmp/asLocalRepo1004.gradle"
+    );
+
+    assertEquals(obfuscatedArgs, expectedArgs);
+  }
+}