diff --git a/crates/ide_assists/src/assist_context.rs b/crates/ide_assists/src/assist_context.rs
index 1482d37f842c..8714e4978c54 100644
--- a/crates/ide_assists/src/assist_context.rs
+++ b/crates/ide_assists/src/assist_context.rs
@@ -13,7 +13,7 @@ use ide_db::{
     RootDatabase,
 };
 use syntax::{
-    algo::{self, find_node_at_offset, SyntaxRewriter},
+    algo::{self, find_node_at_offset, find_node_at_range, SyntaxRewriter},
     AstNode, AstToken, SourceFile, SyntaxElement, SyntaxKind, SyntaxNode, SyntaxNodePtr,
     SyntaxToken, TextRange, TextSize, TokenAtOffset,
 };
@@ -89,6 +89,9 @@ impl<'a> AssistContext<'a> {
     pub(crate) fn find_node_at_offset<N: AstNode>(&self) -> Option<N> {
         find_node_at_offset(self.source_file.syntax(), self.offset())
     }
+    pub(crate) fn find_node_at_range<N: AstNode>(&self) -> Option<N> {
+        find_node_at_range(self.source_file.syntax(), self.frange.range)
+    }
     pub(crate) fn find_node_at_offset_with_descend<N: AstNode>(&self) -> Option<N> {
         self.sema.find_node_at_offset_with_descend(self.source_file.syntax(), self.offset())
     }
diff --git a/crates/ide_assists/src/handlers/extract_type_alias.rs b/crates/ide_assists/src/handlers/extract_type_alias.rs
new file mode 100644
index 000000000000..442a209b976e
--- /dev/null
+++ b/crates/ide_assists/src/handlers/extract_type_alias.rs
@@ -0,0 +1,149 @@
+use syntax::ast::{self, AstNode};
+
+use crate::{AssistContext, AssistId, AssistKind, Assists};
+
+// Assist: extract_type_alias
+//
+// Extracts the selected type as a type alias.
+//
+// ```
+// struct S {
+//     field: $0(u8, u8, u8)$0,
+// }
+// ```
+// ->
+// ```
+// type $0Type = (u8, u8, u8);
+//
+// struct S {
+//     field: Type,
+// }
+// ```
+pub(crate) fn extract_type_alias(acc: &mut Assists, ctx: &AssistContext) -> Option<()> {
+    if ctx.frange.range.is_empty() {
+        return None;
+    }
+
+    let node = ctx.find_node_at_range::<ast::Type>()?;
+    let insert = ctx.find_node_at_offset::<ast::Item>()?.syntax().text_range().start();
+    let target = node.syntax().text_range();
+
+    acc.add(
+        AssistId("extract_type_alias", AssistKind::RefactorExtract),
+        "Extract type as type alias",
+        target,
+        |builder| {
+            builder.edit_file(ctx.frange.file_id);
+            builder.replace(target, "Type");
+            match ctx.config.snippet_cap {
+                Some(cap) => {
+                    builder.insert_snippet(cap, insert, format!("type $0Type = {};\n\n", node));
+                }
+                None => {
+                    builder.insert(insert, format!("type Type = {};\n\n", node));
+                }
+            }
+        },
+    )
+}
+
+#[cfg(test)]
+mod tests {
+    use crate::tests::{check_assist, check_assist_not_applicable};
+
+    use super::*;
+
+    #[test]
+    fn test_not_applicable_without_selection() {
+        check_assist_not_applicable(
+            extract_type_alias,
+            r"
+struct S {
+    field: $0(u8, u8, u8),
+}
+            ",
+        );
+    }
+
+    #[test]
+    fn test_simple_types() {
+        check_assist(
+            extract_type_alias,
+            r"
+struct S {
+    field: $0u8$0,
+}
+            ",
+            r#"
+type $0Type = u8;
+
+struct S {
+    field: Type,
+}
+            "#,
+        );
+    }
+
+    #[test]
+    fn test_generic_type_arg() {
+        check_assist(
+            extract_type_alias,
+            r"
+fn generic<T>() {}
+
+fn f() {
+    generic::<$0()$0>();
+}
+            ",
+            r#"
+fn generic<T>() {}
+
+type $0Type = ();
+
+fn f() {
+    generic::<Type>();
+}
+            "#,
+        );
+    }
+
+    #[test]
+    fn test_inner_type_arg() {
+        check_assist(
+            extract_type_alias,
+            r"
+struct Vec<T> {}
+struct S {
+    v: Vec<Vec<$0Vec<u8>$0>>,
+}
+            ",
+            r#"
+struct Vec<T> {}
+type $0Type = Vec<u8>;
+
+struct S {
+    v: Vec<Vec<Type>>,
+}
+            "#,
+        );
+    }
+
+    #[test]
+    fn test_extract_inner_type() {
+        check_assist(
+            extract_type_alias,
+            r"
+struct S {
+    field: ($0u8$0,),
+}
+            ",
+            r#"
+type $0Type = u8;
+
+struct S {
+    field: (Type,),
+}
+            "#,
+        );
+    }
+}
diff --git a/crates/ide_assists/src/lib.rs b/crates/ide_assists/src/lib.rs
index 8c068a6c0efd..3d1dcef4cead 100644
--- a/crates/ide_assists/src/lib.rs
+++ b/crates/ide_assists/src/lib.rs
@@ -121,6 +121,7 @@ mod handlers {
     mod expand_glob_import;
     mod extract_function;
     mod extract_struct_from_enum_variant;
+    mod extract_type_alias;
     mod extract_variable;
     mod fill_match_arms;
     mod fix_visibility;
@@ -187,6 +188,7 @@ mod handlers {
             early_return::convert_to_guarded_return,
             expand_glob_import::expand_glob_import,
             extract_struct_from_enum_variant::extract_struct_from_enum_variant,
+            extract_type_alias::extract_type_alias,
             fill_match_arms::fill_match_arms,
             fix_visibility::fix_visibility,
             flip_binexpr::flip_binexpr,
diff --git a/crates/ide_assists/src/tests/generated.rs b/crates/ide_assists/src/tests/generated.rs
index 736027ff00b6..03b7fb366231 100644
--- a/crates/ide_assists/src/tests/generated.rs
+++ b/crates/ide_assists/src/tests/generated.rs
@@ -328,6 +328,25 @@ enum A { One(One) }
     )
 }
 
+#[test]
+fn doctest_extract_type_alias() {
+    check_doc_test(
+        "extract_type_alias",
+        r#####"
+struct S {
+    field: $0(u8, u8, u8)$0,
+}
+"#####,
+        r#####"
+type $0Type = (u8, u8, u8);
+
+struct S {
+    field: Type,
+}
+"#####,
+    )
+}
+
 #[test]
 fn doctest_extract_variable() {
     check_doc_test(
diff --git a/editors/code/src/snippets.ts b/editors/code/src/snippets.ts
index dc53ebe2eeb6..9561aa345b6f 100644
--- a/editors/code/src/snippets.ts
+++ b/editors/code/src/snippets.ts
@@ -29,7 +29,7 @@ async function editorFromUri(uri: vscode.Uri): Promise<vscode.TextEditor | undef
 }
 
 export async function applySnippetTextEdits(editor: vscode.TextEditor, edits: vscode.TextEdit[]) {
-    let selection: vscode.Selection | undefined = undefined;
+    const selections: vscode.Selection[] = [];
     let lineDelta = 0;
     await editor.edit((builder) => {
         for (const indel of edits) {
@@ -44,18 +44,18 @@ export async function applySnippetTextEdits(editor: vscode.TextEditor, edits: vs
                     indel.range.start.character + placeholderStart
                     : prefix.length - lastNewline - 1;
                 const endColumn = startColumn + placeholderLength;
-                selection = new vscode.Selection(
+                selections.push(new vscode.Selection(
                     new vscode.Position(startLine, startColumn),
                     new vscode.Position(startLine, endColumn),
-                );
+                ));
                 builder.replace(indel.range, newText);
             } else {
-                lineDelta = countLines(indel.newText) - (indel.range.end.line - indel.range.start.line);
                 builder.replace(indel.range, indel.newText);
             }
+            lineDelta = countLines(indel.newText) - (indel.range.end.line - indel.range.start.line);
         }
     });
-    if (selection) editor.selection = selection;
+    if (selections.length > 0) editor.selections = selections;
 }
 
 function parseSnippet(snip: string): [string, [number, number]] | undefined {