diff --git a/src/items.rs b/src/items.rs
index ee4cd866ac25..66fdaf50e5aa 100644
--- a/src/items.rs
+++ b/src/items.rs
@@ -94,10 +94,16 @@ impl Rewrite for ast::Local {
 
             if let Some(ref ty) = self.ty {
                 let separator = type_annotation_separator(context.config);
-                let indent = shape.indent + last_line_width(&result) + separator.len();
-                // 1 = ;
-                let budget = shape.width.checked_sub(indent.width() + 1)?;
-                let rewrite = ty.rewrite(context, Shape::legacy(budget, indent))?;
+                let ty_shape = if pat_str.contains('\n') {
+                    shape.with_max_width(context.config)
+                } else {
+                    shape
+                }
+                .offset_left(last_line_width(&result) + separator.len())?
+                // 2 = ` =`
+                .sub_width(2)?;
+
+                let rewrite = ty.rewrite(context, ty_shape)?;
 
                 infix.push_str(separator);
                 infix.push_str(&rewrite);
diff --git a/tests/source/type.rs b/tests/source/type.rs
index 2df68490d5d8..b622d4363f53 100644
--- a/tests/source/type.rs
+++ b/tests/source/type.rs
@@ -91,3 +91,25 @@ macro_rules! foo {
 }
 
 type Target = ( FooAPI ) + 'static;
+
+// #3117
+fn issue3117() {
+    {
+        {
+            {
+                {
+                    {
+                        {
+                            {
+                                {
+                                    let opt: &mut Option<MyLongTypeHere> =
+                                        unsafe { &mut *self.future.get() };
+                                }
+                            }
+                        }
+                    }
+                }
+            }
+        }
+    }
+}
diff --git a/tests/target/type.rs b/tests/target/type.rs
index 7fb6e0fdf251..d2c09cc354ad 100644
--- a/tests/target/type.rs
+++ b/tests/target/type.rs
@@ -90,3 +90,25 @@ macro_rules! foo {
 }
 
 type Target = (FooAPI) + 'static;
+
+// #3117
+fn issue3117() {
+    {
+        {
+            {
+                {
+                    {
+                        {
+                            {
+                                {
+                                    let opt: &mut Option<MyLongTypeHere> =
+                                        unsafe { &mut *self.future.get() };
+                                }
+                            }
+                        }
+                    }
+                }
+            }
+        }
+    }
+}