diff --git a/hgext/largefiles/overrides.py b/hgext/largefiles/overrides.py
--- a/hgext/largefiles/overrides.py
+++ b/hgext/largefiles/overrides.py
@@ -993,9 +993,9 @@ def overridearchive(orig, repo, dest, no
 
     archiver.done()
 
-def hgsubrepoarchive(orig, repo, archiver, prefix, match=None):
+def hgsubrepoarchive(orig, repo, archiver, prefix, match=None, decode=True):
     if not repo._repo.lfstatus:
-        return orig(repo, archiver, prefix, match)
+        return orig(repo, archiver, prefix, match, decode)
 
     repo._get(repo._state + ('hg',))
     rev = repo._state[1]
@@ -1010,6 +1010,8 @@ def hgsubrepoarchive(orig, repo, archive
         if match and not match(f):
             return
         data = getdata()
+        if decode:
+            data = repo._repo.wwritedata(name, data)
 
         archiver.addfile(prefix + repo._path + '/' + name, mode, islink, data)
 
@@ -1037,7 +1039,7 @@ def hgsubrepoarchive(orig, repo, archive
         sub = ctx.workingsub(subpath)
         submatch = matchmod.subdirmatcher(subpath, match)
         sub._repo.lfstatus = True
-        sub.archive(archiver, prefix + repo._path + '/', submatch)
+        sub.archive(archiver, prefix + repo._path + '/', submatch, decode)
 
 # If a largefile is modified, the change is not reflected in its
 # standin until a commit. cmdutil.bailifchanged() raises an exception
diff --git a/mercurial/archival.py b/mercurial/archival.py
--- a/mercurial/archival.py
+++ b/mercurial/archival.py
@@ -331,7 +331,7 @@ def archive(repo, dest, node, kind, deco
         for subpath in sorted(ctx.substate):
             sub = ctx.workingsub(subpath)
             submatch = matchmod.subdirmatcher(subpath, matchfn)
-            total += sub.archive(archiver, prefix, submatch)
+            total += sub.archive(archiver, prefix, submatch, decode)
 
     if total == 0:
         raise error.Abort(_('no files match the archive pattern'))
diff --git a/mercurial/subrepo.py b/mercurial/subrepo.py
--- a/mercurial/subrepo.py
+++ b/mercurial/subrepo.py
@@ -542,8 +542,8 @@ class abstractsubrepo(object):
         """return filename iterator"""
         raise NotImplementedError
 
-    def filedata(self, name):
-        """return file data"""
+    def filedata(self, name, decode):
+        """return file data, optionally passed through repo decoders"""
         raise NotImplementedError
 
     def fileflags(self, name):
@@ -558,7 +558,7 @@ class abstractsubrepo(object):
         """handle the files command for this subrepo"""
         return 1
 
-    def archive(self, archiver, prefix, match=None):
+    def archive(self, archiver, prefix, match=None, decode=True):
         if match is not None:
             files = [f for f in self.files() if match(f)]
         else:
@@ -572,7 +572,7 @@ class abstractsubrepo(object):
             mode = 'x' in flags and 0o755 or 0o644
             symlink = 'l' in flags
             archiver.addfile(prefix + self._path + '/' + name,
-                             mode, symlink, self.filedata(name))
+                             mode, symlink, self.filedata(name, decode))
             self.ui.progress(_('archiving (%s)') % relpath, i + 1,
                              unit=_('files'), total=total)
         self.ui.progress(_('archiving (%s)') % relpath, None)
@@ -782,7 +782,7 @@ class hgsubrepo(abstractsubrepo):
                           % (inst, subrelpath(self)))
 
     @annotatesubrepoerror
-    def archive(self, archiver, prefix, match=None):
+    def archive(self, archiver, prefix, match=None, decode=True):
         self._get(self._state + ('hg',))
         total = abstractsubrepo.archive(self, archiver, prefix, match)
         rev = self._state[1]
@@ -790,7 +790,8 @@ class hgsubrepo(abstractsubrepo):
         for subpath in ctx.substate:
             s = subrepo(ctx, subpath, True)
             submatch = matchmod.subdirmatcher(subpath, match)
-            total += s.archive(archiver, prefix + self._path + '/', submatch)
+            total += s.archive(archiver, prefix + self._path + '/', submatch,
+                               decode)
         return total
 
     @annotatesubrepoerror
@@ -956,9 +957,12 @@ class hgsubrepo(abstractsubrepo):
         ctx = self._repo[rev]
         return ctx.manifest().keys()
 
-    def filedata(self, name):
+    def filedata(self, name, decode):
         rev = self._state[1]
-        return self._repo[rev][name].data()
+        data = self._repo[rev][name].data()
+        if decode:
+            data = self._repo.wwritedata(name, data)
+        return data
 
     def fileflags(self, name):
         rev = self._state[1]
@@ -1292,7 +1296,7 @@ class svnsubrepo(abstractsubrepo):
             paths.append(name.encode('utf-8'))
         return paths
 
-    def filedata(self, name):
+    def filedata(self, name, decode):
         return self._svncommand(['cat'], name)[0]
 
 
@@ -1772,7 +1776,7 @@ class gitsubrepo(abstractsubrepo):
             else:
                 self.wvfs.unlink(f)
 
-    def archive(self, archiver, prefix, match=None):
+    def archive(self, archiver, prefix, match=None, decode=True):
         total = 0
         source, revision = self._state
         if not revision:
diff --git a/tests/test-eol.t b/tests/test-eol.t
--- a/tests/test-eol.t
+++ b/tests/test-eol.t
@@ -470,6 +470,22 @@ Test eol.only-consistent can be specifie
   > EOF
   $ hg commit -m 'consistent'
 
+  $ hg init subrepo
+  $ hg -R subrepo pull -qu .
+  $ echo "subrepo = subrepo" > .hgsub
+  $ hg ci -Am "add subrepo"
+  adding .hgeol
+  adding .hgsub
+  $ hg archive -S ../archive
+  $ find ../archive/* | sort
+  ../archive/a.txt
+  ../archive/subrepo
+  ../archive/subrepo/a.txt
+  $ cat ../archive/a.txt ../archive/subrepo/a.txt
+  first\r (esc)
+  second\r (esc)
+  first\r (esc)
+  second\r (esc)
 
 Test trailing newline