Large language models (LLMs) exhibit strong capabilities as decision-making agents by interleaving reasoning and actions, as seen in ReAct-style frameworks. Yet, their practical deployment is constrained by high inference costs and large model sizes. We propose Structured Agent Distillation, the first framework to distill a ReAct-based LLM agent into a smaller model while preserving both reasoning fidelity and action consistency. Our method introduces a structured, span-level distillation strategy that explicitly segments trajectories into reasoning and action spans, enabling fine-grained alignment beyond standard token-level imitation. Unlike other advanced distillation methods, Our method segments trajectories into [REASON] and [ACT] spans, applying segment-specific losses to align each component with the teacher’s behavior. This structure-aware supervision enables compact agents to better replicate the teacher’s decision process. Experiments on ALFWorld, HotPotQA-ReAct, and WebShop show that our approach consistently outperforms token-level and imitation learning baselines, achieving significant compression with minimal performance drop. Scaling and ablation results further highlight the importance of span-level alignment for efficient and deployable agents. We will release code upon acceptance.
