diff --git a/compiler/src/dotty/tools/dotc/core/TypeComparer.scala b/compiler/src/dotty/tools/dotc/core/TypeComparer.scala
index b84af998ffb6..6857e3da38ed 100644
--- a/compiler/src/dotty/tools/dotc/core/TypeComparer.scala
+++ b/compiler/src/dotty/tools/dotc/core/TypeComparer.scala
@@ -3180,7 +3180,7 @@ class TrackingTypeComparer(initctx: Context) extends TypeComparer(initctx) {
             tp
       case Nil =>
         val casesText = MatchTypeTrace.noMatchesText(scrut, cases)
-        throw MatchTypeReductionError(em"Match type reduction $casesText")
+        throw TypeError(em"Match type reduction $casesText")
 
     inFrozenConstraint {
       // Empty types break the basic assumption that if a scrutinee and a
diff --git a/compiler/src/dotty/tools/dotc/core/TypeErrors.scala b/compiler/src/dotty/tools/dotc/core/TypeErrors.scala
index f59bd08da779..24a207da6836 100644
--- a/compiler/src/dotty/tools/dotc/core/TypeErrors.scala
+++ b/compiler/src/dotty/tools/dotc/core/TypeErrors.scala
@@ -46,9 +46,6 @@ object TypeError:
     def toMessage(using Context) = msg
 end TypeError
 
-class MatchTypeReductionError(msg: Message)(using Context) extends TypeError:
-  def toMessage(using Context) = msg
-
 class MalformedType(pre: Type, denot: Denotation, absMembers: Set[Name])(using Context) extends TypeError:
   def toMessage(using Context) = em"malformed type: $pre is not a legal prefix for $denot because it contains abstract type member${if (absMembers.size == 1) "" else "s"} ${absMembers.mkString(", ")}"
 
diff --git a/compiler/src/dotty/tools/dotc/typer/Implicits.scala b/compiler/src/dotty/tools/dotc/typer/Implicits.scala
index 66f400d7eae0..4bbd6ee080b6 100644
--- a/compiler/src/dotty/tools/dotc/typer/Implicits.scala
+++ b/compiler/src/dotty/tools/dotc/typer/Implicits.scala
@@ -636,13 +636,6 @@ trait ImplicitRunInfo:
             case t: TypeLambda =>
               for p <- t.paramRefs do partSeen += p
               traverseChildren(t)
-            case t: MatchType =>
-              traverseChildren(t)
-              traverse(try t.normalized catch case _: MatchTypeReductionError => t)
-            case MatchType.InDisguise(mt)
-                if !t.isInstanceOf[LazyRef] // skip recursive applications (eg. Tuple.Map)
-            =>
-              traverse(mt)
             case t =>
               traverseChildren(t)
 
diff --git a/tests/pos/i17395.scala b/tests/pos/i17395.scala
deleted file mode 100644
index 87c0a45a9ff5..000000000000
--- a/tests/pos/i17395.scala
+++ /dev/null
@@ -1,25 +0,0 @@
-trait TC[T]
-
-object TC {
-  def optionTCForPart[T](implicit tc: TC[ExtractPart[T]]): TC[Option[ExtractPart[T]]] = new TC[Option[ExtractPart[T]]] {}
-}
-
-type ExtractPart[T] = T match {
-  case PartField[t] => t
-}
-type PartField[T] = Any { type Part = T }
-
-class ValuePartHolder {
-  type Part = Value
-}
-
-class Value
-object Value {
-  implicit val tcValue: TC[Value] = new {}
-}
-
-@main def main(): Unit = {
-//  import Value.tcValue // explicit import works around the issue, but shouldn't be necessary
-  val tc = TC.optionTCForPart[ValuePartHolder]
-  println(tc)
-}