diff --git a/NEWS.md b/NEWS.md
index ff4bf06312..008063632d 100644
--- a/NEWS.md
+++ b/NEWS.md
@@ -14,6 +14,8 @@
 
 ## BUG FIXES
 
+- Figure captions are no longer dropped when a single chunk produces multiple captioned figures for Markdown-based output (e.g., HTML or PDF via Pandoc). Previously, consecutive images were emitted in one paragraph (`![cap1](a) ![cap2](b)`), which Pandoc treats as inline images and renders without captions. knitr now inserts a blank line after each captioned figure except the last, so Pandoc emits a separate figure (with caption) for each image (thanks, @atusy, #2032, #1524, #1760).
+
 - knitr now emits a warning when a code chunk opens a new graphics device (e.g., via `dev.new()`), because plots drawn on such devices cannot be captured by knitr and will silently fail to render in the output (thanks, @Higgs32584, #2355).
 
 - `include_graphics()` now converts absolute paths to paths relative to the output directory of the rendered document (communicated by **rmarkdown** >= 2.32 via `opts_knit$get('rmarkdown.output_dir')`) instead of knitr's working directory (the input directory), which fixes broken image paths when the input and output directories differ (e.g., rendering to a different `output_dir`). The existence check (when `error = TRUE`) also uses the original path so that it no longer reports false negatives when `root.dir` differs from the output directory (thanks, @naikymen @jameelalsalam @cderv, #2171, r-lib/pkgdown#2334).
diff --git a/R/hooks-md.R b/R/hooks-md.R
index 5a7b843540..5e0df48253 100644
--- a/R/hooks-md.R
+++ b/R/hooks-md.R
@@ -75,7 +75,7 @@ hook_plot_md_base = function(x, options) {
     res = sprintf('![%s](%s)', cap, x2)
     if (!is.null(lnk) && !is.na(lnk)) res = sprintf('[%s](%s)', res, lnk)
     res = paste0(res, if (nocap) '<!-- -->' else '', if (is_latex_output()) ' ' else '')
-    return(res)
+    return(sep_captioned_fig(res, cap, options))
   }
   add_link = function(x) {
     if (is.null(lnk) || is.na(lnk)) return(x)
@@ -131,7 +131,20 @@ hook_plot_md_pandoc = function(x, options) {
   )
   if (at != '') at = paste0('{', at, '}')
 
-  sprintf('![%s](%s%s)%s', cap, base, .upload.url(x), at)
+  sep_captioned_fig(sprintf('![%s](%s%s)%s', cap, base, .upload.url(x), at), cap, options)
+}
+
+# When a chunk generates multiple figures that carry captions, the plot hook is
+# called once per figure and the bare `![cap](path)` images would otherwise be
+# concatenated into a single paragraph, e.g. `![cap1](a) ![cap2](b)`. Pandoc
+# treats several images in one paragraph as inline images and drops the captions
+# (no figure environment / <figcaption>). Append a blank line after each
+# captioned figure except the last so that Pandoc emits a figure per image.
+# See https://github.com/yihui/knitr/issues/2032 and #1524.
+sep_captioned_fig = function(res, cap, options) {
+  if (cap != '' && (options$fig.cur %n% 1L) < (options$fig.num %n% 1L))
+    res = paste0(res, '\n\n')
+  res
 }
 
 css_align = function(align) {
diff --git a/tests/testit/test-hooks-md.R b/tests/testit/test-hooks-md.R
index 7ff7e1058e..9f3cf52291 100644
--- a/tests/testit/test-hooks-md.R
+++ b/tests/testit/test-hooks-md.R
@@ -101,6 +101,17 @@ assert("Include a plot by pandoc md", {
     sprintf("![%s](1.png){width=%s %s}", cap, w, ex))
 })
 
+assert("captioned figures in a multi-figure chunk are separated by a blank line (#2032)", {
+  fig = function(cur, num, cap = NULL) opt(cap = cap, fig.cur = cur, fig.num = num)
+  # a captioned figure that is not the last one gets a trailing blank line
+  (hook_plot_md_pandoc(x, fig(1, 2, cap)) %==% sprintf("![%s](1.png)\n\n", cap))
+  # the last figure and single-figure chunks do not
+  (hook_plot_md_pandoc(x, fig(2, 2, cap)) %==% sprintf("![%s](1.png)", cap))
+  (hook_plot_md_pandoc(x, fig(1, 1, cap)) %==% sprintf("![%s](1.png)", cap))
+  # figures without a caption are left inline (Pandoc keeps them as inline images)
+  (hook_plot_md_pandoc(x, fig(1, 2)) %==% "![](1.png)")
+})
+
 assert('empty alt text is preserved and NA alt is discarded', {
   (hook_plot_md(x, opts_chunk$merge(list(fig.alt = ''))) %==% '<img src="1.png" alt=""  />')
   (hook_plot_md(x, opts_chunk$merge(list(fig.alt = NA, out.width = '100'))) %==% '<img src="1.png" width="100" />')