Hematopoietic stem cell transplant (HSCT) treats or cures a variety of hematological and inherited disorders. Unfortunately， patients who undergo HSCT are susceptible to infections by a wide array of opportunistic pathogens. Pseudomonas aeruginosa bacteria can have life-threatening effects in HSCT patients by causing lung pathology that has been linked to high levels of the potent pro-inflammatory cytokine， interleukin-1β (IL-1β). Using a murine bone marrow transplant (BMT) model， we show that overexpression of prostaglandin E (PGE) post-BMT signals via EP2 or EP4 to induce cyclic adenosine monophosphate (cAMP)， which activates protein kinase A or the exchange protein activated by cAMP (Epac) to induce cAMP response element binding-dependent transcription of IL-1β leading to exacerbated lung injury in BMT mice. Induction of IL-1β by PGE is time and dose dependent. Interestingly， IL-1β processing post-P. aeruginosa infection occurs via the enzymatic activity of either caspase-1 or caspase-8. Furthermore， PGE can limit autophagy-mediated killing of P. aeruginosa in alveolar macrophages， yet autophagy does not have a role in PGE-mediated upregulation of IL-1β. Reducing PGE levels with indomethacin improved bacterial clearance and reduced IL-1β-mediated acute lung injury in P. aeruginosa-infected BMT mice.