Config VS Code (Insiders)

For the foreseeable future you need to install the VS Code Insiders version!!! See here

Ctrl+Shift+P: Preferences: Open User Settings (JSON)

This is an example. Please note the "qwen3-32" selects the model not "name": "qwen3-32"

{
    "github.copilot.chat.customOAIModels": {
        "qwen3-32b": {
            "name": "qwen3-32b",
            "url": "https://chat-ai.academiccloud.de/v1",
            "toolCalling": true,
            "vision": false,
            "thinking": true,
            "maxInputTokens": 128000,
            "maxOutputTokens": 8192,
            "requiresAPIKey": true
        }
    },
    "workbench.startupEditor": "none"
}

Next

Ctrl + Shift + P: Chat: Manage Language Models

If "OpenAI Compatible" is not listed, you need to click "+ Add Models..." and select the option. The setting icon of "OpenAI Compatible" allows you to set the API key. It will not be present, if a model of this type is running.

I had to press the non hide button in the front of the model name.

I closed and opened VS Code. Now I can use that model.

Example interaction: