A mechanism is provided for collective acceleration unit tree flow control forms a logical tree (sub-network) among those processors and transfers “collective” packets on this tree. The system supports many collective trees, and each collective acceleration unit (CAU) includes resources to support a subset of the trees. Each CAU has limited buffer space, and the connection between two CAUs is not completely reliable. Therefore, to address the challenge of collective packets traversing on the tree without colliding with each other for buffer space and guaranteeing the end-to-end packet delivery, each CAU in the system effectively flow controls the packets, detects packet loss, and retransmits lost packets.