Tracing export failure after Alloy upgrade from v1.10.1 to v1.11.3 : “malformed HTTP response” when sending to Tempo

After upgrading Grafana Alloy to v1.11.3 latest version trace exports to Tempo started failing with the following error message:

level=info msg="Exporting failed. Will retry the request after interval." component_path=/ component_id=otelcol.exporter.otlphttp.traces error="failed to make an HTTP request: Post \"https://$tempo-endpoint/v1/traces\": net/http: HTTP/1.x transport connection broken: malformed HTTP response"

The Grafana Alloy is inside of kubernetes cluster and working with ingress-nginx.

Grafana Alloy current version: v1.10.1
Helm chart Grafana Allow version: 1.2.1
Grafana Tempo version: 2.8.2
Helm chart Grafana Tempo version: 1.48.1

Config:

otelcol.receiver.otlp "otlp_receiver" {
          grpc {
            endpoint = "0.0.0.0:4317"
          }

          output {
            traces = [otelcol.processor.batch.default.input]
          //  traces = [otelcol.exporter.otlphttp.traces.input]
          //  traces = [otelcol.exporter.otlphttp.traces.input,otelcol.connector.servicegraph.servicegraph.input]
          }
        }

        otelcol.processor.batch "default" {
          send_batch_size = 8192
          send_batch_max_size = 0

          output {
            traces  = [otelcol.exporter.otlphttp.traces.input]
          }
        }

        otelcol.exporter.otlphttp "traces" {
          client {
              endpoint = "$tempo-endpoint"
              tls {
                  insecure             = true
                  insecure_skip_verify = true
              }
              auth = otelcol.auth.basic.tempo_auth.handler
          }
        }