diff --git a/src/compiler/checker.ts b/src/compiler/checker.ts
index 93b2834178eec..403fa62798501 100644
--- a/src/compiler/checker.ts
+++ b/src/compiler/checker.ts
@@ -954,16 +954,32 @@ namespace ts {
             if (location) {
                 const file = getSourceFileOfNode(location);
                 if (file) {
-                    if (file.localJsxNamespace) {
-                        return file.localJsxNamespace;
+                    if (isJsxOpeningFragment(location)) {
+                        if (file.localJsxFragmentNamespace) {
+                            return file.localJsxFragmentNamespace;
+                        }
+                        const jsxFragmentPragma = file.pragmas.get("jsxfrag");
+                        if (jsxFragmentPragma) {
+                            const chosenPragma = isArray(jsxFragmentPragma) ? jsxFragmentPragma[0] : jsxFragmentPragma;
+                            file.localJsxFragmentFactory = parseIsolatedEntityName(chosenPragma.arguments.factory, languageVersion);
+                            visitNode(file.localJsxFragmentFactory, markAsSynthetic);
+                            if (file.localJsxFragmentFactory) {
+                                return file.localJsxFragmentNamespace = getFirstIdentifier(file.localJsxFragmentFactory).escapedText;
+                            }
+                        }
                     }
-                    const jsxPragma = file.pragmas.get("jsx");
-                    if (jsxPragma) {
-                        const chosenpragma = isArray(jsxPragma) ? jsxPragma[0] : jsxPragma;
-                        file.localJsxFactory = parseIsolatedEntityName(chosenpragma.arguments.factory, languageVersion);
-                        visitNode(file.localJsxFactory, markAsSynthetic);
-                        if (file.localJsxFactory) {
-                            return file.localJsxNamespace = getFirstIdentifier(file.localJsxFactory).escapedText;
+                    else {
+                        if (file.localJsxNamespace) {
+                            return file.localJsxNamespace;
+                        }
+                        const jsxPragma = file.pragmas.get("jsx");
+                        if (jsxPragma) {
+                            const chosenPragma = isArray(jsxPragma) ? jsxPragma[0] : jsxPragma;
+                            file.localJsxFactory = parseIsolatedEntityName(chosenPragma.arguments.factory, languageVersion);
+                            visitNode(file.localJsxFactory, markAsSynthetic);
+                            if (file.localJsxFactory) {
+                                return file.localJsxNamespace = getFirstIdentifier(file.localJsxFactory).escapedText;
+                            }
                         }
                     }
                 }
@@ -23736,10 +23752,14 @@ namespace ts {
         function checkJsxFragment(node: JsxFragment): Type {
             checkJsxOpeningLikeElementOrOpeningFragment(node.openingFragment);
 
-            if (compilerOptions.jsx === JsxEmit.React && (compilerOptions.jsxFactory || getSourceFileOfNode(node).pragmas.has("jsx"))) {
+            // by default, jsx:'react' will use jsxFactory = React.createElement and jsxFragmentFactory = React.Fragment
+            // if jsxFactory compiler option is provided, ensure jsxFragmentFactory compiler option or @jsxFrag pragma is provided too
+            const nodeSourceFile = getSourceFileOfNode(node);
+            if (compilerOptions.jsx === JsxEmit.React && (compilerOptions.jsxFactory || nodeSourceFile.pragmas.has("jsx"))
+                && !compilerOptions.jsxFragmentFactory && !nodeSourceFile.pragmas.has("jsxfrag")) {
                 error(node, compilerOptions.jsxFactory
-                    ? Diagnostics.JSX_fragment_is_not_supported_when_using_jsxFactory
-                    : Diagnostics.JSX_fragment_is_not_supported_when_using_an_inline_JSX_factory_pragma);
+                    ? Diagnostics.The_jsxFragmentFactory_compiler_option_must_be_provided_to_use_JSX_fragments_with_the_jsxFactory_compiler_option
+                    : Diagnostics.An_jsxFrag_pragma_is_required_when_using_an_jsx_pragma_with_JSX_fragments);
             }
 
             checkJsxChildren(node);
@@ -24197,21 +24217,28 @@ namespace ts {
             if (isNodeOpeningLikeElement) {
                 checkGrammarJsxElement(<JsxOpeningLikeElement>node);
             }
+
             checkJsxPreconditions(node);
             // The reactNamespace/jsxFactory's root symbol should be marked as 'used' so we don't incorrectly elide its import.
             // And if there is no reactNamespace/jsxFactory's symbol in scope when targeting React emit, we should issue an error.
-            const reactRefErr = diagnostics && compilerOptions.jsx === JsxEmit.React ? Diagnostics.Cannot_find_name_0 : undefined;
-            const reactNamespace = getJsxNamespace(node);
-            const reactLocation = isNodeOpeningLikeElement ? (<JsxOpeningLikeElement>node).tagName : node;
-            const reactSym = resolveName(reactLocation, reactNamespace, SymbolFlags.Value, reactRefErr, reactNamespace, /*isUse*/ true);
-            if (reactSym) {
+            const jsxFactoryRefErr = diagnostics && compilerOptions.jsx === JsxEmit.React ? Diagnostics.Cannot_find_name_0 : undefined;
+            const jsxFactoryNamespace = getJsxNamespace(node);
+            const jsxFactoryLocation = isNodeOpeningLikeElement ? (<JsxOpeningLikeElement>node).tagName : node;
+
+            // allow null as jsxFragmentFactory
+            let jsxFactorySym: Symbol | undefined;
+            if (!(isJsxOpeningFragment(node) && jsxFactoryNamespace === "null")) {
+                jsxFactorySym = resolveName(jsxFactoryLocation, jsxFactoryNamespace, SymbolFlags.Value, jsxFactoryRefErr, jsxFactoryNamespace, /*isUse*/ true);
+            }
+
+            if (jsxFactorySym) {
                 // Mark local symbol as referenced here because it might not have been marked
-                // if jsx emit was not react as there wont be error being emitted
-                reactSym.isReferenced = SymbolFlags.All;
+                // if jsx emit was not jsxFactory as there wont be error being emitted
+                jsxFactorySym.isReferenced = SymbolFlags.All;
 
-                // If react symbol is alias, mark it as referenced
-                if (reactSym.flags & SymbolFlags.Alias && !getTypeOnlyAliasDeclaration(reactSym)) {
-                    markAliasSymbolAsReferenced(reactSym);
+                // If react/jsxFactory symbol is alias, mark it as refereced
+                if (jsxFactorySym.flags & SymbolFlags.Alias && !getTypeOnlyAliasDeclaration(jsxFactorySym)) {
+                    markAliasSymbolAsReferenced(jsxFactorySym);
                 }
             }
 
@@ -36728,10 +36755,31 @@ namespace ts {
             return literalTypeToNode(<FreshableType>type, node, tracker);
         }
 
-        function getJsxFactoryEntity(location: Node) {
+        function getJsxFactoryEntity(location: Node): EntityName | undefined {
             return location ? (getJsxNamespace(location), (getSourceFileOfNode(location).localJsxFactory || _jsxFactoryEntity)) : _jsxFactoryEntity;
         }
 
+        function getJsxFragmentFactoryEntity(location: Node): EntityName | undefined {
+            if (location) {
+                const file = getSourceFileOfNode(location);
+                if (file) {
+                    if (file.localJsxFragmentFactory) {
+                        return file.localJsxFragmentFactory;
+                    }
+                    const jsxFragPragmas = file.pragmas.get("jsxfrag");
+                    const jsxFragPragma = isArray(jsxFragPragmas) ? jsxFragPragmas[0] : jsxFragPragmas;
+                    if (jsxFragPragma) {
+                        file.localJsxFragmentFactory = parseIsolatedEntityName(jsxFragPragma.arguments.factory, languageVersion);
+                        return file.localJsxFragmentFactory;
+                    }
+                }
+            }
+
+            if (compilerOptions.jsxFragmentFactory) {
+                return parseIsolatedEntityName(compilerOptions.jsxFragmentFactory, languageVersion);
+            }
+        }
+
         function createResolver(): EmitResolver {
             // this variable and functions that use it are deliberately moved here from the outer scope
             // to avoid scope pollution
@@ -36806,6 +36854,7 @@ namespace ts {
                     return !!(symbol && getCheckFlags(symbol) & CheckFlags.Late);
                 },
                 getJsxFactoryEntity,
+                getJsxFragmentFactoryEntity,
                 getAllAccessorDeclarations(accessor: AccessorDeclaration): AllAccessorDeclarations {
                     accessor = getParseTreeNode(accessor, isGetOrSetAccessorDeclaration)!; // TODO: GH#18217
                     const otherKind = accessor.kind === SyntaxKind.SetAccessor ? SyntaxKind.GetAccessor : SyntaxKind.SetAccessor;
diff --git a/src/compiler/commandLineParser.ts b/src/compiler/commandLineParser.ts
index f217bae5c1006..878737f49dde8 100644
--- a/src/compiler/commandLineParser.ts
+++ b/src/compiler/commandLineParser.ts
@@ -766,6 +766,12 @@ namespace ts {
             category: Diagnostics.Advanced_Options,
             description: Diagnostics.Specify_the_JSX_factory_function_to_use_when_targeting_react_JSX_emit_e_g_React_createElement_or_h
         },
+        {
+            name: "jsxFragmentFactory",
+            type: "string",
+            category: Diagnostics.Advanced_Options,
+            description: Diagnostics.Specify_the_JSX_fragment_factory_function_to_use_when_targeting_react_JSX_emit_with_jsxFactory_compiler_option_is_specified_e_g_Fragment
+        },
         {
             name: "resolveJsonModule",
             type: "boolean",
diff --git a/src/compiler/diagnosticMessages.json b/src/compiler/diagnosticMessages.json
index e863de12537d6..16dd1663fb5d5 100644
--- a/src/compiler/diagnosticMessages.json
+++ b/src/compiler/diagnosticMessages.json
@@ -5027,11 +5027,11 @@
         "category": "Error",
         "code": 17015
     },
-    "JSX fragment is not supported when using --jsxFactory": {
+    "The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.": {
         "category": "Error",
         "code": 17016
     },
-    "JSX fragment is not supported when using an inline JSX factory pragma": {
+    "An @jsxFrag pragma is required when using an @jsx pragma with JSX fragments.": {
         "category": "Error",
         "code": 17017
     },
@@ -5837,5 +5837,13 @@
     "Only numeric enums can have computed members, but this expression has type '{0}'. If you do not need exhaustiveness checks, consider using an object literal instead.": {
         "category": "Error",
         "code": 18033
+    },
+    "Specify the JSX fragment factory function to use when targeting 'react' JSX emit with 'jsxFactory' compiler option is specified, e.g. 'Fragment'.": {
+        "category": "Message",
+        "code": 18034
+    },
+    "Invalid value for 'jsxFragmentFactory'. '{0}' is not a valid identifier or qualified-name.": {
+        "category": "Error",
+        "code": 18035
     }
 }
diff --git a/src/compiler/emitter.ts b/src/compiler/emitter.ts
index afbcb53f81612..4aba127441f36 100644
--- a/src/compiler/emitter.ts
+++ b/src/compiler/emitter.ts
@@ -660,6 +660,7 @@ namespace ts {
         getTypeReferenceDirectivesForSymbol: notImplemented,
         isLiteralConstDeclaration: notImplemented,
         getJsxFactoryEntity: notImplemented,
+        getJsxFragmentFactoryEntity: notImplemented,
         getAllAccessorDeclarations: notImplemented,
         getSymbolOfExternalModuleSpecifier: notImplemented,
         isBindingCapturedByNode: notImplemented,
diff --git a/src/compiler/factory/utilities.ts b/src/compiler/factory/utilities.ts
index 459b578936901..d52048e78e379 100644
--- a/src/compiler/factory/utilities.ts
+++ b/src/compiler/factory/utilities.ts
@@ -55,6 +55,15 @@ namespace ts {
             );
     }
 
+    function createJsxFragmentFactoryExpression(factory: NodeFactory, jsxFragmentFactoryEntity: EntityName | undefined, reactNamespace: string, parent: JsxOpeningLikeElement | JsxOpeningFragment): Expression {
+        return jsxFragmentFactoryEntity ?
+            createJsxFactoryExpressionFromEntityName(factory, jsxFragmentFactoryEntity, parent) :
+            factory.createPropertyAccessExpression(
+                createReactNamespace(reactNamespace, parent),
+                "Fragment"
+            );
+    }
+
     export function createExpressionForJsxElement(factory: NodeFactory, jsxFactoryEntity: EntityName | undefined, reactNamespace: string, tagName: Expression, props: Expression | undefined, children: readonly Expression[] | undefined, parentElement: JsxOpeningLikeElement, location: TextRange): LeftHandSideExpression {
         const argumentsList = [tagName];
         if (props) {
@@ -87,14 +96,9 @@ namespace ts {
         );
     }
 
-    export function createExpressionForJsxFragment(factory: NodeFactory, jsxFactoryEntity: EntityName | undefined, reactNamespace: string, children: readonly Expression[], parentElement: JsxOpeningFragment, location: TextRange): LeftHandSideExpression {
-        const tagName = factory.createPropertyAccessExpression(
-            createReactNamespace(reactNamespace, parentElement),
-            "Fragment"
-        );
-
-        const argumentsList = [<Expression>tagName];
-        argumentsList.push(factory.createNull());
+    export function createExpressionForJsxFragment(factory: NodeFactory, jsxFactoryEntity: EntityName | undefined, jsxFragmentFactoryEntity: EntityName | undefined, reactNamespace: string, children: readonly Expression[], parentElement: JsxOpeningFragment, location: TextRange): LeftHandSideExpression {
+        const tagName = createJsxFragmentFactoryExpression(factory, jsxFragmentFactoryEntity, reactNamespace, parentElement);
+        const argumentsList = [tagName, factory.createNull()];
 
         if (children && children.length > 0) {
             if (children.length > 1) {
@@ -820,4 +824,4 @@ namespace ts {
     export function isStaticModifier(node: Modifier): node is StaticKeyword {
         return node.kind === SyntaxKind.StaticKeyword;
     }
-}
\ No newline at end of file
+}
diff --git a/src/compiler/parser.ts b/src/compiler/parser.ts
index 633b62905fba5..db6b562a70e20 100644
--- a/src/compiler/parser.ts
+++ b/src/compiler/parser.ts
@@ -8568,7 +8568,9 @@ namespace ts {
                     });
                     break;
                 }
-                case "jsx": return; // Accessed directly
+                case "jsx":
+                case "jsxfrag":
+                    return; // Accessed directly
                 default: Debug.fail("Unhandled pragma kind"); // Can this be made into an assertNever in the future?
             }
         });
diff --git a/src/compiler/program.ts b/src/compiler/program.ts
index 8cd92ddd285cd..25b5a87cdcd4e 100644
--- a/src/compiler/program.ts
+++ b/src/compiler/program.ts
@@ -3196,6 +3196,15 @@ namespace ts {
                 createOptionValueDiagnostic("reactNamespace", Diagnostics.Invalid_value_for_reactNamespace_0_is_not_a_valid_identifier, options.reactNamespace);
             }
 
+            if (options.jsxFragmentFactory) {
+                if (!options.jsxFactory) {
+                    createDiagnosticForOptionName(Diagnostics.Option_0_cannot_be_specified_without_specifying_option_1, "jsxFragmentFactory", "jsxFactory");
+                }
+                if (!parseIsolatedEntityName(options.jsxFragmentFactory, languageVersion)) {
+                    createOptionValueDiagnostic("jsxFragmentFactory", Diagnostics.Invalid_value_for_jsxFragmentFactory_0_is_not_a_valid_identifier_or_qualified_name, options.jsxFragmentFactory);
+                }
+            }
+
             // If the emit is enabled make sure that every output file is unique and not overwriting any of the input files
             if (!options.noEmit && !options.suppressOutputPathCheck) {
                 const emitHost = getEmitHost();
diff --git a/src/compiler/transformers/jsx.ts b/src/compiler/transformers/jsx.ts
index 37ed4eb901fa5..cc000666143c0 100644
--- a/src/compiler/transformers/jsx.ts
+++ b/src/compiler/transformers/jsx.ts
@@ -142,6 +142,7 @@ namespace ts {
             const element = createExpressionForJsxFragment(
                 factory,
                 context.getEmitResolver().getJsxFactoryEntity(currentSourceFile),
+                context.getEmitResolver().getJsxFragmentFactoryEntity(currentSourceFile),
                 compilerOptions.reactNamespace!, // TODO: GH#18217
                 mapDefined(children, transformJsxChildToExpression),
                 node,
diff --git a/src/compiler/types.ts b/src/compiler/types.ts
index 5c4e6f0c1592b..eeed5829fb11c 100644
--- a/src/compiler/types.ts
+++ b/src/compiler/types.ts
@@ -3454,7 +3454,9 @@ namespace ts {
         /* @internal */ version: string;
         /* @internal */ pragmas: ReadonlyPragmaMap;
         /* @internal */ localJsxNamespace?: __String;
+        /* @internal */ localJsxFragmentNamespace?: __String;
         /* @internal */ localJsxFactory?: EntityName;
+        /* @internal */ localJsxFragmentFactory?: EntityName;
 
         /* @internal */ exportedModulesFromDeclarationEmit?: ExportedModulesFromDeclarationEmit;
     }
@@ -4463,6 +4465,7 @@ namespace ts {
         getTypeReferenceDirectivesForSymbol(symbol: Symbol, meaning?: SymbolFlags): string[] | undefined;
         isLiteralConstDeclaration(node: VariableDeclaration | PropertyDeclaration | PropertySignature | ParameterDeclaration): boolean;
         getJsxFactoryEntity(location?: Node): EntityName | undefined;
+        getJsxFragmentFactoryEntity(location?: Node): EntityName | undefined;
         getAllAccessorDeclarations(declaration: AccessorDeclaration): AllAccessorDeclarations;
         getSymbolOfExternalModuleSpecifier(node: StringLiteralLike): Symbol | undefined;
         isBindingCapturedByNode(node: Node, decl: VariableDeclaration | BindingElement): boolean;
@@ -5681,6 +5684,7 @@ namespace ts {
         /* @internal */ pretty?: boolean;
         reactNamespace?: string;
         jsxFactory?: string;
+        jsxFragmentFactory?: string;
         composite?: boolean;
         incremental?: boolean;
         tsBuildInfoFile?: string;
@@ -7928,6 +7932,10 @@ namespace ts {
             args: [{ name: "factory" }],
             kind: PragmaKindFlags.MultiLine
         },
+        "jsxfrag": {
+            args: [{ name: "factory" }],
+            kind: PragmaKindFlags.MultiLine
+        },
     } as const;
 
     /* @internal */
diff --git a/src/testRunner/unittests/services/transpile.ts b/src/testRunner/unittests/services/transpile.ts
index 83dd367a8656e..765b4f345e644 100644
--- a/src/testRunner/unittests/services/transpile.ts
+++ b/src/testRunner/unittests/services/transpile.ts
@@ -363,6 +363,10 @@ var x = 0;`, {
             options: { compilerOptions: { jsxFactory: "createElement" }, fileName: "input.js", reportDiagnostics: true }
         });
 
+        transpilesCorrectly("Supports setting 'jsxFragmentFactory'", "x;", {
+            options: { compilerOptions: { jsxFactory: "x", jsxFragmentFactory: "frag" }, fileName: "input.js", reportDiagnostics: true }
+        });
+
         transpilesCorrectly("Supports setting 'removeComments'", "x;", {
             options: { compilerOptions: { removeComments: true }, fileName: "input.js", reportDiagnostics: true }
         });
diff --git a/tests/baselines/reference/api/tsserverlibrary.d.ts b/tests/baselines/reference/api/tsserverlibrary.d.ts
index 012164ed997b3..f03ad8d3f6849 100644
--- a/tests/baselines/reference/api/tsserverlibrary.d.ts
+++ b/tests/baselines/reference/api/tsserverlibrary.d.ts
@@ -2770,6 +2770,7 @@ declare namespace ts {
         project?: string;
         reactNamespace?: string;
         jsxFactory?: string;
+        jsxFragmentFactory?: string;
         composite?: boolean;
         incremental?: boolean;
         tsBuildInfoFile?: string;
diff --git a/tests/baselines/reference/api/typescript.d.ts b/tests/baselines/reference/api/typescript.d.ts
index 0b62806635ec9..989a845468197 100644
--- a/tests/baselines/reference/api/typescript.d.ts
+++ b/tests/baselines/reference/api/typescript.d.ts
@@ -2770,6 +2770,7 @@ declare namespace ts {
         project?: string;
         reactNamespace?: string;
         jsxFactory?: string;
+        jsxFragmentFactory?: string;
         composite?: boolean;
         incremental?: boolean;
         tsBuildInfoFile?: string;
diff --git a/tests/baselines/reference/inlineJsxAndJsxFragPragma.js b/tests/baselines/reference/inlineJsxAndJsxFragPragma.js
new file mode 100644
index 0000000000000..06b263e35db84
--- /dev/null
+++ b/tests/baselines/reference/inlineJsxAndJsxFragPragma.js
@@ -0,0 +1,46 @@
+//// [tests/cases/conformance/jsx/inline/inlineJsxAndJsxFragPragma.tsx] ////
+
+//// [renderer.d.ts]
+declare global {
+    namespace JSX {
+        interface IntrinsicElements {
+            [e: string]: any;
+        }
+    }
+}
+export function h(): void;
+export function jsx(): void;
+export function Fragment(): void;
+
+//// [preacty.tsx]
+/**
+ * @jsx h
+ * @jsxFrag Fragment
+ */
+import {h, Fragment} from "./renderer";
+<><div></div></>
+
+//// [snabbdomy.tsx]
+/* @jsx jsx */
+/* @jsxfrag null */
+import {jsx} from "./renderer";
+<><span></span></>
+
+//// [preacty.js]
+"use strict";
+exports.__esModule = true;
+/**
+ * @jsx h
+ * @jsxFrag Fragment
+ */
+var renderer_1 = require("./renderer");
+renderer_1.h(renderer_1.Fragment, null,
+    renderer_1.h("div", null));
+//// [snabbdomy.js]
+"use strict";
+exports.__esModule = true;
+/* @jsx jsx */
+/* @jsxfrag null */
+var renderer_1 = require("./renderer");
+renderer_1.jsx(null, null,
+    renderer_1.jsx("span", null));
diff --git a/tests/baselines/reference/inlineJsxAndJsxFragPragma.symbols b/tests/baselines/reference/inlineJsxAndJsxFragPragma.symbols
new file mode 100644
index 0000000000000..dd5d7bb6abb4b
--- /dev/null
+++ b/tests/baselines/reference/inlineJsxAndJsxFragPragma.symbols
@@ -0,0 +1,47 @@
+=== tests/cases/conformance/jsx/inline/renderer.d.ts ===
+declare global {
+>global : Symbol(global, Decl(renderer.d.ts, 0, 0))
+
+    namespace JSX {
+>JSX : Symbol(JSX, Decl(renderer.d.ts, 0, 16))
+
+        interface IntrinsicElements {
+>IntrinsicElements : Symbol(IntrinsicElements, Decl(renderer.d.ts, 1, 19))
+
+            [e: string]: any;
+>e : Symbol(e, Decl(renderer.d.ts, 3, 13))
+        }
+    }
+}
+export function h(): void;
+>h : Symbol(h, Decl(renderer.d.ts, 6, 1))
+
+export function jsx(): void;
+>jsx : Symbol(jsx, Decl(renderer.d.ts, 7, 26))
+
+export function Fragment(): void;
+>Fragment : Symbol(Fragment, Decl(renderer.d.ts, 8, 28))
+
+=== tests/cases/conformance/jsx/inline/preacty.tsx ===
+/**
+ * @jsx h
+ * @jsxFrag Fragment
+ */
+import {h, Fragment} from "./renderer";
+>h : Symbol(h, Decl(preacty.tsx, 4, 8))
+>Fragment : Symbol(Fragment, Decl(preacty.tsx, 4, 10))
+
+<><div></div></>
+>div : Symbol(JSX.IntrinsicElements, Decl(renderer.d.ts, 1, 19))
+>div : Symbol(JSX.IntrinsicElements, Decl(renderer.d.ts, 1, 19))
+
+=== tests/cases/conformance/jsx/inline/snabbdomy.tsx ===
+/* @jsx jsx */
+/* @jsxfrag null */
+import {jsx} from "./renderer";
+>jsx : Symbol(jsx, Decl(snabbdomy.tsx, 2, 8))
+
+<><span></span></>
+>span : Symbol(JSX.IntrinsicElements, Decl(renderer.d.ts, 1, 19))
+>span : Symbol(JSX.IntrinsicElements, Decl(renderer.d.ts, 1, 19))
+
diff --git a/tests/baselines/reference/inlineJsxAndJsxFragPragma.types b/tests/baselines/reference/inlineJsxAndJsxFragPragma.types
new file mode 100644
index 0000000000000..d7fdf1b665255
--- /dev/null
+++ b/tests/baselines/reference/inlineJsxAndJsxFragPragma.types
@@ -0,0 +1,47 @@
+=== tests/cases/conformance/jsx/inline/renderer.d.ts ===
+declare global {
+>global : any
+
+    namespace JSX {
+        interface IntrinsicElements {
+            [e: string]: any;
+>e : string
+        }
+    }
+}
+export function h(): void;
+>h : () => void
+
+export function jsx(): void;
+>jsx : () => void
+
+export function Fragment(): void;
+>Fragment : () => void
+
+=== tests/cases/conformance/jsx/inline/preacty.tsx ===
+/**
+ * @jsx h
+ * @jsxFrag Fragment
+ */
+import {h, Fragment} from "./renderer";
+>h : () => void
+>Fragment : () => void
+
+<><div></div></>
+><><div></div></> : error
+><div></div> : error
+>div : any
+>div : any
+
+=== tests/cases/conformance/jsx/inline/snabbdomy.tsx ===
+/* @jsx jsx */
+/* @jsxfrag null */
+import {jsx} from "./renderer";
+>jsx : () => void
+
+<><span></span></>
+><><span></span></> : error
+><span></span> : error
+>span : any
+>span : any
+
diff --git a/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.js b/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.js
new file mode 100644
index 0000000000000..91949b147857e
--- /dev/null
+++ b/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.js
@@ -0,0 +1,82 @@
+//// [tests/cases/conformance/jsx/inline/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.tsx] ////
+
+//// [react.d.ts]
+declare global {
+    namespace JSX {
+        interface IntrinsicElements {
+            [e: string]: any;
+        }
+    }
+}
+export function createElement(): void;
+export function Fragment(): void;
+
+//// [preact.d.ts]
+export function h(): void;
+export function Frag(): void;
+
+//// [snabbdom.d.ts]
+export function h(): void;
+
+//// [reacty.tsx]
+import {createElement, Fragment} from "./react";
+<><span></span></>
+
+//// [preacty.tsx]
+/**
+ * @jsx h
+ * @jsxFrag Frag
+ */
+import {h, Frag} from "./preact";
+<><div></div></>
+
+//// [snabbdomy.tsx]
+/**
+ * @jsx h
+ * @jsxfrag null
+ */
+import {h} from "./snabbdom";
+<><div></div></>
+
+//// [mix-n-match.tsx]
+/* @jsx h */
+/* @jsxFrag Fragment */
+import {h} from "./preact";
+import {Fragment} from "./react";
+<><span></span></>
+
+//// [reacty.js]
+"use strict";
+exports.__esModule = true;
+var react_1 = require("./react");
+react_1.createElement(react_1.Fragment, null,
+    react_1.createElement("span", null));
+//// [preacty.js]
+"use strict";
+exports.__esModule = true;
+/**
+ * @jsx h
+ * @jsxFrag Frag
+ */
+var preact_1 = require("./preact");
+preact_1.h(preact_1.Frag, null,
+    preact_1.h("div", null));
+//// [snabbdomy.js]
+"use strict";
+exports.__esModule = true;
+/**
+ * @jsx h
+ * @jsxfrag null
+ */
+var snabbdom_1 = require("./snabbdom");
+snabbdom_1.h(null, null,
+    snabbdom_1.h("div", null));
+//// [mix-n-match.js]
+"use strict";
+exports.__esModule = true;
+/* @jsx h */
+/* @jsxFrag Fragment */
+var preact_1 = require("./preact");
+var react_1 = require("./react");
+preact_1.h(react_1.Fragment, null,
+    preact_1.h("span", null));
diff --git a/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.symbols b/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.symbols
new file mode 100644
index 0000000000000..4384dab20e2a8
--- /dev/null
+++ b/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.symbols
@@ -0,0 +1,79 @@
+=== tests/cases/conformance/jsx/inline/react.d.ts ===
+declare global {
+>global : Symbol(global, Decl(react.d.ts, 0, 0))
+
+    namespace JSX {
+>JSX : Symbol(JSX, Decl(react.d.ts, 0, 16))
+
+        interface IntrinsicElements {
+>IntrinsicElements : Symbol(IntrinsicElements, Decl(react.d.ts, 1, 19))
+
+            [e: string]: any;
+>e : Symbol(e, Decl(react.d.ts, 3, 13))
+        }
+    }
+}
+export function createElement(): void;
+>createElement : Symbol(createElement, Decl(react.d.ts, 6, 1))
+
+export function Fragment(): void;
+>Fragment : Symbol(Fragment, Decl(react.d.ts, 7, 38))
+
+=== tests/cases/conformance/jsx/inline/preact.d.ts ===
+export function h(): void;
+>h : Symbol(h, Decl(preact.d.ts, 0, 0))
+
+export function Frag(): void;
+>Frag : Symbol(Frag, Decl(preact.d.ts, 0, 26))
+
+=== tests/cases/conformance/jsx/inline/snabbdom.d.ts ===
+export function h(): void;
+>h : Symbol(h, Decl(snabbdom.d.ts, 0, 0))
+
+=== tests/cases/conformance/jsx/inline/reacty.tsx ===
+import {createElement, Fragment} from "./react";
+>createElement : Symbol(createElement, Decl(reacty.tsx, 0, 8))
+>Fragment : Symbol(Fragment, Decl(reacty.tsx, 0, 22))
+
+<><span></span></>
+>span : Symbol(JSX.IntrinsicElements, Decl(react.d.ts, 1, 19))
+>span : Symbol(JSX.IntrinsicElements, Decl(react.d.ts, 1, 19))
+
+=== tests/cases/conformance/jsx/inline/preacty.tsx ===
+/**
+ * @jsx h
+ * @jsxFrag Frag
+ */
+import {h, Frag} from "./preact";
+>h : Symbol(h, Decl(preacty.tsx, 4, 8))
+>Frag : Symbol(Frag, Decl(preacty.tsx, 4, 10))
+
+<><div></div></>
+>div : Symbol(JSX.IntrinsicElements, Decl(react.d.ts, 1, 19))
+>div : Symbol(JSX.IntrinsicElements, Decl(react.d.ts, 1, 19))
+
+=== tests/cases/conformance/jsx/inline/snabbdomy.tsx ===
+/**
+ * @jsx h
+ * @jsxfrag null
+ */
+import {h} from "./snabbdom";
+>h : Symbol(h, Decl(snabbdomy.tsx, 4, 8))
+
+<><div></div></>
+>div : Symbol(JSX.IntrinsicElements, Decl(react.d.ts, 1, 19))
+>div : Symbol(JSX.IntrinsicElements, Decl(react.d.ts, 1, 19))
+
+=== tests/cases/conformance/jsx/inline/mix-n-match.tsx ===
+/* @jsx h */
+/* @jsxFrag Fragment */
+import {h} from "./preact";
+>h : Symbol(h, Decl(mix-n-match.tsx, 2, 8))
+
+import {Fragment} from "./react";
+>Fragment : Symbol(Fragment, Decl(mix-n-match.tsx, 3, 8))
+
+<><span></span></>
+>span : Symbol(JSX.IntrinsicElements, Decl(react.d.ts, 1, 19))
+>span : Symbol(JSX.IntrinsicElements, Decl(react.d.ts, 1, 19))
+
diff --git a/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.types b/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.types
new file mode 100644
index 0000000000000..613ae44af0f47
--- /dev/null
+++ b/tests/baselines/reference/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.types
@@ -0,0 +1,83 @@
+=== tests/cases/conformance/jsx/inline/react.d.ts ===
+declare global {
+>global : any
+
+    namespace JSX {
+        interface IntrinsicElements {
+            [e: string]: any;
+>e : string
+        }
+    }
+}
+export function createElement(): void;
+>createElement : () => void
+
+export function Fragment(): void;
+>Fragment : () => void
+
+=== tests/cases/conformance/jsx/inline/preact.d.ts ===
+export function h(): void;
+>h : () => void
+
+export function Frag(): void;
+>Frag : () => void
+
+=== tests/cases/conformance/jsx/inline/snabbdom.d.ts ===
+export function h(): void;
+>h : () => void
+
+=== tests/cases/conformance/jsx/inline/reacty.tsx ===
+import {createElement, Fragment} from "./react";
+>createElement : () => void
+>Fragment : () => void
+
+<><span></span></>
+><><span></span></> : error
+><span></span> : error
+>span : any
+>span : any
+
+=== tests/cases/conformance/jsx/inline/preacty.tsx ===
+/**
+ * @jsx h
+ * @jsxFrag Frag
+ */
+import {h, Frag} from "./preact";
+>h : () => void
+>Frag : () => void
+
+<><div></div></>
+><><div></div></> : error
+><div></div> : error
+>div : any
+>div : any
+
+=== tests/cases/conformance/jsx/inline/snabbdomy.tsx ===
+/**
+ * @jsx h
+ * @jsxfrag null
+ */
+import {h} from "./snabbdom";
+>h : () => void
+
+<><div></div></>
+><><div></div></> : error
+><div></div> : error
+>div : any
+>div : any
+
+=== tests/cases/conformance/jsx/inline/mix-n-match.tsx ===
+/* @jsx h */
+/* @jsxFrag Fragment */
+import {h} from "./preact";
+>h : () => void
+
+import {Fragment} from "./react";
+>Fragment : () => void
+
+<><span></span></>
+><><span></span></> : error
+><span></span> : error
+>span : any
+>span : any
+
diff --git a/tests/baselines/reference/inlineJsxFactoryWithFragmentIsError.errors.txt b/tests/baselines/reference/inlineJsxFactoryWithFragmentIsError.errors.txt
index b70ddf5f9b9aa..d901a3916516c 100644
--- a/tests/baselines/reference/inlineJsxFactoryWithFragmentIsError.errors.txt
+++ b/tests/baselines/reference/inlineJsxFactoryWithFragmentIsError.errors.txt
@@ -1,5 +1,6 @@
-tests/cases/conformance/jsx/inline/index.tsx(3,1): error TS17017: JSX fragment is not supported when using an inline JSX factory pragma
-tests/cases/conformance/jsx/inline/reacty.tsx(3,1): error TS17017: JSX fragment is not supported when using an inline JSX factory pragma
+tests/cases/conformance/jsx/inline/index.tsx(3,1): error TS2304: Cannot find name 'React'.
+tests/cases/conformance/jsx/inline/index.tsx(3,1): error TS17017: An @jsxFrag pragma is required when using an @jsx pragma with JSX fragments.
+tests/cases/conformance/jsx/inline/reacty.tsx(3,1): error TS17017: An @jsxFrag pragma is required when using an @jsx pragma with JSX fragments.
 
 
 ==== tests/cases/conformance/jsx/inline/renderer.d.ts (0 errors) ====
@@ -17,10 +18,12 @@ tests/cases/conformance/jsx/inline/reacty.tsx(3,1): error TS17017: JSX fragment
     import * as React from "./renderer";
     <><h></h></>
     ~~~~~~~~~~~~
-!!! error TS17017: JSX fragment is not supported when using an inline JSX factory pragma
-==== tests/cases/conformance/jsx/inline/index.tsx (1 errors) ====
+!!! error TS17017: An @jsxFrag pragma is required when using an @jsx pragma with JSX fragments.
+==== tests/cases/conformance/jsx/inline/index.tsx (2 errors) ====
     /** @jsx dom */
     import { dom } from "./renderer";
     <><h></h></>
+    ~~
+!!! error TS2304: Cannot find name 'React'.
     ~~~~~~~~~~~~
-!!! error TS17017: JSX fragment is not supported when using an inline JSX factory pragma
\ No newline at end of file
+!!! error TS17017: An @jsxFrag pragma is required when using an @jsx pragma with JSX fragments.
\ No newline at end of file
diff --git a/tests/baselines/reference/jsxFactoryAndFragment.errors.txt b/tests/baselines/reference/jsxFactoryAndFragment.errors.txt
index bec2ea5cc0fb6..135ecdb6bc837 100644
--- a/tests/baselines/reference/jsxFactoryAndFragment.errors.txt
+++ b/tests/baselines/reference/jsxFactoryAndFragment.errors.txt
@@ -1,6 +1,6 @@
-tests/cases/compiler/jsxFactoryAndFragment.tsx(3,1): error TS17016: JSX fragment is not supported when using --jsxFactory
-tests/cases/compiler/jsxFactoryAndFragment.tsx(4,1): error TS17016: JSX fragment is not supported when using --jsxFactory
-tests/cases/compiler/jsxFactoryAndFragment.tsx(4,17): error TS17016: JSX fragment is not supported when using --jsxFactory
+tests/cases/compiler/jsxFactoryAndFragment.tsx(3,1): error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
+tests/cases/compiler/jsxFactoryAndFragment.tsx(4,1): error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
+tests/cases/compiler/jsxFactoryAndFragment.tsx(4,17): error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
 
 
 ==== tests/cases/compiler/jsxFactoryAndFragment.tsx (3 errors) ====
@@ -8,9 +8,9 @@ tests/cases/compiler/jsxFactoryAndFragment.tsx(4,17): error TS17016: JSX fragmen
     
     <></>;
     ~~~~~
-!!! error TS17016: JSX fragment is not supported when using --jsxFactory
+!!! error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
     <><span>1</span><><span>2.1</span><span>2.2</span></></>;
     ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
-!!! error TS17016: JSX fragment is not supported when using --jsxFactory
+!!! error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
                     ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
-!!! error TS17016: JSX fragment is not supported when using --jsxFactory
\ No newline at end of file
+!!! error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
\ No newline at end of file
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.js b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.js
new file mode 100644
index 0000000000000..3bffa897aef87
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.js
@@ -0,0 +1,13 @@
+//// [jsxFactoryAndJsxFragmentFactory.tsx]
+declare var h: any;
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
+
+//// [jsxFactoryAndJsxFragmentFactory.js]
+h(Frag, null);
+h(Frag, null,
+    h("span", null, "1"),
+    h(Frag, null,
+        h("span", null, "2.1"),
+        h("span", null, "2.2")));
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.symbols b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.symbols
new file mode 100644
index 0000000000000..e21f2fac91861
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.symbols
@@ -0,0 +1,6 @@
+=== tests/cases/compiler/jsxFactoryAndJsxFragmentFactory.tsx ===
+declare var h: any;
+>h : Symbol(h, Decl(jsxFactoryAndJsxFragmentFactory.tsx, 0, 11))
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.types b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.types
new file mode 100644
index 0000000000000..01d2d3003c6b1
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactory.types
@@ -0,0 +1,20 @@
+=== tests/cases/compiler/jsxFactoryAndJsxFragmentFactory.tsx ===
+declare var h: any;
+>h : any
+
+<></>;
+><></> : error
+
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
+><><span>1</span><><span>2.1</span><span>2.2</span></></> : error
+><span>1</span> : error
+>span : any
+>span : any
+><><span>2.1</span><span>2.2</span></> : error
+><span>2.1</span> : error
+>span : any
+>span : any
+><span>2.2</span> : error
+>span : any
+>span : any
+
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.errors.txt b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.errors.txt
new file mode 100644
index 0000000000000..3380f7b5aabde
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.errors.txt
@@ -0,0 +1,9 @@
+error TS18035: Invalid value for 'jsxFragmentFactory'. '234' is not a valid identifier or qualified-name.
+
+
+!!! error TS18035: Invalid value for 'jsxFragmentFactory'. '234' is not a valid identifier or qualified-name.
+==== tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.tsx (0 errors) ====
+    declare var h: any;
+    
+    <></>;
+    <><span>1</span><><span>2.1</span><span>2.2</span></></>;
\ No newline at end of file
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.js b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.js
new file mode 100644
index 0000000000000..bb65dcd0e1478
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.js
@@ -0,0 +1,13 @@
+//// [jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.tsx]
+declare var h: any;
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
+
+//// [jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.js]
+h(React.Fragment, null);
+h(React.Fragment, null,
+    h("span", null, "1"),
+    h(React.Fragment, null,
+        h("span", null, "2.1"),
+        h("span", null, "2.2")));
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.symbols b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.symbols
new file mode 100644
index 0000000000000..490b73a4015cd
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.symbols
@@ -0,0 +1,6 @@
+=== tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.tsx ===
+declare var h: any;
+>h : Symbol(h, Decl(jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.tsx, 0, 11))
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.types b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.types
new file mode 100644
index 0000000000000..23cbb14449c54
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.types
@@ -0,0 +1,20 @@
+=== tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.tsx ===
+declare var h: any;
+>h : any
+
+<></>;
+><></> : any
+
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
+><><span>1</span><><span>2.1</span><span>2.2</span></></> : any
+><span>1</span> : any
+>span : any
+>span : any
+><><span>2.1</span><span>2.2</span></> : any
+><span>2.1</span> : any
+>span : any
+>span : any
+><span>2.2</span> : any
+>span : any
+>span : any
+
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.js b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.js
new file mode 100644
index 0000000000000..aad55296fe8b1
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.js
@@ -0,0 +1,13 @@
+//// [jsxFactoryAndJsxFragmentFactoryNull.tsx]
+declare var h: any;
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
+
+//// [jsxFactoryAndJsxFragmentFactoryNull.js]
+h(null, null);
+h(null, null,
+    h("span", null, "1"),
+    h(null, null,
+        h("span", null, "2.1"),
+        h("span", null, "2.2")));
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.symbols b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.symbols
new file mode 100644
index 0000000000000..102abc07fde66
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.symbols
@@ -0,0 +1,6 @@
+=== tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryNull.tsx ===
+declare var h: any;
+>h : Symbol(h, Decl(jsxFactoryAndJsxFragmentFactoryNull.tsx, 0, 11))
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
diff --git a/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.types b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.types
new file mode 100644
index 0000000000000..59bc383c2aa4a
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryAndJsxFragmentFactoryNull.types
@@ -0,0 +1,20 @@
+=== tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryNull.tsx ===
+declare var h: any;
+>h : any
+
+<></>;
+><></> : error
+
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
+><><span>1</span><><span>2.1</span><span>2.2</span></></> : error
+><span>1</span> : error
+>span : any
+>span : any
+><><span>2.1</span><span>2.2</span></> : error
+><span>2.1</span> : error
+>span : any
+>span : any
+><span>2.2</span> : error
+>span : any
+>span : any
+
diff --git a/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.errors.txt b/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.errors.txt
new file mode 100644
index 0000000000000..ab8eaf927db3a
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.errors.txt
@@ -0,0 +1,16 @@
+tests/cases/compiler/jsxFactoryButNoJsxFragmentFactory.tsx(3,1): error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
+tests/cases/compiler/jsxFactoryButNoJsxFragmentFactory.tsx(4,1): error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
+tests/cases/compiler/jsxFactoryButNoJsxFragmentFactory.tsx(4,17): error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
+
+
+==== tests/cases/compiler/jsxFactoryButNoJsxFragmentFactory.tsx (3 errors) ====
+    declare var h: any;
+    
+    <></>;
+    ~~~~~
+!!! error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
+    <><span>1</span><><span>2.1</span><span>2.2</span></></>;
+    ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
+!!! error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
+                    ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
+!!! error TS17016: The 'jsxFragmentFactory' compiler option must be provided to use JSX fragments with the 'jsxFactory' compiler option.
\ No newline at end of file
diff --git a/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.js b/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.js
new file mode 100644
index 0000000000000..6babd1025bf96
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.js
@@ -0,0 +1,13 @@
+//// [jsxFactoryButNoJsxFragmentFactory.tsx]
+declare var h: any;
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
+
+//// [jsxFactoryButNoJsxFragmentFactory.js]
+h(React.Fragment, null);
+h(React.Fragment, null,
+    h("span", null, "1"),
+    h(React.Fragment, null,
+        h("span", null, "2.1"),
+        h("span", null, "2.2")));
diff --git a/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.symbols b/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.symbols
new file mode 100644
index 0000000000000..1d6ca75f38d83
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.symbols
@@ -0,0 +1,6 @@
+=== tests/cases/compiler/jsxFactoryButNoJsxFragmentFactory.tsx ===
+declare var h: any;
+>h : Symbol(h, Decl(jsxFactoryButNoJsxFragmentFactory.tsx, 0, 11))
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
diff --git a/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.types b/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.types
new file mode 100644
index 0000000000000..c6310dd56e707
--- /dev/null
+++ b/tests/baselines/reference/jsxFactoryButNoJsxFragmentFactory.types
@@ -0,0 +1,20 @@
+=== tests/cases/compiler/jsxFactoryButNoJsxFragmentFactory.tsx ===
+declare var h: any;
+>h : any
+
+<></>;
+><></> : any
+
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
+><><span>1</span><><span>2.1</span><span>2.2</span></></> : any
+><span>1</span> : any
+>span : any
+>span : any
+><><span>2.1</span><span>2.2</span></> : any
+><span>2.1</span> : any
+>span : any
+>span : any
+><span>2.2</span> : any
+>span : any
+>span : any
+
diff --git a/tests/baselines/reference/showConfig/Shows tsconfig for single option/jsxFragmentFactory/tsconfig.json b/tests/baselines/reference/showConfig/Shows tsconfig for single option/jsxFragmentFactory/tsconfig.json
new file mode 100644
index 0000000000000..bc59203b9634b
--- /dev/null
+++ b/tests/baselines/reference/showConfig/Shows tsconfig for single option/jsxFragmentFactory/tsconfig.json	
@@ -0,0 +1,5 @@
+{
+    "compilerOptions": {
+        "jsxFragmentFactory": "someString"
+    }
+}
diff --git a/tests/baselines/reference/transpile/Supports setting jsxFragmentFactory.js b/tests/baselines/reference/transpile/Supports setting jsxFragmentFactory.js
new file mode 100644
index 0000000000000..8394371f9081a
--- /dev/null
+++ b/tests/baselines/reference/transpile/Supports setting jsxFragmentFactory.js	
@@ -0,0 +1,2 @@
+x;
+//# sourceMappingURL=input.js.map
\ No newline at end of file
diff --git a/tests/baselines/reference/transpile/Supports setting jsxFragmentFactory.oldTranspile.js b/tests/baselines/reference/transpile/Supports setting jsxFragmentFactory.oldTranspile.js
new file mode 100644
index 0000000000000..8394371f9081a
--- /dev/null
+++ b/tests/baselines/reference/transpile/Supports setting jsxFragmentFactory.oldTranspile.js	
@@ -0,0 +1,2 @@
+x;
+//# sourceMappingURL=input.js.map
\ No newline at end of file
diff --git a/tests/cases/compiler/jsxFactoryAndJsxFragmentFactory.tsx b/tests/cases/compiler/jsxFactoryAndJsxFragmentFactory.tsx
new file mode 100644
index 0000000000000..c509ed5b46103
--- /dev/null
+++ b/tests/cases/compiler/jsxFactoryAndJsxFragmentFactory.tsx
@@ -0,0 +1,8 @@
+//@jsx: react
+//@jsxFactory: h
+//@jsxFragmentFactory: Frag
+
+declare var h: any;
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
\ No newline at end of file
diff --git a/tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.tsx b/tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.tsx
new file mode 100644
index 0000000000000..030ede2a31a2c
--- /dev/null
+++ b/tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryErrorNotIdentifier.tsx
@@ -0,0 +1,8 @@
+//@jsx: react
+//@jsxFactory: h
+//@jsxFragmentFactory: 234
+
+declare var h: any;
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
\ No newline at end of file
diff --git a/tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryNull.tsx b/tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryNull.tsx
new file mode 100644
index 0000000000000..babd3cb713843
--- /dev/null
+++ b/tests/cases/compiler/jsxFactoryAndJsxFragmentFactoryNull.tsx
@@ -0,0 +1,8 @@
+//@jsx: react
+//@jsxFactory: h
+//@jsxFragmentFactory: null
+
+declare var h: any;
+
+<></>;
+<><span>1</span><><span>2.1</span><span>2.2</span></></>;
\ No newline at end of file
diff --git a/tests/cases/compiler/jsxFactoryAndFragment.tsx b/tests/cases/compiler/jsxFactoryButNoJsxFragmentFactory.tsx
similarity index 100%
rename from tests/cases/compiler/jsxFactoryAndFragment.tsx
rename to tests/cases/compiler/jsxFactoryButNoJsxFragmentFactory.tsx
diff --git a/tests/cases/conformance/jsx/inline/inlineJsxAndJsxFragPragma.tsx b/tests/cases/conformance/jsx/inline/inlineJsxAndJsxFragPragma.tsx
new file mode 100644
index 0000000000000..59fa10dbfbcaf
--- /dev/null
+++ b/tests/cases/conformance/jsx/inline/inlineJsxAndJsxFragPragma.tsx
@@ -0,0 +1,26 @@
+// @jsx: react
+// @filename: renderer.d.ts
+declare global {
+    namespace JSX {
+        interface IntrinsicElements {
+            [e: string]: any;
+        }
+    }
+}
+export function h(): void;
+export function jsx(): void;
+export function Fragment(): void;
+
+// @filename: preacty.tsx
+/**
+ * @jsx h
+ * @jsxFrag Fragment
+ */
+import {h, Fragment} from "./renderer";
+<><div></div></>
+
+// @filename: snabbdomy.tsx
+/* @jsx jsx */
+/* @jsxfrag null */
+import {jsx} from "./renderer";
+<><span></span></>
\ No newline at end of file
diff --git a/tests/cases/conformance/jsx/inline/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.tsx b/tests/cases/conformance/jsx/inline/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.tsx
new file mode 100644
index 0000000000000..7a65fc965aadf
--- /dev/null
+++ b/tests/cases/conformance/jsx/inline/inlineJsxAndJsxFragPragmaOverridesCompilerOptions.tsx
@@ -0,0 +1,48 @@
+// @jsx: react
+// @jsxFactory: createElement
+// @jsxFragmentFactory: Fragment
+
+// @filename: react.d.ts
+declare global {
+    namespace JSX {
+        interface IntrinsicElements {
+            [e: string]: any;
+        }
+    }
+}
+export function createElement(): void;
+export function Fragment(): void;
+
+// @filename: preact.d.ts
+export function h(): void;
+export function Frag(): void;
+
+// @filename: snabbdom.d.ts
+export function h(): void;
+
+// @filename: reacty.tsx
+import {createElement, Fragment} from "./react";
+<><span></span></>
+
+// @filename: preacty.tsx
+/**
+ * @jsx h
+ * @jsxFrag Frag
+ */
+import {h, Frag} from "./preact";
+<><div></div></>
+
+// @filename: snabbdomy.tsx
+/**
+ * @jsx h
+ * @jsxfrag null
+ */
+import {h} from "./snabbdom";
+<><div></div></>
+
+// @filename: mix-n-match.tsx
+/* @jsx h */
+/* @jsxFrag Fragment */
+import {h} from "./preact";
+import {Fragment} from "./react";
+<><span></span></>
\ No newline at end of file