diff --git a/exec-path-from-shell.el b/exec-path-from-shell.el
index e0e381f..89eed8b 100644
--- a/exec-path-from-shell.el
+++ b/exec-path-from-shell.el
@@ -225,8 +225,10 @@ Additionally, if NAME is \"PATH\" then also update the
 variables `exec-path' and `eshell-path-env'."
   (setenv name value)
   (when (string-equal "PATH" name)
-    (setq eshell-path-env value
-          exec-path (append (parse-colon-path value) (list exec-directory)))))
+    (setq exec-path (append (parse-colon-path value) (list exec-directory)))
+    ;; `eshell-path-env' is a buffer local variable, so change its default
+    ;; value.
+    (setq-default eshell-path-env value)))
 
 ;;;###autoload
 (defun exec-path-from-shell-copy-envs (names)