diff --git a/CHANGELOG.md b/CHANGELOG.md
index a41b7dae54..9a7430b24f 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -28,6 +28,7 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 - Ensure focus trap, Tabs and Dialog play well together ([#1231](https://github.com/tailwindlabs/headlessui/pull/1231))
 - Add `multi` value support for Listbox & Combobox ([#1243](https://github.com/tailwindlabs/headlessui/pull/1243))
 - Improve Combobox Input value ([#1248](https://github.com/tailwindlabs/headlessui/pull/1248))
+- Fix Tree-shaking support ([#1247](https://github.com/tailwindlabs/headlessui/pull/1247))
 
 ### Added
 
@@ -58,6 +59,7 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 - Ensure focus trap, Tabs and Dialog play well together ([#1231](https://github.com/tailwindlabs/headlessui/pull/1231))
 - Add `multi` value support for Listbox & Combobox ([#1243](https://github.com/tailwindlabs/headlessui/pull/1243))
 - Improve Combobox Input value ([#1248](https://github.com/tailwindlabs/headlessui/pull/1248))
+- Fix Tree-shaking support ([#1247](https://github.com/tailwindlabs/headlessui/pull/1247))
 
 ### Added
 
diff --git a/package.json b/package.json
index 18d9b4a9fa..7280f0ba57 100644
--- a/package.json
+++ b/package.json
@@ -42,6 +42,7 @@
     "@testing-library/jest-dom": "^5.11.9",
     "@types/node": "^14.14.22",
     "esbuild": "^0.14.11",
+    "fast-glob": "^3.2.11",
     "husky": "^4.3.8",
     "jest": "26",
     "lint-staged": "^12.2.1",
diff --git a/scripts/build.sh b/scripts/build.sh
index 9d32bdf141..f820242043 100755
--- a/scripts/build.sh
+++ b/scripts/build.sh
@@ -1,32 +1,52 @@
-#!/bin/bash
+#!/usr/bin/env bash
 set -e
 
+SCRIPT_DIR=$(cd ${0%/*} && pwd -P)
+
 # Known variables
-outdir="./dist"
+SRC='./src'
+DST='./dist'
 name="headlessui"
-input="./src/index.ts"
+input="./${SRC}/index.ts"
 
 # Find executables
 esbuild=$(yarn bin esbuild)
 tsc=$(yarn bin tsc)
+resolver="${SCRIPT_DIR}/resolve-files.js"
+rewriteImports="${SCRIPT_DIR}/rewrite-imports.js"
 
 # Setup shared options for esbuild
 sharedOptions=()
-sharedOptions+=("--bundle")
 sharedOptions+=("--platform=browser")
 sharedOptions+=("--target=es2019")
 
 # Generate actual builds
-NODE_ENV=production  $esbuild $input --format=esm  --outfile=$outdir/$name.esm.js    --minify ${sharedOptions[@]} $@ &
-NODE_ENV=production  $esbuild $input --format=cjs  --outfile=$outdir/$name.prod.cjs  --minify ${sharedOptions[@]} $@ &
-NODE_ENV=development $esbuild $input --format=cjs  --outfile=$outdir/$name.dev.cjs            ${sharedOptions[@]} $@ &
+# ESM
+resolverOptions=()
+resolverOptions+=($SRC)
+resolverOptions+=('/**/*.{ts,tsx}')
+resolverOptions+=('--ignore=.test.,__mocks__')
+INPUT_FILES=$($resolver ${resolverOptions[@]})
+
+NODE_ENV=production  $esbuild $INPUT_FILES --format=esm --outdir=$DST               --outbase=$SRC --minify --pure:React.createElement ${sharedOptions[@]} &
+NODE_ENV=production  $esbuild $input       --format=esm --outfile=$DST/$name.esm.js --outbase=$SRC --minify --pure:React.createElement ${sharedOptions[@]} &
+
+# Common JS
+NODE_ENV=production  $esbuild $input --format=cjs --outfile=$DST/$name.prod.cjs --minify --bundle --pure:React.createElement ${sharedOptions[@]} $@ &
+NODE_ENV=development $esbuild $input --format=cjs --outfile=$DST/$name.dev.cjs           --bundle --pure:React.createElement ${sharedOptions[@]} $@ &
 
 # Generate types
-tsc --emitDeclarationOnly --outDir $outdir &
+tsc --emitDeclarationOnly --outDir $DST &
 
 # Copy build files over
-cp -rf ./build/ $outdir
+cp -rf ./build/ $DST
 
 # Wait for all the scripts to finish
 wait
 
+# Rewrite ESM imports 😤
+$rewriteImports "$DST" '/**/*.js'
+
+# Remove test related files
+rm -rf `$resolver "$DST" '/**/*.{test,__mocks__,}.*'`
+rm -rf `$resolver "$DST" '/**/test-utils/*'`
diff --git a/scripts/lint.sh b/scripts/lint.sh
index 2d503d966e..6c0ba8db3e 100755
--- a/scripts/lint.sh
+++ b/scripts/lint.sh
@@ -1,4 +1,4 @@
-#!/bin/bash
+#!/usr/bin/env bash
 set -e
 
 ROOT_DIR="$(git rev-parse --show-toplevel)/"
diff --git a/scripts/resolve-files.js b/scripts/resolve-files.js
new file mode 100755
index 0000000000..82011c3797
--- /dev/null
+++ b/scripts/resolve-files.js
@@ -0,0 +1,32 @@
+#!/usr/bin/env node
+let fastGlob = require('fast-glob')
+
+let parts = process.argv.slice(2)
+let [args, flags] = parts.reduce(
+  ([args, flags], part) => {
+    if (part.startsWith('--')) {
+      flags[part.slice(2, part.indexOf('='))] = part.slice(part.indexOf('=') + 1)
+    } else {
+      args.push(part)
+    }
+    return [args, flags]
+  },
+  [[], {}]
+)
+
+flags.ignore = flags.ignore ?? ''
+flags.ignore = flags.ignore.split(',').filter(Boolean)
+
+console.log(
+  fastGlob
+    .sync(args.join(''))
+    .filter((file) => {
+      for (let ignore of flags.ignore) {
+        if (file.includes(ignore)) {
+          return false
+        }
+      }
+      return true
+    })
+    .join('\n')
+)
diff --git a/scripts/rewrite-imports.js b/scripts/rewrite-imports.js
new file mode 100755
index 0000000000..c2b5ae8d01
--- /dev/null
+++ b/scripts/rewrite-imports.js
@@ -0,0 +1,16 @@
+#!/usr/bin/env node
+
+let fs = require('fs')
+let path = require('path')
+let fastGlob = require('fast-glob')
+
+console.time('Rewrote imports in')
+fastGlob.sync([process.argv.slice(2).join('')]).forEach((file) => {
+  file = path.resolve(process.cwd(), file)
+  let content = fs.readFileSync(file, 'utf8')
+  let result = content.replace(/from([^"']*?)(["'])\.(.*?)\2/g, 'from$1".$3.js"')
+  if (result !== content) {
+    fs.writeFileSync(file, result, 'utf8')
+  }
+})
+console.timeEnd('Rewrote imports in')
diff --git a/scripts/test.sh b/scripts/test.sh
index 41a04526b1..bd10c1d453 100755
--- a/scripts/test.sh
+++ b/scripts/test.sh
@@ -1,4 +1,4 @@
-#!/bin/bash
+#!/usr/bin/env bash
 set -e
 
 node="yarn node"
diff --git a/scripts/watch.sh b/scripts/watch.sh
index 4216be5179..4eab01df78 100755
--- a/scripts/watch.sh
+++ b/scripts/watch.sh
@@ -1,4 +1,4 @@
-#!/bin/bash
+#!/usr/bin/env bash
 set -e
 
 # Known variables
diff --git a/yarn.lock b/yarn.lock
index 2c7c44fdf9..db45f49f60 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -591,6 +591,27 @@
   resolved "https://registry.yarnpkg.com/@next/swc-win32-x64-msvc/-/swc-win32-x64-msvc-12.1.0.tgz#d27e7e76c87a460a4da99c5bfdb1618dcd6cd064"
   integrity sha512-aBvcbMwuanDH4EMrL2TthNJy+4nP59Bimn8egqv6GHMVj0a44cU6Au4PjOhLNqEh9l+IpRGBqMTzec94UdC5xg==
 
+"@nodelib/fs.scandir@2.1.5":
+  version "2.1.5"
+  resolved "https://registry.yarnpkg.com/@nodelib/fs.scandir/-/fs.scandir-2.1.5.tgz#7619c2eb21b25483f6d167548b4cfd5a7488c3d5"
+  integrity sha512-vq24Bq3ym5HEQm2NKCr3yXDwjc7vTsEThRDnkp2DK9p1uqLR+DHurm/NOTo0KG7HYHU7eppKZj3MyqYuMBf62g==
+  dependencies:
+    "@nodelib/fs.stat" "2.0.5"
+    run-parallel "^1.1.9"
+
+"@nodelib/fs.stat@2.0.5", "@nodelib/fs.stat@^2.0.2":
+  version "2.0.5"
+  resolved "https://registry.yarnpkg.com/@nodelib/fs.stat/-/fs.stat-2.0.5.tgz#5bd262af94e9d25bd1e71b05deed44876a222e8b"
+  integrity sha512-RkhPPp2zrqDAQA/2jNhnztcPAlv64XdhIp7a7454A5ovI7Bukxgt7MX7udwAu3zg1DcpPU0rz3VV1SeaqvY4+A==
+
+"@nodelib/fs.walk@^1.2.3":
+  version "1.2.8"
+  resolved "https://registry.yarnpkg.com/@nodelib/fs.walk/-/fs.walk-1.2.8.tgz#e95737e8bb6746ddedf69c556953494f196fe69a"
+  integrity sha512-oGB+UxlgWcgQkgwo8GcEGwemoTFt3FIO9ababBmaGwXIoBKZ+GTy0pP185beGg7Llih/NSHSV2XAs1lnznocSg==
+  dependencies:
+    "@nodelib/fs.scandir" "2.1.5"
+    fastq "^1.6.0"
+
 "@popperjs/core@^2.6.0":
   version "2.11.4"
   resolved "https://registry.yarnpkg.com/@popperjs/core/-/core-2.11.4.tgz#d8c7b8db9226d2d7664553a0741ad7d0397ee503"
@@ -2133,6 +2154,17 @@ extglob@^2.0.4:
     snapdragon "^0.8.1"
     to-regex "^3.0.1"
 
+fast-glob@^3.2.11:
+  version "3.2.11"
+  resolved "https://registry.yarnpkg.com/fast-glob/-/fast-glob-3.2.11.tgz#a1172ad95ceb8a16e20caa5c5e56480e5129c1d9"
+  integrity sha512-xrO3+1bxSo3ZVHAnqzyuewYT6aMFHRAd4Kcs92MAonjwQZLsK9d0SF1IyQ3k5PoirxTW0Oe/RqFgMQ6TcNE5Ew==
+  dependencies:
+    "@nodelib/fs.stat" "^2.0.2"
+    "@nodelib/fs.walk" "^1.2.3"
+    glob-parent "^5.1.2"
+    merge2 "^1.3.0"
+    micromatch "^4.0.4"
+
 fast-json-stable-stringify@^2.0.0:
   version "2.1.0"
   resolved "https://registry.yarnpkg.com/fast-json-stable-stringify/-/fast-json-stable-stringify-2.1.0.tgz#874bf69c6f404c2b5d99c481341399fd55892633"
@@ -2143,6 +2175,13 @@ fast-levenshtein@~2.0.6:
   resolved "https://registry.yarnpkg.com/fast-levenshtein/-/fast-levenshtein-2.0.6.tgz#3d8a5c66883a16a30ca8643e851f19baa7797917"
   integrity sha1-PYpcZog6FqMMqGQ+hR8Zuqd5eRc=
 
+fastq@^1.6.0:
+  version "1.13.0"
+  resolved "https://registry.yarnpkg.com/fastq/-/fastq-1.13.0.tgz#616760f88a7526bdfc596b7cab8c18938c36b98c"
+  integrity sha512-YpkpUnK8od0o1hmeSc7UUs/eB/vIPWJYjKck2QKIzAf71Vm1AAQ3EbuZB3g2JIy+pg+ERD0vqI79KyZiB2e2Nw==
+  dependencies:
+    reusify "^1.0.4"
+
 fb-watchman@^2.0.0:
   version "2.0.1"
   resolved "https://registry.yarnpkg.com/fb-watchman/-/fb-watchman-2.0.1.tgz#fc84fb39d2709cf3ff6d743706157bb5708a8a85"
@@ -2302,6 +2341,13 @@ get-value@^2.0.3, get-value@^2.0.6:
   resolved "https://registry.yarnpkg.com/get-value/-/get-value-2.0.6.tgz#dc15ca1c672387ca76bd37ac0a395ba2042a2c28"
   integrity sha1-3BXKHGcjh8p2vTesCjlbogQqLCg=
 
+glob-parent@^5.1.2:
+  version "5.1.2"
+  resolved "https://registry.yarnpkg.com/glob-parent/-/glob-parent-5.1.2.tgz#869832c58034fe68a4093c17dc15e8340d8401c4"
+  integrity sha512-AOIgSQCepiJYwP3ARnGx+5VnTu2HBYdzbGP45eLw1vr3zB3vZLeyed1sC9hnbcOc9/SrMyM5RPQrkGz4aS9Zow==
+  dependencies:
+    is-glob "^4.0.1"
+
 glob@^7.1.1, glob@^7.1.2, glob@^7.1.3, glob@^7.1.4:
   version "7.2.0"
   resolved "https://registry.yarnpkg.com/glob/-/glob-7.2.0.tgz#d15535af7732e02e948f4c41628bd910293f6023"
@@ -2633,6 +2679,11 @@ is-extendable@^1.0.1:
   dependencies:
     is-plain-object "^2.0.4"
 
+is-extglob@^2.1.1:
+  version "2.1.1"
+  resolved "https://registry.yarnpkg.com/is-extglob/-/is-extglob-2.1.1.tgz#a88c02535791f02ed37c76a1b9ea9773c833f8c2"
+  integrity sha1-qIwCU1eR8C7TfHahueqXc8gz+MI=
+
 is-fullwidth-code-point@^3.0.0:
   version "3.0.0"
   resolved "https://registry.yarnpkg.com/is-fullwidth-code-point/-/is-fullwidth-code-point-3.0.0.tgz#f116f8064fe90b3f7844a38997c0b75051269f1d"
@@ -2648,6 +2699,13 @@ is-generator-fn@^2.0.0:
   resolved "https://registry.yarnpkg.com/is-generator-fn/-/is-generator-fn-2.1.0.tgz#7d140adc389aaf3011a8f2a2a4cfa6faadffb118"
   integrity sha512-cTIB4yPYL/Grw0EaSzASzg6bBy9gqCofvWN8okThAYIxKJZC+udlRAmGbM0XLeniEJSs8uEgHPGuHSe1XsOLSQ==
 
+is-glob@^4.0.1:
+  version "4.0.3"
+  resolved "https://registry.yarnpkg.com/is-glob/-/is-glob-4.0.3.tgz#64f61e42cbbb2eec2071a9dac0b28ba1e65d5084"
+  integrity sha512-xelSayHH36ZgE7ZWhli7pW34hNbNl8Ojv5KVmkJD4hBdD3th8Tfk9vYasLM+mXWOZhFkgZfxhLSnrwRr4elSSg==
+  dependencies:
+    is-extglob "^2.1.1"
+
 is-negative-zero@^2.0.1:
   version "2.0.2"
   resolved "https://registry.yarnpkg.com/is-negative-zero/-/is-negative-zero-2.0.2.tgz#7bf6f03a28003b8b3965de3ac26f664d765f3150"
@@ -3494,6 +3552,11 @@ merge-stream@^2.0.0:
   resolved "https://registry.yarnpkg.com/merge-stream/-/merge-stream-2.0.0.tgz#52823629a14dd00c9770fb6ad47dc6310f2c1f60"
   integrity sha512-abv/qOcuPfk3URPfDzmZU1LKmuw8kT+0nIHvKrKgFrwifol/doWcdA4ZqsWQ8ENrFKkd67Mfpo/LovbIUsbt3w==
 
+merge2@^1.3.0:
+  version "1.4.1"
+  resolved "https://registry.yarnpkg.com/merge2/-/merge2-1.4.1.tgz#4368892f885e907455a6fd7dc55c0c9d404990ae"
+  integrity sha512-8q7VEgMJW4J8tcfVPy8g09NcQwZdbwFEqhe/WZkoIzjn/3TGDwtOCYtXGxA3O8tPzpczCCDgv+P2P5y00ZJOOg==
+
 micromatch@^3.1.4:
   version "3.1.10"
   resolved "https://registry.yarnpkg.com/micromatch/-/micromatch-3.1.10.tgz#70859bc95c9840952f359a068a3fc49f9ecfac23"
@@ -4081,6 +4144,11 @@ punycode@^2.1.1:
   resolved "https://registry.yarnpkg.com/punycode/-/punycode-2.1.1.tgz#b58b010ac40c22c5657616c8d2c2c02c7bf479ec"
   integrity sha512-XRsRjdf+j5ml+y/6GKHPZbrF/8p2Yga0JPtdqTIY2Xe5ohJPD9saDJJLPvp9+NSBprVvevdXZybnj2cv8OEd0A==
 
+queue-microtask@^1.2.2:
+  version "1.2.3"
+  resolved "https://registry.yarnpkg.com/queue-microtask/-/queue-microtask-1.2.3.tgz#4929228bbc724dfac43e0efb058caf7b6cfb6243"
+  integrity sha512-NuaNSa6flKT5JaSYQzJok04JzTL1CA6aGhv5rfLW3PgqA+M2ChpZQnAC8h8i4ZFkBS8X5RqkDBHA7r4hej3K9A==
+
 react-dom@16.14.0, react-dom@^16.14.0:
   version "16.14.0"
   resolved "https://registry.yarnpkg.com/react-dom/-/react-dom-16.14.0.tgz#7ad838ec29a777fb3c75c3a190f661cf92ab8b89"
@@ -4237,6 +4305,11 @@ ret@~0.1.10:
   resolved "https://registry.yarnpkg.com/ret/-/ret-0.1.15.tgz#b8a4825d5bdb1fc3f6f53c2bc33f81388681c7bc"
   integrity sha512-TTlYpa+OL+vMMNG24xSlQGEJ3B/RzEfUlLct7b5G/ytav+wPrplCpVMFuwzXbkecJrb6IYo1iFb0S9v37754mg==
 
+reusify@^1.0.4:
+  version "1.0.4"
+  resolved "https://registry.yarnpkg.com/reusify/-/reusify-1.0.4.tgz#90da382b1e126efc02146e90845a88db12925d76"
+  integrity sha512-U9nH88a3fc/ekCF1l0/UP1IosiuIjyTh7hBvXVMHYgVcfGvt897Xguj2UOLDeI5BG2m7/uwyaLVT6fbtCwTyzw==
+
 rfdc@^1.3.0:
   version "1.3.0"
   resolved "https://registry.yarnpkg.com/rfdc/-/rfdc-1.3.0.tgz#d0b7c441ab2720d05dc4cf26e01c89631d9da08b"
@@ -4261,6 +4334,13 @@ rsvp@^4.8.4:
   resolved "https://registry.yarnpkg.com/rsvp/-/rsvp-4.8.5.tgz#c8f155311d167f68f21e168df71ec5b083113734"
   integrity sha512-nfMOlASu9OnRJo1mbEk2cz0D56a1MBNrJ7orjRZQG10XDyuvwksKbuXNp6qa+kbn839HwjwhBzhFmdsaEAfauA==
 
+run-parallel@^1.1.9:
+  version "1.2.0"
+  resolved "https://registry.yarnpkg.com/run-parallel/-/run-parallel-1.2.0.tgz#66d1368da7bdf921eb9d95bd1a9229e7f21a43ee"
+  integrity sha512-5l4VyZR86LZ/lDxZTR6jqL8AFE2S0IFLMP26AbjsLVADxHdhB/c0GUsH+y39UfCi3dzz8OlQuPmnaJOMoDHQBA==
+  dependencies:
+    queue-microtask "^1.2.2"
+
 rxjs@^7.5.5:
   version "7.5.5"
   resolved "https://registry.yarnpkg.com/rxjs/-/rxjs-7.5.5.tgz#2ebad89af0f560f460ad5cc4213219e1f7dd4e9f"