diff --git a/packages/js/components/webpack.config.js b/packages/js/components/webpack.config.js
new file mode 100644
index 0000000000..18f12e769b
--- /dev/null
+++ b/packages/js/components/webpack.config.js
@@ -0,0 +1,32 @@
+import path from 'node:path';
+import { default as defaultConfig } from '@wordpress/scripts/config/webpack.config.js';
+import { WebpackEmitAllPlugin } from '../../../tools/webpack/webpack-emit-all-plugin.js';
+
+const dirname = new URL('.', import.meta.url).pathname;
+
+const plugins = [
+  ...defaultConfig.plugins.filter(
+    (plugin) => plugin.constructor.name !== 'DependencyExtractionWebpackPlugin',
+  ),
+  new WebpackEmitAllPlugin({ context: path.join(dirname, 'src') }),
+];
+
+export default {
+  ...defaultConfig,
+  plugins,
+  devtool: 'source-map',
+  context: dirname,
+  entry: { index: path.join(dirname, 'src', 'index.ts') },
+  output: {
+    ...defaultConfig.output,
+    path: path.join(dirname, 'build-module'),
+    environment: { module: true },
+    library: { type: 'module' },
+  },
+  externals: {
+    react: 'React',
+    'react-dom': 'ReactDOM',
+    'react/jsx-runtime': 'ReactJSX',
+  },
+  experiments: { outputModule: true },
+};
diff --git a/tools/webpack/webpack-emit-all-plugin.js b/tools/webpack/webpack-emit-all-plugin.js
new file mode 100644
index 0000000000..6c1b76ca63
--- /dev/null
+++ b/tools/webpack/webpack-emit-all-plugin.js
@@ -0,0 +1,80 @@
+import { basename, dirname, join } from 'node:path';
+
+/**
+ * Webpack plugin to emit all transpiled modules as individual files without bundling.
+ * This is useful for libraries, making them easier to consume and tree shake.
+ *
+ * Gutenberg solves this by custom scripting around Babel (which is rather complex).
+ * WooCommerce uses TypeScript (which doesn't work with Webpack plugins).
+ *
+ * See:
+ *   https://github.com/webpack/webpack/issues/5866
+ *   https://github.com/webpack/webpack/issues/11230
+ *
+ * Inspired by: https://github.com/DrewML/webpack-emit-all-plugin
+ */
+export class WebpackEmitAllPlugin {
+  constructor(opts = {}) {
+    this.context = opts.context;
+    this.ignorePattern = opts.ignorePattern || /node_modules/;
+  }
+
+  apply(compiler) {
+    compiler.hooks.environment.tap('EmitAllPlugin', (args) => {
+      compiler.options.optimization = {
+        ...compiler.options.optimization,
+        minimize: false,
+        minimizer: [],
+        concatenateModules: false,
+        splitChunks: false,
+        realContentHash: false,
+        removeEmptyChunks: false,
+      };
+    });
+
+    compiler.hooks.compilation.tap('EmitAllPlugin', (compilation) => {
+      compilation.hooks.processAssets.tap(
+        {
+          name: 'EmitAllPlugin',
+          stage: compilation.PROCESS_ASSETS_STAGE_ADDITIONS,
+          additionalAssets: true,
+        },
+        () => {
+          Object.keys(compilation.assets).forEach((asset) => {
+            if (asset.endsWith('.js')) {
+              compilation.deleteAsset(asset);
+            }
+          });
+        },
+      );
+    });
+
+    compiler.hooks.afterEmit.tapPromise('EmitAllPlugin', (compilation) =>
+      Promise.all(
+        Array.from(compilation.modules).map((module) =>
+          this.#processModule(compiler, module),
+        ),
+      ),
+    );
+  }
+
+  async #processModule(compiler, module) {
+    const fs = compiler.outputFileSystem.promises;
+    const outputPath = compiler.options.output.path;
+    const originalSource = module.originalSource();
+    if (!originalSource || this.ignorePattern.test(module.resource)) {
+      return;
+    }
+
+    const path = module.resource.replace(this.context ?? compiler.context, '');
+    const dest = join(outputPath, path).replace(/\.[jt]sx?$/i, '.js');
+    const { source, map } = originalSource.sourceAndMap();
+    const suffix = map ? `\n//# sourceMappingURL=${basename(dest)}.map` : '';
+
+    await fs.mkdir(dirname(dest), { recursive: true });
+    return Promise.all([
+      fs.writeFile(dest, `${source}${suffix}`),
+      map ? fs.writeFile(`${dest}.map`, JSON.stringify(map)) : undefined,
+    ]);
+  }
+}