diff --git a/packages/babel-preset-react-app/create.js b/packages/babel-preset-react-app/create.js
index 99a930ba470..8a058ecee55 100644
--- a/packages/babel-preset-react-app/create.js
+++ b/packages/babel-preset-react-app/create.js
@@ -93,10 +93,13 @@ module.exports = function (api, opts, env) {
           // Adds component stack to warning messages
           // Adds __self attribute to JSX which React will use for some warnings
           development: isEnvDevelopment || isEnvTest,
+          runtime: opts.runtime || 'classic',
           // Will use the native built-in instead of trying to polyfill
           // behavior for any plugins that require one.
           ...(opts.runtime !== 'automatic' ? { useBuiltIns: true } : {}),
-          runtime: opts.runtime || 'classic',
+          ...(opts.runtime === 'automatic' && opts.importSource != null
+            ? { importSource: opts.importSource }
+            : {}),
         },
       ],
       isTypeScriptEnabled && [require('@babel/preset-typescript').default],
diff --git a/packages/react-scripts/config/jest/babelTransform.js b/packages/react-scripts/config/jest/babelTransform.js
index c5830153e80..0566347592d 100644
--- a/packages/react-scripts/config/jest/babelTransform.js
+++ b/packages/react-scripts/config/jest/babelTransform.js
@@ -22,6 +22,7 @@ const hasJsxRuntime = (() => {
     return false;
   }
 })();
+const jsxImportSource = process.env.JSX_IMPORT_SOURCE;
 
 module.exports = babelJest.createTransformer({
   presets: [
@@ -29,6 +30,7 @@ module.exports = babelJest.createTransformer({
       require.resolve('babel-preset-react-app'),
       {
         runtime: hasJsxRuntime ? 'automatic' : 'classic',
+        ...(jsxImportSource ? { importSource: jsxImportSource } : {}),
       },
     ],
   ],
diff --git a/packages/react-scripts/config/webpack.config.js b/packages/react-scripts/config/webpack.config.js
index ba8fd0b9b56..b3d64fc1517 100644
--- a/packages/react-scripts/config/webpack.config.js
+++ b/packages/react-scripts/config/webpack.config.js
@@ -86,6 +86,7 @@ const hasJsxRuntime = (() => {
     return false;
   }
 })();
+const jsxImportSource = process.env.JSX_IMPORT_SOURCE;
 
 // This is the production and development configuration.
 // It is focused on developer experience, fast rebuilds, and a minimal bundle.
@@ -414,6 +415,9 @@ module.exports = function (webpackEnv) {
                     require.resolve('babel-preset-react-app'),
                     {
                       runtime: hasJsxRuntime ? 'automatic' : 'classic',
+                      ...(jsxImportSource
+                        ? { importSource: jsxImportSource }
+                        : {}),
                     },
                   ],
                 ],
diff --git a/packages/react-scripts/scripts/utils/verifyTypeScriptSetup.js b/packages/react-scripts/scripts/utils/verifyTypeScriptSetup.js
index 949f34ab7d2..fc1ad535b60 100644
--- a/packages/react-scripts/scripts/utils/verifyTypeScriptSetup.js
+++ b/packages/react-scripts/scripts/utils/verifyTypeScriptSetup.js
@@ -218,7 +218,7 @@ function verifyTypeScriptSetup() {
   if (appTsConfig.compilerOptions == null) {
     appTsConfig.compilerOptions = {};
     firstTimeSetup = true;
-  } 
+  }
 
   for (const option of Object.keys(compilerOptions)) {
     const { parsedValue, value, suggested, reason } = compilerOptions[option];
@@ -250,6 +250,27 @@ function verifyTypeScriptSetup() {
     }
   }
 
+  if (parsedCompilerOptions.jsxImportSource != null) {
+    if (hasJsxRuntime && semver.gte(ts.version, '4.1.0-beta')) {
+      if (process.env.JSX_IMPORT_SOURCE == null) {
+        process.env.JSX_IMPORT_SOURCE = parsedCompilerOptions.jsxImportSource;
+      }
+    } else {
+      appTsConfig = immer(appTsConfig, config => {
+        delete config.compilerOptions.jsxImportSource;
+      });
+      messages.push(
+        `${chalk.cyan(
+          'compilerOptions.jsxImportSource'
+        )} removed (requires ${chalk.bold(
+          'babel react runtime'
+        )} to be ${chalk.cyan.bold('automatic')} and ${chalk.bold(
+          'typescript'
+        )} version ${chalk.cyan.bold('>=4.1.0-beta')})`
+      );
+    }
+  }
+
   // tsconfig will have the merged "include" and "exclude" by this point
   if (parsedTsConfig.include == null) {
     appTsConfig = immer(appTsConfig, config => {