diff --git a/CHANGELOG.next.asciidoc b/CHANGELOG.next.asciidoc
index 5afa21a4f583..cac717ef478d 100644
--- a/CHANGELOG.next.asciidoc
+++ b/CHANGELOG.next.asciidoc
@@ -59,6 +59,7 @@ https://github.com/elastic/beats/compare/v7.0.0-alpha2...master[Check the HEAD d
 - Fix Azure activitylogs identity field type and several missing fields. {pull}31170[31170]
 - checkpoint: Fix ingest error when a message contains trailing spaces {pull}31197[31197]
 - m365_defender: Fix processing when alerts.entities is an empty list. {issue}31223[31223] {pull}31227[31227]
+- Prevent filestream from rereading whole files if they are rotated using rename. {pull}31268[31268]
 
 *Heartbeat*
 
diff --git a/filebeat/input/filestream/fswatch.go b/filebeat/input/filestream/fswatch.go
index 26ad77cb3306..50aa25980280 100644
--- a/filebeat/input/filestream/fswatch.go
+++ b/filebeat/input/filestream/fswatch.go
@@ -77,6 +77,7 @@ type fileWatcher struct {
 	scanner         loginp.FSScanner
 	log             *logp.Logger
 	events          chan loginp.FSEvent
+	sameFileFunc    func(os.FileInfo, os.FileInfo) bool
 }
 
 func newFileWatcher(paths []string, ns *common.ConfigNamespace) (loginp.FSWatcher, error) {
@@ -110,6 +111,7 @@ func newScannerWatcher(paths []string, c *common.Config) (loginp.FSWatcher, erro
 		prev:            make(map[string]os.FileInfo, 0),
 		scanner:         scanner,
 		events:          make(chan loginp.FSEvent),
+		sameFileFunc:    os.SameFile,
 	}, nil
 }
 
@@ -127,7 +129,7 @@ func (w *fileWatcher) Run(ctx unison.Canceler) {
 	// run initial scan before starting regular
 	w.watch(ctx)
 
-	timed.Periodic(ctx, w.interval, func() error {
+	_ = timed.Periodic(ctx, w.interval, func() error {
 		w.watch(ctx)
 
 		return nil
@@ -143,12 +145,16 @@ func (w *fileWatcher) watch(ctx unison.Canceler) {
 
 	for path, info := range paths {
 
+		// if the scanner found a new path or an existing path
+		// with a different file, it is a new file
 		prevInfo, ok := w.prev[path]
-		if !ok {
-			newFiles[path] = paths[path]
+		if !ok || !w.sameFileFunc(prevInfo, info) {
+			newFiles[path] = info
 			continue
 		}
 
+		// if the two infos belong to the same file and it has been modified
+		// if the size is smaller than before, it is truncated, if bigger, it is a write event
 		if prevInfo.ModTime() != info.ModTime() {
 			if prevInfo.Size() > info.Size() || w.resendOnModTime && prevInfo.Size() == info.Size() {
 				select {
@@ -173,7 +179,7 @@ func (w *fileWatcher) watch(ctx unison.Canceler) {
 	// either because they have been deleted or renamed
 	for removedPath, removedInfo := range w.prev {
 		for newPath, newInfo := range newFiles {
-			if os.SameFile(removedInfo, newInfo) {
+			if w.sameFileFunc(removedInfo, newInfo) {
 				select {
 				case <-ctx.Done():
 					return
@@ -293,13 +299,13 @@ func (s *fileScanner) resolveRecursiveGlobs(c fileScannerConfig) error {
 
 // normalizeGlobPatterns calls `filepath.Abs` on all the globs from config
 func (s *fileScanner) normalizeGlobPatterns() error {
-	var paths []string
-	for _, path := range s.paths {
+	paths := make([]string, len(s.paths))
+	for i, path := range s.paths {
 		pathAbs, err := filepath.Abs(path)
 		if err != nil {
-			return fmt.Errorf("failed to get the absolute path for %s: %v", path, err)
+			return fmt.Errorf("failed to get the absolute path for %s: %w", path, err)
 		}
-		paths = append(paths, pathAbs)
+		paths[i] = pathAbs
 	}
 	s.paths = paths
 	return nil
diff --git a/filebeat/input/filestream/fswatch_test.go b/filebeat/input/filestream/fswatch_test.go
index 54fe3804f02d..56e3d8314508 100644
--- a/filebeat/input/filestream/fswatch_test.go
+++ b/filebeat/input/filestream/fswatch_test.go
@@ -105,7 +105,7 @@ func TestFileScanner(t *testing.T) {
 }
 
 func setupFilesForScannerTest(t *testing.T, tmpDir string) {
-	err := os.Mkdir(filepath.Join(tmpDir, directoryPath), 750)
+	err := os.Mkdir(filepath.Join(tmpDir, directoryPath), 0750)
 	if err != nil {
 		t.Fatalf("cannot create non harvestable directory: %v", err)
 	}
@@ -201,10 +201,11 @@ func TestFileWatchNewDeleteModified(t *testing.T) {
 
 		t.Run(name, func(t *testing.T) {
 			w := fileWatcher{
-				log:     logp.L(),
-				prev:    test.prevFiles,
-				scanner: &mockScanner{test.nextFiles},
-				events:  make(chan loginp.FSEvent),
+				log:          logp.L(),
+				prev:         test.prevFiles,
+				scanner:      &mockScanner{test.nextFiles},
+				events:       make(chan loginp.FSEvent),
+				sameFileFunc: testSameFile,
 			}
 
 			go w.watch(context.Background())
@@ -242,6 +243,10 @@ func (t testFileInfo) ModTime() time.Time { return t.time }
 func (t testFileInfo) IsDir() bool        { return false }
 func (t testFileInfo) Sys() interface{}   { return t.sys }
 
+func testSameFile(fi1, fi2 os.FileInfo) bool {
+	return fi1.Name() == fi2.Name()
+}
+
 func mustDuration(durStr string) time.Duration {
 	dur, err := time.ParseDuration(durStr)
 	if err != nil {
diff --git a/filebeat/input/filestream/fswatch_test_non_windows.go b/filebeat/input/filestream/fswatch_test_non_windows.go
index ec8045f7c533..ddd3be068ddd 100644
--- a/filebeat/input/filestream/fswatch_test_non_windows.go
+++ b/filebeat/input/filestream/fswatch_test_non_windows.go
@@ -22,6 +22,7 @@ package filestream
 
 import (
 	"context"
+	"errors"
 	"io/ioutil"
 	"os"
 	"path/filepath"
@@ -29,6 +30,7 @@ import (
 	"testing"
 
 	"github.com/stretchr/testify/assert"
+	"github.com/stretchr/testify/require"
 
 	loginp "github.com/elastic/beats/v7/filebeat/input/filestream/internal/input-logfile"
 	"github.com/elastic/beats/v7/libbeat/common/match"
@@ -144,9 +146,10 @@ func TestFileWatcherRenamedFile(t *testing.T) {
 		t.Fatal(err)
 	}
 	w := fileWatcher{
-		log:     logp.L(),
-		scanner: scanner,
-		events:  make(chan loginp.FSEvent),
+		log:          logp.L(),
+		scanner:      scanner,
+		events:       make(chan loginp.FSEvent),
+		sameFileFunc: testSameFile,
 	}
 
 	go w.watch(context.Background())
@@ -170,6 +173,64 @@ func TestFileWatcherRenamedFile(t *testing.T) {
 	assert.Equal(t, renamedPath, evt.NewPath)
 }
 
+// this test is only supported on non Windows for now.
+func TestFileWatcherRenamedTruncated(t *testing.T) {
+	tmpDir := t.TempDir()
+
+	fs, err := newFileScanner([]string{filepath.Join(tmpDir, "app.log*")}, fileScannerConfig{})
+	if err != nil {
+		t.Fatal(err)
+	}
+	w := fileWatcher{
+		log:          logp.L(),
+		scanner:      fs,
+		events:       make(chan loginp.FSEvent),
+		sameFileFunc: os.SameFile,
+	}
+
+	ctx, cancel := context.WithCancel(context.Background())
+	defer cancel()
+	go w.watch(ctx)
+
+	appLogPath := filepath.Join(tmpDir, "app.log")
+	rotatedAppLogPath := filepath.Join(tmpDir, "app.log.1")
+	err = os.WriteFile(appLogPath, []byte("my longer log line"), 0o600)
+	if err != nil {
+		t.Fatal(err)
+	}
+
+	evt := w.Event()
+	require.Equal(t, loginp.OpCreate, evt.Op, "new file should be detected")
+	require.Equal(t, "", evt.OldPath, "new file does not have an old path set")
+	require.Equal(t, appLogPath, evt.NewPath, "new file does not have an old path set")
+
+	go w.watch(ctx)
+
+	err = os.Rename(appLogPath, rotatedAppLogPath)
+	if err != nil {
+		t.Fatalf("failed to rotate active file: %v", err)
+	}
+
+	if _, err := os.Stat(appLogPath); !errors.Is(err, os.ErrNotExist) {
+		t.Fatalf("app.log should not exist")
+	}
+
+	err = os.WriteFile(appLogPath, []byte("shorter line"), 0o600)
+	if err != nil {
+		t.Fatal(err)
+	}
+
+	evt = w.Event()
+	require.Equal(t, loginp.OpRename, evt.Op, "app.log has been renamed to app.log.1, got: %s old_path=%s new_path=%s", evt.Op.String(), evt.OldPath, evt.NewPath)
+	require.Equal(t, appLogPath, evt.OldPath, "old_path should be set to app.log because of rename")
+	require.Equal(t, rotatedAppLogPath, evt.NewPath, "new_path should be set to app.log.1 because of rename")
+
+	evt = w.Event()
+	require.Equal(t, loginp.OpCreate, evt.Op, "new file app.log should be detected, got: %s for old_path=%s new_path=%s", evt.Op.String(), evt.OldPath, evt.NewPath)
+	require.Equal(t, "", evt.OldPath, "new file should not have an old path set")
+	require.Equal(t, appLogPath, evt.NewPath, "new file should be called app.log")
+}
+
 func mustAbsPath(filename string) string {
 	abspath, err := filepath.Abs(filename)
 	if err != nil {