diff --git a/.circleci/config.yml b/.circleci/config.yml
index d4e326cfa0f56c..612fd1a1964aae 100644
--- a/.circleci/config.yml
+++ b/.circleci/config.yml
@@ -468,12 +468,6 @@ jobs:
             - brew_install:
                 package: applesimutils
 
-      - run:
-          name: Configure Node
-          # Sourcing find-node.sh will ensure nvm is set up.
-          # It also helps future invocation of find-node.sh prevent permission issue with nvm.sh.
-          command: source scripts/find-node-for-xcode.sh && nvm install 16 && nvm alias default 16
-
       - run:
           name: Configure Watchman
           command: echo "{}" > .watchmanconfig
diff --git a/.gitignore b/.gitignore
index 35da812e054329..18328754723b01 100644
--- a/.gitignore
+++ b/.gitignore
@@ -20,6 +20,7 @@ DerivedData
 *.ipa
 *.xcuserstate
 project.xcworkspace
+**/.xcode.env.local
 
 # Gradle
 /build/
diff --git a/package.json b/package.json
index 2e11b3ff8bdd54..bd70e100685a58 100644
--- a/package.json
+++ b/package.json
@@ -43,6 +43,7 @@
     "scripts/generate-provider-cli.js",
     "scripts/generate-specs-cli.js",
     "scripts/ios-configure-glog.sh",
+    "scripts/xcode/with-environment.sh",
     "scripts/launchPackager.bat",
     "scripts/launchPackager.command",
     "scripts/node-binary.sh",
diff --git a/packages/rn-tester/.xcode.env b/packages/rn-tester/.xcode.env
new file mode 100644
index 00000000000000..3d5782c71568d3
--- /dev/null
+++ b/packages/rn-tester/.xcode.env
@@ -0,0 +1,11 @@
+# This `.xcode.env` file is versioned and is used to source the environment
+# used when running script phases inside Xcode.
+# To customize your local environment, you can create an `.xcode.env.local`
+# file that is not versioned.
+
+# NODE_BINARY variable contains the PATH to the node executable.
+#
+# Customize the NODE_BINARY variable here.
+# For example, to use nvm with brew, add the following line
+# . "$(brew --prefix nvm)/nvm.sh" --no-use
+export NODE_BINARY=$(command -v node)
diff --git a/packages/rn-tester/RNTesterPods.xcodeproj/project.pbxproj b/packages/rn-tester/RNTesterPods.xcodeproj/project.pbxproj
index a562a0e6279601..4a0f2a6ece4f97 100644
--- a/packages/rn-tester/RNTesterPods.xcodeproj/project.pbxproj
+++ b/packages/rn-tester/RNTesterPods.xcodeproj/project.pbxproj
@@ -633,13 +633,15 @@
 			files = (
 			);
 			inputPaths = (
+				"$(SRCROOT)/.xcode.env.local",
+				"$(SRCROOT)/.xcode.env",
 			);
 			name = "Build JS Bundle";
 			outputPaths = (
 			);
 			runOnlyForDeploymentPostprocessing = 0;
 			shellPath = /bin/sh;
-			shellScript = "set -e\n\nexport NODE_BINARY=node\nexport PROJECT_ROOT=\"$SRCROOT/../../\"\nexport ENTRY_FILE=\"$SRCROOT/js/RNTesterApp.ios.js\"\nexport SOURCEMAP_FILE=../sourcemap.ios.map\n# export FORCE_BUNDLING=true\n\"$SRCROOT/../../scripts/react-native-xcode.sh\"\n";
+			shellScript = "set -e\n\nexport PROJECT_ROOT=\"$SRCROOT/../../\"\nexport ENTRY_FILE=\"$SRCROOT/js/RNTesterApp.ios.js\"\nexport SOURCEMAP_FILE=../sourcemap.ios.map\n# export FORCE_BUNDLING=true \n\nWITH_ENVIRONMENT=\"../../scripts/xcode/with-environment.sh\"\nREACT_NATIVE_XCODE=\"../../scripts/react-native-xcode.sh\"\n\n/bin/sh -c \"$WITH_ENVIRONMENT $REACT_NATIVE_XCODE\"\n";
 		};
 		98E057AC8860597818FB485A /* [CP] Copy Pods Resources */ = {
 			isa = PBXShellScriptBuildPhase;
diff --git a/scripts/react-native-xcode.sh b/scripts/react-native-xcode.sh
index de52d215473e40..6f95a2953c1223 100755
--- a/scripts/react-native-xcode.sh
+++ b/scripts/react-native-xcode.sh
@@ -79,10 +79,6 @@ if [[ $DEV != true && ! -f "$ENTRY_FILE" ]]; then
   exit 2
 fi
 
-# Find path to Node
-# shellcheck source=/dev/null
-source "$REACT_NATIVE_DIR/scripts/find-node-for-xcode.sh"
-
 # check and assign NODE_BINARY env
 # shellcheck source=/dev/null
 source "$REACT_NATIVE_DIR/scripts/node-binary.sh"
diff --git a/scripts/react_native_pods.rb b/scripts/react_native_pods.rb
index 70f5851ba8f055..25af80ca960b3c 100644
--- a/scripts/react_native_pods.rb
+++ b/scripts/react_native_pods.rb
@@ -630,9 +630,11 @@ def use_react_native_codegen!(spec, options={})
   system(prepare_command) # Always run prepare_command when a podspec uses the codegen, as CocoaPods may skip invoking this command in certain scenarios. Replace with pre_integrate_hook after updating to CocoaPods 1.11
   spec.prepare_command = prepare_command
 
+  env_files = ["$PODS_ROOT/../.xcode.env.local", "$PODS_ROOT/../.xcode.env"]
+
   spec.script_phase = {
     :name => 'Generate Specs',
-    :input_files => input_files, # This also needs to be relative to Xcode
+    :input_files => input_files + env_files, # This also needs to be relative to Xcode
     :output_files => ["${DERIVED_FILE_DIR}/codegen-#{library_name}.log"].concat(generated_files.map { |filename| "${PODS_TARGET_SRCROOT}/#{filename}"} ),
     # The final generated files will be created when this script is invoked at Xcode build time.
     :script => get_script_phases_no_codegen_discovery(
diff --git a/scripts/react_native_pods_utils/script_phases.rb b/scripts/react_native_pods_utils/script_phases.rb
index a91b1a9b2a0a5d..4520da17559794 100644
--- a/scripts/react_native_pods_utils/script_phases.rb
+++ b/scripts/react_native_pods_utils/script_phases.rb
@@ -45,9 +45,9 @@ def get_script_template(react_native_path, export_vars={})
         <% end %>
 
         SCRIPT_PHASES_SCRIPT="$RCT_SCRIPT_RN_DIR/scripts/react_native_pods_utils/script_phases.sh"
-        /bin/sh -c "$SCRIPT_PHASES_SCRIPT"
+        WITH_ENVIRONMENT="$RCT_SCRIPT_RN_DIR/scripts/xcode/with-environment.sh"
+        /bin/sh -c "$WITH_ENVIRONMENT $SCRIPT_PHASES_SCRIPT"
         EOS
     result = ERB.new(template, 0, '->').result(binding)
-    # puts result
     return result
 end
diff --git a/scripts/react_native_pods_utils/script_phases.sh b/scripts/react_native_pods_utils/script_phases.sh
index 4cb38b7b2d882a..afd41d82939234 100755
--- a/scripts/react_native_pods_utils/script_phases.sh
+++ b/scripts/react_native_pods_utils/script_phases.sh
@@ -33,12 +33,11 @@ else
 fi
 
 find_node () {
-    # shellcheck disable=SC1091
-    source "$RCT_SCRIPT_RN_DIR/scripts/find-node-for-xcode.sh"
-
     NODE_BINARY="${NODE_BINARY:-$(command -v node || true)}"
     if [ -z "$NODE_BINARY" ]; then
-        error "error: Could not find node. Make sure it is in bash PATH or set the NODE_BINARY environment variable."
+        error "[Error] Could not find node. It looks like that the .xcode.env or .xcode.env.local " \
+"files are misconfigured. Please check that they are exporting a valid NODE_BINARY " \
+"variable, pointing to a node executable."
     fi
 }
 
diff --git a/scripts/xcode/with-environment.sh b/scripts/xcode/with-environment.sh
new file mode 100755
index 00000000000000..938ded3f153ad2
--- /dev/null
+++ b/scripts/xcode/with-environment.sh
@@ -0,0 +1,47 @@
+#!/bin/bash
+# Copyright (c) Meta Platforms, Inc. and affiliates.
+#
+# This source code is licensed under the MIT license found in the
+# LICENSE file in the root directory of this source tree.
+
+# This script is used to source in Xcode the environment settings required to run properly.
+# The script first sources the base `.xcode.env` file.
+# Then it sources the `.xcode.env.local` file if present, to override some local config
+# Finally, it will execute the command passed i input if any.
+#
+# USAGE:
+# ./with-environment.sh command
+
+# Start with a default
+NODE_BINARY=$(command -v node)
+export NODE_BINARY
+
+# Override the default with the global environment
+ENV_PATH="$PODS_ROOT/../.xcode.env"
+if [ -f "$ENV_PATH" ]; then
+    source "$ENV_PATH"
+fi
+
+# Override the global with the local environment
+LOCAL_ENV_PATH="${ENV_PATH}.local"
+if [ -f "$LOCAL_ENV_PATH" ]; then
+    source "$LOCAL_ENV_PATH"
+fi
+
+# Check whether NODE_BINARY has been properly set, otherwise help the users with a meaningful error.
+if [ -n "$NODE_BINARY" ]; then
+    echo "Node found at: ${NODE_BINARY}"
+else
+    echo "[Warning] You need to configure your node path in the `'.xcode.env' file` environment. " \
+       "You can set it up quickly by running: " \
+       "echo 'export NODE_BINARY=$(command -v node)' > .xcode.env " \
+       "in the ios folder. This is needed by React Native to work correctly. " \
+       "We fallback to the DEPRECATED behavior of finding `node`. This will be REMOVED in a future version. " \
+       "You can read more about this here: <TODO-ADD LINK HERE>" >&2
+    source "../find-node-for-xcode.sh"
+fi
+
+# Execute argument, if present
+if [ -n "$1" ]; then
+  $1
+fi
diff --git a/template/_gitignore b/template/_gitignore
index e8b2d63f70a5f9..344481b211f2ff 100644
--- a/template/_gitignore
+++ b/template/_gitignore
@@ -20,6 +20,7 @@ DerivedData
 *.hmap
 *.ipa
 *.xcuserstate
+ios/.xcode.env.local
 
 # Android/IntelliJ
 #
diff --git a/template/ios/HelloWorld.xcodeproj/project.pbxproj b/template/ios/HelloWorld.xcodeproj/project.pbxproj
index 8cfb8881a1028d..70234ff08ade53 100644
--- a/template/ios/HelloWorld.xcodeproj/project.pbxproj
+++ b/template/ios/HelloWorld.xcodeproj/project.pbxproj
@@ -256,13 +256,15 @@
 			files = (
 			);
 			inputPaths = (
+				"$(SRCROOT)/.xcode.env.local",
+				"$(SRCROOT)/.xcode.env",
 			);
 			name = "Bundle React Native code and images";
 			outputPaths = (
 			);
 			runOnlyForDeploymentPostprocessing = 0;
 			shellPath = /bin/sh;
-			shellScript = "set -e\n\nexport NODE_BINARY=node\n../node_modules/react-native/scripts/react-native-xcode.sh\n";
+			shellScript = "set -e\n\nWITH_ENVIRONMENT=\"../node_modules/react-native/scripts/xcode/with-environment.sh\"\nREACT_NATIVE_XCODE=\"../node_modules/react-native/scripts/react-native-xcode.sh\"\n\n/bin/sh -c \"$WITH_ENVIRONMENT $REACT_NATIVE_XCODE\"\n";
 		};
 		00EEFC60759A1932668264C0 /* [CP] Embed Pods Frameworks */ = {
 			isa = PBXShellScriptBuildPhase;
diff --git a/template/ios/_xcode.env b/template/ios/_xcode.env
new file mode 100644
index 00000000000000..3d5782c71568d3
--- /dev/null
+++ b/template/ios/_xcode.env
@@ -0,0 +1,11 @@
+# This `.xcode.env` file is versioned and is used to source the environment
+# used when running script phases inside Xcode.
+# To customize your local environment, you can create an `.xcode.env.local`
+# file that is not versioned.
+
+# NODE_BINARY variable contains the PATH to the node executable.
+#
+# Customize the NODE_BINARY variable here.
+# For example, to use nvm with brew, add the following line
+# . "$(brew --prefix nvm)/nvm.sh" --no-use
+export NODE_BINARY=$(command -v node)