diff --git a/tools/hermes-parser/js/hermes-parser/__tests__/ComponentDeclaration-test.js b/tools/hermes-parser/js/hermes-parser/__tests__/ComponentDeclaration-test.js
index 6f55b7e3ec1..67e3419b631 100644
--- a/tools/hermes-parser/js/hermes-parser/__tests__/ComponentDeclaration-test.js
+++ b/tools/hermes-parser/js/hermes-parser/__tests__/ComponentDeclaration-test.js
@@ -326,4 +326,71 @@ switch (thing) {
       `);
     });
   });
+
+  describe('ref and normal params with hoisting', () => {
+    const code = `
+Bar;
+unrelated;
+someSideEffect(Foo);
+unrelated;
+
+component Foo(foo: string, ref: Ref) {}
+
+Bar;
+component Bar(foo: string, ref: Ref) {}
+    `;
+
+    test('ESTree', async () => {
+      expect(await printForSnapshotESTree(code)).toBe(code.trim());
+      expect(await parseForSnapshotESTree(code)).toMatchSnapshot();
+    });
+
+    test('Babel', async () => {
+      expect(await parseForSnapshotBabel(code)).toMatchSnapshot();
+      expect(await printForSnapshotBabel(code)).toMatchInlineSnapshot(`
+        "const Bar = React.forwardRef(Bar_withRef);
+        Bar;
+        unrelated;
+        const Foo = React.forwardRef(Foo_withRef);
+        someSideEffect(Foo);
+        unrelated;
+
+        function Foo_withRef({
+          foo
+        }: $ReadOnly<{...}>, ref: Ref): React.Node {}
+
+        Bar;
+
+        function Bar_withRef({
+          foo
+        }: $ReadOnly<{...}>, ref: Ref): React.Node {}"
+      `);
+    });
+  });
+
+  describe('ref and normal params with hoisting (recursive)', () => {
+    const code = `
+component Foo(bar: mixed = Foo, ref: any) {
+  return null;
+}
+    `;
+
+    test('ESTree', async () => {
+      expect(await printForSnapshotESTree(code)).toBe(code.trim());
+      expect(await parseForSnapshotESTree(code)).toMatchSnapshot();
+    });
+
+    test('Babel', async () => {
+      expect(await parseForSnapshotBabel(code)).toMatchSnapshot();
+      expect(await printForSnapshotBabel(code)).toMatchInlineSnapshot(`
+        "const Foo = React.forwardRef(Foo_withRef);
+
+        function Foo_withRef({
+          bar = Foo
+        }: $ReadOnly<{...}>, ref: any): React.Node {
+          return null;
+        }"
+      `);
+    });
+  });
 });
diff --git a/tools/hermes-parser/js/hermes-parser/__tests__/__snapshots__/ComponentDeclaration-test.js.snap b/tools/hermes-parser/js/hermes-parser/__tests__/__snapshots__/ComponentDeclaration-test.js.snap
index 2487b6a8cae..1d132b158d1 100644
--- a/tools/hermes-parser/js/hermes-parser/__tests__/__snapshots__/ComponentDeclaration-test.js.snap
+++ b/tools/hermes-parser/js/hermes-parser/__tests__/__snapshots__/ComponentDeclaration-test.js.snap
@@ -1308,6 +1308,745 @@ exports[`ComponentDeclaration ref and normal params named exported ESTree 1`] =
 }
 `;
 
+exports[`ComponentDeclaration ref and normal params with hoisting (recursive) Babel 1`] = `
+{
+  "body": [
+    {
+      "declarations": [
+        {
+          "id": {
+            "name": "Foo",
+            "type": "Identifier",
+          },
+          "init": {
+            "arguments": [
+              {
+                "name": "Foo_withRef",
+                "type": "Identifier",
+              },
+            ],
+            "callee": {
+              "computed": false,
+              "object": {
+                "name": "React",
+                "type": "Identifier",
+              },
+              "property": {
+                "name": "forwardRef",
+                "type": "Identifier",
+              },
+              "type": "MemberExpression",
+            },
+            "type": "CallExpression",
+          },
+          "type": "VariableDeclarator",
+        },
+      ],
+      "kind": "const",
+      "type": "VariableDeclaration",
+    },
+    {
+      "__componentDeclaration": true,
+      "async": false,
+      "body": {
+        "body": [
+          {
+            "argument": {
+              "type": "NullLiteral",
+            },
+            "type": "ReturnStatement",
+          },
+        ],
+        "directives": [],
+        "type": "BlockStatement",
+      },
+      "generator": false,
+      "id": {
+        "name": "Foo_withRef",
+        "type": "Identifier",
+      },
+      "params": [
+        {
+          "properties": [
+            {
+              "computed": false,
+              "key": {
+                "name": "bar",
+                "type": "Identifier",
+              },
+              "method": false,
+              "shorthand": true,
+              "type": "ObjectProperty",
+              "value": {
+                "left": {
+                  "name": "bar",
+                  "type": "Identifier",
+                },
+                "right": {
+                  "name": "Foo",
+                  "type": "Identifier",
+                },
+                "type": "AssignmentPattern",
+              },
+            },
+          ],
+          "type": "ObjectPattern",
+          "typeAnnotation": {
+            "type": "TypeAnnotation",
+            "typeAnnotation": {
+              "id": {
+                "name": "$ReadOnly",
+                "type": "Identifier",
+              },
+              "type": "GenericTypeAnnotation",
+              "typeParameters": {
+                "params": [
+                  {
+                    "callProperties": [],
+                    "exact": false,
+                    "indexers": [],
+                    "inexact": true,
+                    "internalSlots": [],
+                    "properties": [],
+                    "type": "ObjectTypeAnnotation",
+                  },
+                ],
+                "type": "TypeParameterInstantiation",
+              },
+            },
+          },
+        },
+        {
+          "name": "ref",
+          "type": "Identifier",
+          "typeAnnotation": {
+            "type": "TypeAnnotation",
+            "typeAnnotation": {
+              "type": "AnyTypeAnnotation",
+            },
+          },
+        },
+      ],
+      "returnType": {
+        "type": "TypeAnnotation",
+        "typeAnnotation": {
+          "id": {
+            "id": {
+              "name": "Node",
+              "type": "Identifier",
+            },
+            "qualification": {
+              "name": "React",
+              "type": "Identifier",
+            },
+            "type": "QualifiedTypeIdentifier",
+          },
+          "type": "GenericTypeAnnotation",
+          "typeParameters": null,
+        },
+      },
+      "type": "FunctionDeclaration",
+    },
+  ],
+  "type": "Program",
+}
+`;
+
+exports[`ComponentDeclaration ref and normal params with hoisting (recursive) ESTree 1`] = `
+{
+  "body": [
+    {
+      "body": {
+        "body": [
+          {
+            "argument": {
+              "literalType": "null",
+              "raw": "null",
+              "type": "Literal",
+              "value": null,
+            },
+            "type": "ReturnStatement",
+          },
+        ],
+        "type": "BlockStatement",
+      },
+      "id": {
+        "name": "Foo",
+        "optional": false,
+        "type": "Identifier",
+        "typeAnnotation": null,
+      },
+      "params": [
+        {
+          "local": {
+            "left": {
+              "name": "bar",
+              "optional": false,
+              "type": "Identifier",
+              "typeAnnotation": {
+                "type": "TypeAnnotation",
+                "typeAnnotation": {
+                  "type": "MixedTypeAnnotation",
+                },
+              },
+            },
+            "right": {
+              "name": "Foo",
+              "optional": false,
+              "type": "Identifier",
+              "typeAnnotation": null,
+            },
+            "type": "AssignmentPattern",
+          },
+          "name": {
+            "name": "bar",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": null,
+          },
+          "shorthand": true,
+          "type": "ComponentParameter",
+        },
+        {
+          "local": {
+            "name": "ref",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": {
+              "type": "TypeAnnotation",
+              "typeAnnotation": {
+                "type": "AnyTypeAnnotation",
+              },
+            },
+          },
+          "name": {
+            "name": "ref",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": null,
+          },
+          "shorthand": true,
+          "type": "ComponentParameter",
+        },
+      ],
+      "rendersType": null,
+      "type": "ComponentDeclaration",
+      "typeParameters": null,
+    },
+  ],
+  "type": "Program",
+}
+`;
+
+exports[`ComponentDeclaration ref and normal params with hoisting Babel 1`] = `
+{
+  "body": [
+    {
+      "declarations": [
+        {
+          "id": {
+            "name": "Bar",
+            "type": "Identifier",
+          },
+          "init": {
+            "arguments": [
+              {
+                "name": "Bar_withRef",
+                "type": "Identifier",
+              },
+            ],
+            "callee": {
+              "computed": false,
+              "object": {
+                "name": "React",
+                "type": "Identifier",
+              },
+              "property": {
+                "name": "forwardRef",
+                "type": "Identifier",
+              },
+              "type": "MemberExpression",
+            },
+            "type": "CallExpression",
+          },
+          "type": "VariableDeclarator",
+        },
+      ],
+      "kind": "const",
+      "type": "VariableDeclaration",
+    },
+    {
+      "expression": {
+        "name": "Bar",
+        "type": "Identifier",
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "expression": {
+        "name": "unrelated",
+        "type": "Identifier",
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "declarations": [
+        {
+          "id": {
+            "name": "Foo",
+            "type": "Identifier",
+          },
+          "init": {
+            "arguments": [
+              {
+                "name": "Foo_withRef",
+                "type": "Identifier",
+              },
+            ],
+            "callee": {
+              "computed": false,
+              "object": {
+                "name": "React",
+                "type": "Identifier",
+              },
+              "property": {
+                "name": "forwardRef",
+                "type": "Identifier",
+              },
+              "type": "MemberExpression",
+            },
+            "type": "CallExpression",
+          },
+          "type": "VariableDeclarator",
+        },
+      ],
+      "kind": "const",
+      "type": "VariableDeclaration",
+    },
+    {
+      "expression": {
+        "arguments": [
+          {
+            "name": "Foo",
+            "type": "Identifier",
+          },
+        ],
+        "callee": {
+          "name": "someSideEffect",
+          "type": "Identifier",
+        },
+        "type": "CallExpression",
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "expression": {
+        "name": "unrelated",
+        "type": "Identifier",
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "__componentDeclaration": true,
+      "async": false,
+      "body": {
+        "body": [],
+        "directives": [],
+        "type": "BlockStatement",
+      },
+      "generator": false,
+      "id": {
+        "name": "Foo_withRef",
+        "type": "Identifier",
+      },
+      "params": [
+        {
+          "properties": [
+            {
+              "computed": false,
+              "key": {
+                "name": "foo",
+                "type": "Identifier",
+              },
+              "method": false,
+              "shorthand": true,
+              "type": "ObjectProperty",
+              "value": {
+                "name": "foo",
+                "type": "Identifier",
+              },
+            },
+          ],
+          "type": "ObjectPattern",
+          "typeAnnotation": {
+            "type": "TypeAnnotation",
+            "typeAnnotation": {
+              "id": {
+                "name": "$ReadOnly",
+                "type": "Identifier",
+              },
+              "type": "GenericTypeAnnotation",
+              "typeParameters": {
+                "params": [
+                  {
+                    "callProperties": [],
+                    "exact": false,
+                    "indexers": [],
+                    "inexact": true,
+                    "internalSlots": [],
+                    "properties": [],
+                    "type": "ObjectTypeAnnotation",
+                  },
+                ],
+                "type": "TypeParameterInstantiation",
+              },
+            },
+          },
+        },
+        {
+          "name": "ref",
+          "type": "Identifier",
+          "typeAnnotation": {
+            "type": "TypeAnnotation",
+            "typeAnnotation": {
+              "id": {
+                "name": "Ref",
+                "type": "Identifier",
+              },
+              "type": "GenericTypeAnnotation",
+              "typeParameters": null,
+            },
+          },
+        },
+      ],
+      "returnType": {
+        "type": "TypeAnnotation",
+        "typeAnnotation": {
+          "id": {
+            "id": {
+              "name": "Node",
+              "type": "Identifier",
+            },
+            "qualification": {
+              "name": "React",
+              "type": "Identifier",
+            },
+            "type": "QualifiedTypeIdentifier",
+          },
+          "type": "GenericTypeAnnotation",
+          "typeParameters": null,
+        },
+      },
+      "type": "FunctionDeclaration",
+    },
+    {
+      "expression": {
+        "name": "Bar",
+        "type": "Identifier",
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "__componentDeclaration": true,
+      "async": false,
+      "body": {
+        "body": [],
+        "directives": [],
+        "type": "BlockStatement",
+      },
+      "generator": false,
+      "id": {
+        "name": "Bar_withRef",
+        "type": "Identifier",
+      },
+      "params": [
+        {
+          "properties": [
+            {
+              "computed": false,
+              "key": {
+                "name": "foo",
+                "type": "Identifier",
+              },
+              "method": false,
+              "shorthand": true,
+              "type": "ObjectProperty",
+              "value": {
+                "name": "foo",
+                "type": "Identifier",
+              },
+            },
+          ],
+          "type": "ObjectPattern",
+          "typeAnnotation": {
+            "type": "TypeAnnotation",
+            "typeAnnotation": {
+              "id": {
+                "name": "$ReadOnly",
+                "type": "Identifier",
+              },
+              "type": "GenericTypeAnnotation",
+              "typeParameters": {
+                "params": [
+                  {
+                    "callProperties": [],
+                    "exact": false,
+                    "indexers": [],
+                    "inexact": true,
+                    "internalSlots": [],
+                    "properties": [],
+                    "type": "ObjectTypeAnnotation",
+                  },
+                ],
+                "type": "TypeParameterInstantiation",
+              },
+            },
+          },
+        },
+        {
+          "name": "ref",
+          "type": "Identifier",
+          "typeAnnotation": {
+            "type": "TypeAnnotation",
+            "typeAnnotation": {
+              "id": {
+                "name": "Ref",
+                "type": "Identifier",
+              },
+              "type": "GenericTypeAnnotation",
+              "typeParameters": null,
+            },
+          },
+        },
+      ],
+      "returnType": {
+        "type": "TypeAnnotation",
+        "typeAnnotation": {
+          "id": {
+            "id": {
+              "name": "Node",
+              "type": "Identifier",
+            },
+            "qualification": {
+              "name": "React",
+              "type": "Identifier",
+            },
+            "type": "QualifiedTypeIdentifier",
+          },
+          "type": "GenericTypeAnnotation",
+          "typeParameters": null,
+        },
+      },
+      "type": "FunctionDeclaration",
+    },
+  ],
+  "type": "Program",
+}
+`;
+
+exports[`ComponentDeclaration ref and normal params with hoisting ESTree 1`] = `
+{
+  "body": [
+    {
+      "directive": null,
+      "expression": {
+        "name": "Bar",
+        "optional": false,
+        "type": "Identifier",
+        "typeAnnotation": null,
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "directive": null,
+      "expression": {
+        "name": "unrelated",
+        "optional": false,
+        "type": "Identifier",
+        "typeAnnotation": null,
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "directive": null,
+      "expression": {
+        "arguments": [
+          {
+            "name": "Foo",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": null,
+          },
+        ],
+        "callee": {
+          "name": "someSideEffect",
+          "optional": false,
+          "type": "Identifier",
+          "typeAnnotation": null,
+        },
+        "optional": false,
+        "type": "CallExpression",
+        "typeArguments": null,
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "directive": null,
+      "expression": {
+        "name": "unrelated",
+        "optional": false,
+        "type": "Identifier",
+        "typeAnnotation": null,
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "body": {
+        "body": [],
+        "type": "BlockStatement",
+      },
+      "id": {
+        "name": "Foo",
+        "optional": false,
+        "type": "Identifier",
+        "typeAnnotation": null,
+      },
+      "params": [
+        {
+          "local": {
+            "name": "foo",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": {
+              "type": "TypeAnnotation",
+              "typeAnnotation": {
+                "type": "StringTypeAnnotation",
+              },
+            },
+          },
+          "name": {
+            "name": "foo",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": null,
+          },
+          "shorthand": true,
+          "type": "ComponentParameter",
+        },
+        {
+          "local": {
+            "name": "ref",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": {
+              "type": "TypeAnnotation",
+              "typeAnnotation": {
+                "id": {
+                  "name": "Ref",
+                  "optional": false,
+                  "type": "Identifier",
+                  "typeAnnotation": null,
+                },
+                "type": "GenericTypeAnnotation",
+                "typeParameters": null,
+              },
+            },
+          },
+          "name": {
+            "name": "ref",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": null,
+          },
+          "shorthand": true,
+          "type": "ComponentParameter",
+        },
+      ],
+      "rendersType": null,
+      "type": "ComponentDeclaration",
+      "typeParameters": null,
+    },
+    {
+      "directive": null,
+      "expression": {
+        "name": "Bar",
+        "optional": false,
+        "type": "Identifier",
+        "typeAnnotation": null,
+      },
+      "type": "ExpressionStatement",
+    },
+    {
+      "body": {
+        "body": [],
+        "type": "BlockStatement",
+      },
+      "id": {
+        "name": "Bar",
+        "optional": false,
+        "type": "Identifier",
+        "typeAnnotation": null,
+      },
+      "params": [
+        {
+          "local": {
+            "name": "foo",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": {
+              "type": "TypeAnnotation",
+              "typeAnnotation": {
+                "type": "StringTypeAnnotation",
+              },
+            },
+          },
+          "name": {
+            "name": "foo",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": null,
+          },
+          "shorthand": true,
+          "type": "ComponentParameter",
+        },
+        {
+          "local": {
+            "name": "ref",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": {
+              "type": "TypeAnnotation",
+              "typeAnnotation": {
+                "id": {
+                  "name": "Ref",
+                  "optional": false,
+                  "type": "Identifier",
+                  "typeAnnotation": null,
+                },
+                "type": "GenericTypeAnnotation",
+                "typeParameters": null,
+              },
+            },
+          },
+          "name": {
+            "name": "ref",
+            "optional": false,
+            "type": "Identifier",
+            "typeAnnotation": null,
+          },
+          "shorthand": true,
+          "type": "ComponentParameter",
+        },
+      ],
+      "rendersType": null,
+      "type": "ComponentDeclaration",
+      "typeParameters": null,
+    },
+  ],
+  "type": "Program",
+}
+`;
+
 exports[`ComponentDeclaration ref and normal params within block Babel 1`] = `
 {
   "body": [
diff --git a/tools/hermes-parser/js/hermes-parser/src/babel/TransformReactScriptForBabel.js b/tools/hermes-parser/js/hermes-parser/src/babel/TransformReactScriptForBabel.js
index 308b99b2040..2fab616d51e 100644
--- a/tools/hermes-parser/js/hermes-parser/src/babel/TransformReactScriptForBabel.js
+++ b/tools/hermes-parser/js/hermes-parser/src/babel/TransformReactScriptForBabel.js
@@ -42,6 +42,7 @@ import type {
 
 import {SimpleTransform} from '../transform/SimpleTransform';
 import {shallowCloneNode} from '../transform/astNodeMutationHelpers';
+import {SimpleTraverser} from '../traverse/SimpleTraverser';
 
 const nodeWith = SimpleTransform.nodeWith;
 
@@ -493,6 +494,40 @@ function mapComponentDeclaration(node: ComponentDeclaration): {
   return {comp, forwardRefDetails};
 }
 
+/**
+ * Scan a list of statements and return the position of the
+ * first statement that contains a reference to a given component
+ * or null of no references were found.
+ */
+function scanForFirstComponentReference(
+  compName: string,
+  bodyList: Array<Statement | ModuleDeclaration>,
+): ?number {
+  for (let i = 0; i < bodyList.length; i++) {
+    const bodyNode = bodyList[i];
+    let referencePos = null;
+    SimpleTraverser.traverse(bodyNode, {
+      enter(node: ESNode) {
+        switch (node.type) {
+          case 'Identifier': {
+            if (node.name === compName) {
+              // We found a reference, record it and stop.
+              referencePos = i;
+              throw SimpleTraverser.Break;
+            }
+          }
+        }
+      },
+      leave(_node: ESNode) {},
+    });
+    if (referencePos != null) {
+      return referencePos;
+    }
+  }
+
+  return null;
+}
+
 function mapComponentDeclarationIntoList(
   node: ComponentDeclaration,
   newBody: Array<Statement | ModuleDeclaration>,
@@ -500,8 +535,21 @@ function mapComponentDeclarationIntoList(
 ) {
   const {comp, forwardRefDetails} = mapComponentDeclaration(node);
   if (forwardRefDetails != null) {
-    newBody.push(forwardRefDetails.forwardRefStatement);
+    // Scan for references to our component.
+    const referencePos = scanForFirstComponentReference(
+      forwardRefDetails.forwardRefCompId.name,
+      newBody,
+    );
+
+    // If a reference is found insert the forwardRef statement before it (to simulate function hoisting).
+    if (referencePos != null) {
+      newBody.splice(referencePos, 0, forwardRefDetails.forwardRefStatement);
+    } else {
+      newBody.push(forwardRefDetails.forwardRefStatement);
+    }
+
     newBody.push(comp);
+
     if (insertExport != null) {
       newBody.push(insertExport(forwardRefDetails.forwardRefCompId));
     }