diff --git a/packages/pundle-job-transformer-js-dedupe/package.json b/packages/pundle-job-transformer-js-dedupe/package.json
index 21a451d1..4d4e8f66 100644
--- a/packages/pundle-job-transformer-js-dedupe/package.json
+++ b/packages/pundle-job-transformer-js-dedupe/package.json
@@ -10,8 +10,12 @@
   "flow:main": "src/index.js",
   "scripts": {},
   "dependencies": {
+    "escape-regexp": "^0.0.1",
+    "lodash": "^4.17.10",
     "p-map": "^1.2.0",
-    "sb-fs": "^3.0.0"
+    "sb-fs": "^3.0.0",
+    "sb-memoize": "^2.1.0",
+    "semver": "^5.5.1"
   },
   "peerDependencies": {
     "pundle-api": "3.0.0-beta8"
diff --git a/packages/pundle-job-transformer-js-dedupe/src/index.js b/packages/pundle-job-transformer-js-dedupe/src/index.js
index 74ceabbe..ed5888aa 100644
--- a/packages/pundle-job-transformer-js-dedupe/src/index.js
+++ b/packages/pundle-job-transformer-js-dedupe/src/index.js
@@ -1,18 +1,22 @@
 // @flow
 
-import { createJobTransformer } from 'pundle-api'
-import { name, version } from '../package.json'
+import path from 'path'
+import escapeRegexp from 'escape-regexp'
+import cloneDeep from 'lodash/cloneDeep'
+import { createJobTransformer, getUniqueHash } from 'pundle-api'
 
+import { name, version } from '../package.json'
 import ManifestRegistry from './manifest-registry'
 
 function createComponent() {
+  const DEBUG = process.env.PUNDLE_DEBUG_DEDUPE === '1'
   const manifestRegistry = new ManifestRegistry()
 
   return createJobTransformer({
     name,
     version,
-    async callback({ context, worker, job: jobOrig }) {
-      const job = jobOrig.clone()
+    async callback({ job: jobOrig }) {
+      const job: typeof jobOrig = jobOrig.clone()
 
       const directories = new Set()
       job.files.forEach(({ meta }) => {
@@ -22,8 +26,93 @@ function createComponent() {
       })
 
       await manifestRegistry.load(Array.from(directories))
-      console.log('dedupe transformer')
-      return null
+
+      job.files.forEach((file, fileKey) => {
+        const { meta } = file
+        if (!meta.directory) return
+
+        const fileManifest = manifestRegistry.getManifestForPath(path.dirname(file.filePath))
+        if (!fileManifest) {
+          if (DEBUG) {
+            console.log(`No manifest found for '${file.filePath}'. Was this file loaded from a resolver alias?`)
+          }
+          return
+        }
+
+        const newFile: typeof file = cloneDeep(file)
+        job.files.set(fileKey, newFile)
+
+        newFile.imports.forEach((fileImport, index) => {
+          const importManifest = manifestRegistry.getManifestForPath(
+            fileImport.meta.directory || path.dirname(fileImport.filePath),
+          )
+          if (!importManifest) {
+            if (DEBUG) {
+              console.log(
+                `No manifest found for import '${fileImport.filePath}' from '${
+                  newFile.filePath
+                }'. Was this file loaded from a resolver alias?`,
+              )
+            }
+            return
+          }
+
+          if (importManifest === fileManifest) {
+            return
+          }
+
+          const fileImportSemver = fileManifest.dependencies[importManifest.name]
+
+          if (!fileImportSemver) {
+            if (DEBUG) {
+              console.log(
+                `Ignoring import '${fileImport.filePath}' because it was not found in '${newFile.filePath}' dependencies`,
+              )
+            }
+
+            return
+          }
+          const latestManifest = manifestRegistry.getPackageMatchingSemver(importManifest.name, fileImportSemver)
+          if (!latestManifest) {
+            if (DEBUG) {
+              console.log(
+                `Unable to get semver-compatible alternatives for '${importManifest.directory}' in '${newFile.filePath}'`,
+              )
+            }
+            return
+          }
+          if (latestManifest === importManifest) {
+            return
+          }
+
+          if (DEBUG) {
+            console.log(
+              `Using '${latestManifest.directory}' instead of '${importManifest.directory}' for '${file.filePath}'`,
+            )
+          }
+
+          const updatedImport = {
+            format: fileImport.format,
+            filePath: fileImport.filePath.replace(importManifest.directory, latestManifest.directory),
+            meta: {
+              ...fileImport.meta,
+              directory: latestManifest.directory,
+            },
+          }
+          newFile.imports[index] = updatedImport
+
+          if (typeof newFile.contents === 'string') {
+            newFile.contents = newFile.contents.replace(
+              new RegExp(escapeRegexp(getUniqueHash(fileImport)), 'g'),
+              getUniqueHash(updatedImport),
+            )
+          }
+        })
+      })
+
+      return {
+        job,
+      }
     },
   })
 }
diff --git a/packages/pundle-job-transformer-js-dedupe/src/manifest-registry.js b/packages/pundle-job-transformer-js-dedupe/src/manifest-registry.js
index 721e27b7..e8aebced 100644
--- a/packages/pundle-job-transformer-js-dedupe/src/manifest-registry.js
+++ b/packages/pundle-job-transformer-js-dedupe/src/manifest-registry.js
@@ -3,10 +3,51 @@
 import fs from 'sb-fs'
 import path from 'path'
 import pMap from 'p-map'
+import semver from 'semver'
+import memoize from 'sb-memoize'
 
+type Package = {|
+  name: string,
+  version: string,
+  directory: string,
+  lastModified: number,
+  dependencies: Object,
+|}
 export default class ManifestRegistry {
-  cache: Map<string, {| name: string, version: string, lastModified: number, manifest: Object |}> = new Map()
+  cache: Map<string, Package> = new Map()
   sortedKeys: Array<string> = []
+
+  updateCache() {
+    this.sortedKeys = Array.from(this.cache.keys()).sort((a, b) => b.length - a.length)
+    this.getManifestForPath.clearCache()
+    this.getPackageMatchingSemver.clearCache()
+  }
+
+  getManifestForPath: string => ?Package = memoize((filePath: string) => {
+    const rootDirectory = this.sortedKeys.find(item => filePath.startsWith(item))
+    if (rootDirectory) {
+      // Avoid node_modules with no rootDirectory to be associated with root level manifest
+      if (filePath.includes('node_modules') && !rootDirectory.includes('node_modules')) {
+        return null
+      }
+      return this.cache.get(rootDirectory)
+    }
+    return null
+  })
+
+  getPackageMatchingSemver: (string, string) => ?Package = memoize((name: string, requestedVersion: string) => {
+    const matching = []
+    this.cache.forEach(item => {
+      if (item.name === name && item.version && semver.satisfies(item.version, requestedVersion)) {
+        matching.push(item)
+      }
+    })
+    if (matching.length <= 1) {
+      return null
+    }
+    return matching.sort((a, b) => semver.compare(b.version, a.version))[0]
+  })
+
   async load(directories: Array<string>) {
     let needsSorting = false
 
@@ -38,19 +79,21 @@ export default class ManifestRegistry {
             throw new Error(`Malformed JSON file found at '${manifestPath}'`)
           }
 
-          if (!manifest.name || !manifest.version) {
+          if (!manifest) {
             if (oldValue) {
               needsSorting = true
               this.cache.delete(directory)
             }
             return
           }
+
           needsSorting = true
           this.cache.set(directory, {
-            name: manifest.name,
+            name: manifest.name || path.basename(directory),
             version: manifest.version,
+            directory,
             lastModified,
-            manifest,
+            dependencies: { ...manifest.devDependencies, ...manifest.peerDependencies, ...manifest.dependencies },
           })
         }
       },
@@ -58,7 +101,7 @@ export default class ManifestRegistry {
     )
 
     if (needsSorting) {
-      this.sortedKeys = Array.from(this.cache.keys()).sort((a, b) => b.length - a.length)
+      this.updateCache()
     }
   }
 }
diff --git a/packages/pundle-resolver-default/src/index.js b/packages/pundle-resolver-default/src/index.js
index 2b9ef822..9d2a3110 100644
--- a/packages/pundle-resolver-default/src/index.js
+++ b/packages/pundle-resolver-default/src/index.js
@@ -30,6 +30,8 @@ function createComponent({
     throw new Error("options.mainFields must not include 'browser'")
   }
 
+  const DEBUG = process.env.PUNDLE_DEBUG_RESOLVER === '1'
+
   return createFileResolver({
     name: manifest.name,
     version: manifest.version,
@@ -78,7 +80,7 @@ function createComponent({
 
       if (!response) return null
 
-      if (process.env.PUNDLE_DEBUG_RESOLVER === '1') {
+      if (DEBUG) {
         console.log('From', requestFile, 'processed', request, 'to', response)
       }
 
diff --git a/packages/pundle-transformer-babel/src/index.js b/packages/pundle-transformer-babel/src/index.js
index 4f21c472..fcfe533a 100644
--- a/packages/pundle-transformer-babel/src/index.js
+++ b/packages/pundle-transformer-babel/src/index.js
@@ -9,7 +9,7 @@ const ALLOWED_VERSIONS = [6, 7]
 
 function createComponent({
   exclude: givenExclude,
-  ignoreInNodeModules = false,
+  ignoreInNodeModules = true,
   ignoreOutsideProjectRoot = true,
   options = {},
   version,
diff --git a/yarn.lock b/yarn.lock
index 951704b2..4ecb9d80 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -2773,6 +2773,10 @@ escape-html@~1.0.3:
   version "1.0.3"
   resolved "https://registry.yarnpkg.com/escape-html/-/escape-html-1.0.3.tgz#0258eae4d3d0c0974de1c169188ef0051d1d1988"
 
+escape-regexp@^0.0.1:
+  version "0.0.1"
+  resolved "https://registry.yarnpkg.com/escape-regexp/-/escape-regexp-0.0.1.tgz#f44bda12d45bbdf9cb7f862ee7e4827b3dd32254"
+
 escape-string-regexp@^1.0.2, escape-string-regexp@^1.0.5:
   version "1.0.5"
   resolved "https://registry.yarnpkg.com/escape-string-regexp/-/escape-string-regexp-1.0.5.tgz#1b61c0562190a8dff6ae3bb2cf0200ca130b86d4"
@@ -6374,6 +6378,10 @@ sb-memoize@^1.0.2:
   version "1.0.2"
   resolved "https://registry.yarnpkg.com/sb-memoize/-/sb-memoize-1.0.2.tgz#128375c62ddb9cc4ffa905d0c5a597c19baead8e"
 
+sb-memoize@^2.1.0:
+  version "2.1.0"
+  resolved "https://registry.yarnpkg.com/sb-memoize/-/sb-memoize-2.1.0.tgz#f68d92a9a7afd95c76403d316002e91008b2ea2f"
+
 sb-npm-path@^2.0.0:
   version "2.0.0"
   resolved "https://registry.yarnpkg.com/sb-npm-path/-/sb-npm-path-2.0.0.tgz#0f6cc2cf371debca7d936ed76b7d4c3cc1eb3d58"
@@ -6404,7 +6412,7 @@ scss-tokenizer@^0.2.3:
   version "5.5.0"
   resolved "https://registry.yarnpkg.com/semver/-/semver-5.5.0.tgz#dc4bbc7a6ca9d916dee5d43516f0092b58f7b8ab"
 
-"semver@2.x || 3.x || 4 || 5":
+"semver@2.x || 3.x || 4 || 5", semver@^5.5.1:
   version "5.5.1"
   resolved "https://registry.yarnpkg.com/semver/-/semver-5.5.1.tgz#7dfdd8814bdb7cabc7be0fb1d734cfb66c940477"