diff --git a/packages/plugin-rsc/e2e/basic.test.ts b/packages/plugin-rsc/e2e/basic.test.ts
index 98a4f966b..a43786380 100644
--- a/packages/plugin-rsc/e2e/basic.test.ts
+++ b/packages/plugin-rsc/e2e/basic.test.ts
@@ -415,7 +415,7 @@ function defineTest(f: Fixture) {
       await page.getByRole('button', { name: 'client-counter: 0' }).click()
     })
 
-    test('non-boundary client hmr', async ({ page }) => {
+    test('non-client-reference client hmr', async ({ page }) => {
       await page.goto(f.url())
       await waitForHydration(page)
 
@@ -428,13 +428,55 @@ function defineTest(f: Fixture) {
       editor.edit((s) => s.replace('[ok]', '[ok-edit]'))
       await expect(locator).toHaveText('test-hmr-client-dep: 1[ok-edit]')
 
+      // check next rsc payload includes current client reference and preserves state
+      await page.locator("a[href='?test-hmr-client-dep-re-render']").click()
+      await expect(
+        page.locator("a[href='?test-hmr-client-dep-re-render']"),
+      ).toHaveText('re-render [ok]')
+      await expect(locator).toHaveText('test-hmr-client-dep: 1[ok-edit]')
+
       // check next ssr is also updated
-      const res = await page.reload()
+      const res = await page.request.get(f.url(), {
+        headers: {
+          accept: 'text/html',
+        },
+      })
       expect(await res?.text()).toContain('[ok-edit]')
 
+      editor.reset()
+      await expect(locator).toHaveText('test-hmr-client-dep: 1[ok]')
+    })
+
+    test('non-self-accepting client hmr', async ({ page }) => {
+      await page.goto(f.url())
       await waitForHydration(page)
+
+      const locator = page.getByTestId('test-hmr-client-dep2')
+      await expect(locator).toHaveText('test-hmr-client-dep2: 0[ok]')
+      await locator.locator('button').click()
+      await expect(locator).toHaveText('test-hmr-client-dep2: 1[ok]')
+
+      const editor = f.createEditor('src/routes/hmr-client-dep2/client-dep.ts')
+      editor.edit((s) => s.replace('[ok]', '[ok-edit]'))
+      await expect(locator).toHaveText('test-hmr-client-dep2: 1[ok-edit]')
+
+      // check next rsc payload includes an updated client reference and preserves state
+      await page.locator("a[href='?test-hmr-client-dep2-re-render']").click()
+      await expect(
+        page.locator("a[href='?test-hmr-client-dep2-re-render']"),
+      ).toHaveText('re-render [ok]')
+      await expect(locator).toHaveText('test-hmr-client-dep2: 1[ok-edit]')
+
+      // check next ssr is also updated
+      const res = await page.request.get(f.url(), {
+        headers: {
+          accept: 'text/html',
+        },
+      })
+      expect(await res?.text()).toContain('[ok-edit]')
+
       editor.reset()
-      await expect(locator).toHaveText('test-hmr-client-dep: 0[ok]')
+      await expect(locator).toHaveText('test-hmr-client-dep2: 1[ok]')
     })
 
     test('server hmr', async ({ page }) => {
diff --git a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep/client.tsx b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep/client.tsx
index 1812aadb5..3c2500fbe 100644
--- a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep/client.tsx
+++ b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep/client.tsx
@@ -3,14 +3,22 @@
 import React from 'react'
 import { ClientDep } from './client-dep'
 
-export function TestHmrClientDep() {
+export function TestHmrClientDep(props: { url: Pick<URL, 'search'> }) {
   const [count, setCount] = React.useState(0)
   return (
-    <div data-testid="test-hmr-client-dep">
-      <button onClick={() => setCount((c) => c + 1)}>
-        test-hmr-client-dep: {count}
-      </button>
-      <ClientDep />
+    <div>
+      <span data-testid="test-hmr-client-dep">
+        <button onClick={() => setCount((c) => c + 1)}>
+          test-hmr-client-dep: {count}
+        </button>
+        <ClientDep />
+      </span>{' '}
+      <a href="?test-hmr-client-dep-re-render">
+        re-render
+        {props.url.search.includes('test-hmr-client-dep-re-render')
+          ? ' [ok]'
+          : ''}
+      </a>
     </div>
   )
 }
diff --git a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep2/client-dep.ts b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep2/client-dep.ts
new file mode 100644
index 000000000..fd47fd7c7
--- /dev/null
+++ b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep2/client-dep.ts
@@ -0,0 +1,3 @@
+export function clientDep() {
+  return '[ok]'
+}
diff --git a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep2/client.tsx b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep2/client.tsx
new file mode 100644
index 000000000..8bee6cdbc
--- /dev/null
+++ b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep2/client.tsx
@@ -0,0 +1,24 @@
+'use client'
+
+import React from 'react'
+import { clientDep } from './client-dep'
+
+export function TestHmrClientDep2(props: { url: Pick<URL, 'search'> }) {
+  const [count, setCount] = React.useState(0)
+  return (
+    <div>
+      <span data-testid="test-hmr-client-dep2">
+        <button onClick={() => setCount((c) => c + 1)}>
+          test-hmr-client-dep2: {count}
+        </button>
+        {clientDep()}
+      </span>{' '}
+      <a href="?test-hmr-client-dep2-re-render">
+        re-render
+        {props.url.search.includes('test-hmr-client-dep2-re-render')
+          ? ' [ok]'
+          : ''}
+      </a>
+    </div>
+  )
+}
diff --git a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-a.tsx b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-a.tsx
new file mode 100644
index 000000000..c4154575c
--- /dev/null
+++ b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-a.tsx
@@ -0,0 +1,20 @@
+'use client'
+
+import React from 'react'
+import { clientDep } from './client-dep'
+import { ClientDepComp } from './client-dep-comp'
+
+export function TestHmrClientDepA() {
+  const [count, setCount] = React.useState(0)
+  return (
+    <>
+      <span data-testid="test-hmr-client-dep3">
+        <button onClick={() => setCount((c) => c + 1)}>
+          test-hmr-client-dep3: {count}
+        </button>
+        {clientDep()}
+        <ClientDepComp />
+      </span>
+    </>
+  )
+}
diff --git a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-b.tsx b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-b.tsx
new file mode 100644
index 000000000..fbd243711
--- /dev/null
+++ b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-b.tsx
@@ -0,0 +1,7 @@
+'use client'
+
+import { TestHmrClientDepA } from './client-a'
+
+export function TestHmrClientDepB() {
+  return <TestHmrClientDepA />
+}
diff --git a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-dep-comp.tsx b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-dep-comp.tsx
new file mode 100644
index 000000000..e028d7239
--- /dev/null
+++ b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-dep-comp.tsx
@@ -0,0 +1,3 @@
+export function ClientDepComp() {
+  return '[ok]'
+}
diff --git a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-dep.ts b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-dep.ts
new file mode 100644
index 000000000..fd47fd7c7
--- /dev/null
+++ b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/client-dep.ts
@@ -0,0 +1,3 @@
+export function clientDep() {
+  return '[ok]'
+}
diff --git a/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/server.tsx b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/server.tsx
new file mode 100644
index 000000000..a364d29c0
--- /dev/null
+++ b/packages/plugin-rsc/examples/basic/src/routes/hmr-client-dep3/server.tsx
@@ -0,0 +1,23 @@
+import { TestHmrClientDepA } from './client-a'
+import { TestHmrClientDepB } from './client-b'
+
+// example to demonstrate a folowing behavior
+// https://github.com/vitejs/vite-plugin-react/pull/788#issuecomment-3227656612
+/*
+server                       server
+   |                           |
+   v                           v
+client-a   client-a?t=xx <-- client-b
+   |         |
+   v         v
+client-dep-comp?t=xx
+*/
+
+export function TestHmrClientDep3() {
+  return (
+    <div>
+      <TestHmrClientDepA />
+      <TestHmrClientDepB />
+    </div>
+  )
+}
diff --git a/packages/plugin-rsc/examples/basic/src/routes/root.tsx b/packages/plugin-rsc/examples/basic/src/routes/root.tsx
index eadc31eb0..cc266a546 100644
--- a/packages/plugin-rsc/examples/basic/src/routes/root.tsx
+++ b/packages/plugin-rsc/examples/basic/src/routes/root.tsx
@@ -41,6 +41,8 @@ import { TestHmrSwitchClient } from './hmr-switch/client'
 import { TestTreeShakeServer } from './tree-shake/server'
 import { TestClientChunkServer } from './chunk/server'
 import { TestTailwind } from './tailwind'
+import { TestHmrClientDep2 } from './hmr-client-dep2/client'
+import { TestHmrClientDep3 } from './hmr-client-dep3/server'
 
 export function Root(props: { url: URL }) {
   return (
@@ -63,7 +65,9 @@ export function Root(props: { url: URL }) {
         <TestTailwind />
         <TestDepCssInServer />
         <TestHydrationMismatch url={props.url} />
-        <TestHmrClientDep />
+        <TestHmrClientDep url={{ search: props.url.search }} />
+        <TestHmrClientDep2 url={{ search: props.url.search }} />
+        <TestHmrClientDep3 />
         <TestHmrSharedServer />
         <TestHmrSharedClient />
         <TestHmrSharedAtomic />
diff --git a/packages/plugin-rsc/src/plugin.ts b/packages/plugin-rsc/src/plugin.ts
index 4df6fb845..5951ef801 100644
--- a/packages/plugin-rsc/src/plugin.ts
+++ b/packages/plugin-rsc/src/plugin.ts
@@ -415,6 +415,35 @@ export default function vitePluginRsc(
       configureServer(server) {
         ;(globalThis as any).__viteRscDevServer = server
 
+        // intercept client hmr to propagate client boundary invalidation to server environment
+        const oldSend = server.environments.client.hot.send
+        server.environments.client.hot.send = async function (
+          this,
+          ...args: any[]
+        ) {
+          const e = args[0] as vite.UpdatePayload
+          if (e && typeof e === 'object' && e.type === 'update') {
+            for (const update of e.updates) {
+              if (update.type === 'js-update') {
+                const mod =
+                  server.environments.client.moduleGraph.urlToModuleMap.get(
+                    update.path,
+                  )
+                if (mod && mod.id && manager.clientReferenceMetaMap[mod.id]) {
+                  const serverMod =
+                    server.environments.rsc!.moduleGraph.getModuleById(mod.id)
+                  if (serverMod) {
+                    server.environments.rsc!.moduleGraph.invalidateModule(
+                      serverMod,
+                    )
+                  }
+                }
+              }
+            }
+          }
+          return oldSend.apply(this, args as any)
+        }
+
         if (rscPluginOptions.disableServerHandler) return
         if (rscPluginOptions.serverHandler === false) return
         const options = rscPluginOptions.serverHandler ?? {