diff --git a/packages/core/src/initPlugins.ts b/packages/core/src/initPlugins.ts
index 756afd4f64..882b78597b 100644
--- a/packages/core/src/initPlugins.ts
+++ b/packages/core/src/initPlugins.ts
@@ -148,7 +148,7 @@ export function initPluginAPI({
   };
 
   let transformId = 0;
-  const transformer: Record<string, TransformHandler> = {};
+  const transformer: Record<string, TransformHandler<boolean>> = {};
   const processAssetsFns: {
     environment?: string;
     descriptor: ProcessAssetsDescriptor;
diff --git a/packages/core/src/types/plugin.ts b/packages/core/src/types/plugin.ts
index 1b6ef764c0..3a9a4af43a 100644
--- a/packages/core/src/types/plugin.ts
+++ b/packages/core/src/types/plugin.ts
@@ -304,11 +304,12 @@ type TransformResult =
       map?: string | Rspack.sources.RawSourceMap | null;
     };
 
-export type TransformContext = {
+export type TransformContext<Raw extends boolean = false> = {
   /**
    * The code of the module.
+   * When raw is true, this will be a Buffer instead of a string.
    */
-  code: string;
+  code: Raw extends true ? Buffer : string;
   /**
    * The directory path of the currently processed module,
    * which changes with the location of each processed module.
@@ -370,8 +371,8 @@ export type TransformContext = {
   resolve: Rspack.LoaderContext['resolve'];
 };
 
-export type TransformHandler = (
-  context: TransformContext,
+export type TransformHandler<Raw extends boolean = false> = (
+  context: TransformContext<Raw>,
 ) => MaybePromise<TransformResult>;
 
 export type TransformDescriptor = {
@@ -449,9 +450,9 @@ export type TransformDescriptor = {
   order?: HookOrder;
 };
 
-export type TransformHook = (
-  descriptor: TransformDescriptor,
-  handler: TransformHandler,
+export type TransformHook = <T extends TransformDescriptor>(
+  descriptor: T,
+  handler: TransformHandler<T['raw'] extends true ? true : false>,
 ) => void;
 
 export type ProcessAssetsStage =
diff --git a/packages/core/tests/transformRaw.test.ts b/packages/core/tests/transformRaw.test.ts
new file mode 100644
index 0000000000..029df1f193
--- /dev/null
+++ b/packages/core/tests/transformRaw.test.ts
@@ -0,0 +1,115 @@
+import { createStubRsbuild } from '@scripts/test-helper';
+
+describe('transform raw loader', () => {
+  it('should handle Buffer input correctly for raw transforms', async () => {
+    // This test verifies the typing works correctly
+    const rsbuild = await createStubRsbuild({
+      plugins: [
+        {
+          name: 'test-raw-transform',
+          setup(api) {
+            api.transform({ test: /\.node$/, raw: true }, ({ code }) => {
+              // The key test is that TypeScript allows this code to compile
+              // when TransformContext.code is typed as string | Buffer
+              const isBuffer = Buffer.isBuffer(code);
+              const isString = typeof code === 'string';
+
+              // This should work with both Buffer and string
+              return `export default "transformed-${isBuffer ? 'buffer' : isString ? 'string' : 'unknown'}";`;
+            });
+          },
+        },
+      ],
+      rsbuildConfig: {
+        output: {
+          target: 'node',
+        },
+      },
+    });
+
+    const config = await rsbuild.unwrapConfig();
+
+    // Verify that the raw loader is being used
+    const rules = config.module?.rules || [];
+    const nodeRule = rules.find((rule: any) =>
+      rule.test?.toString().includes('\\.node'),
+    );
+
+    expect(nodeRule).toBeDefined();
+    expect(nodeRule.use[0].loader).toContain('transformRawLoader');
+  });
+
+  it('should handle string input correctly for non-raw transforms', async () => {
+    // This test verifies that the typing works for non-raw transforms too
+    const rsbuild = await createStubRsbuild({
+      plugins: [
+        {
+          name: 'test-string-transform',
+          setup(api) {
+            api.transform({ test: /\.test\.js$/ }, ({ code }) => {
+              // The key test is that TypeScript allows this code to compile
+              // when TransformContext.code is typed as string | Buffer
+              const isBuffer = Buffer.isBuffer(code);
+              const isString = typeof code === 'string';
+
+              return `export default "transformed-${isString ? 'string' : isBuffer ? 'buffer' : 'unknown'}";`;
+            });
+          },
+        },
+      ],
+    });
+
+    const config = await rsbuild.unwrapConfig();
+
+    // Verify that the regular loader is being used (not raw)
+    const rules = config.module?.rules || [];
+    const testRule = rules.find((rule: any) =>
+      rule.test?.toString().includes('\\.test\\.js'),
+    );
+
+    expect(testRule).toBeDefined();
+    expect(testRule.use[0].loader).toContain('transformLoader');
+    expect(testRule.use[0].loader).not.toContain('transformRawLoader');
+  });
+
+  it('should allow the nodeAddons plugin pattern to work with Buffer', () => {
+    // This test specifically validates the use case from the nodeAddons plugin
+    // where raw transforms expect Buffer input
+    const mockCode = Buffer.from('test binary data');
+    const emitFileCalls: Array<{ name: string; content: Buffer }> = [];
+
+    // Simulate the transform handler from nodeAddons plugin
+    const transformHandler = ({
+      code,
+      emitFile,
+    }: {
+      code: string | Buffer;
+      emitFile: (name: string, content: Buffer) => void;
+    }) => {
+      // This should work without type errors now that code can be Buffer
+      emitFile('test.node', code as Buffer);
+
+      return `
+try {
+const path = require("path");
+process.dlopen(module, path.join(__dirname, "test.node"));
+} catch (error) {
+throw new Error('Failed to load Node.js addon: "test.node"\\n' + error);
+}
+`;
+    };
+
+    // This should not throw TypeScript errors
+    const result = transformHandler({
+      code: mockCode,
+      emitFile: (name, content) => {
+        emitFileCalls.push({ name, content });
+      },
+    });
+
+    expect(emitFileCalls).toHaveLength(1);
+    expect(emitFileCalls[0].name).toBe('test.node');
+    expect(emitFileCalls[0].content).toBe(mockCode);
+    expect(result).toContain('process.dlopen');
+  });
+});
diff --git a/packages/core/tests/transformTyping.test.ts b/packages/core/tests/transformTyping.test.ts
new file mode 100644
index 0000000000..2c3bbb00b6
--- /dev/null
+++ b/packages/core/tests/transformTyping.test.ts
@@ -0,0 +1,88 @@
+// Test demonstrating the improved conditional typing for TransformContext
+import { createStubRsbuild } from '@scripts/test-helper';
+
+describe('transform context conditional typing', () => {
+  it('should provide Buffer type for raw transforms', async () => {
+    // This test validates that when raw: true is used, the code parameter is typed as Buffer
+    const rsbuild = await createStubRsbuild({
+      plugins: [
+        {
+          name: 'test-buffer-typing',
+          setup(api) {
+            // This should compile without TypeScript errors and code should be typed as Buffer
+            api.transform(
+              { test: /\.buffer$/, raw: true },
+              ({ code, emitFile }) => {
+                // Type assertion for testing - code should be Buffer when raw: true
+                const buffer: Buffer = code; // This should work without type errors
+
+                // Verify it's actually a Buffer at runtime
+                expect(Buffer.isBuffer(code)).toBe(true);
+                expect(typeof code).not.toBe('string');
+
+                emitFile('test.bin', buffer);
+                return 'export default "buffer processed";';
+              },
+            );
+          },
+        },
+      ],
+    });
+
+    // Verify the transform was registered
+    const config = await rsbuild.unwrapConfig();
+    expect(config).toBeDefined();
+  });
+
+  it('should provide string type for non-raw transforms', async () => {
+    // This test validates that when raw is not specified or false, the code parameter is typed as string
+    const rsbuild = await createStubRsbuild({
+      plugins: [
+        {
+          name: 'test-string-typing',
+          setup(api) {
+            // This should compile without TypeScript errors and code should be typed as string
+            api.transform({ test: /\.string$/ }, ({ code }) => {
+              // Type assertion for testing - code should be string when raw is not specified
+              const str: string = code; // This should work without type errors
+
+              // Verify it's actually a string at runtime in normal usage
+              expect(typeof code).toBe('string');
+              expect(Buffer.isBuffer(code)).toBe(false);
+
+              return `${str}\n// processed`;
+            });
+          },
+        },
+      ],
+    });
+
+    // Verify the transform was registered
+    const config = await rsbuild.unwrapConfig();
+    expect(config).toBeDefined();
+  });
+
+  it('should provide string type for explicitly non-raw transforms', async () => {
+    // This test validates that when raw: false is explicitly specified, code is typed as string
+    const rsbuild = await createStubRsbuild({
+      plugins: [
+        {
+          name: 'test-explicit-non-raw',
+          setup(api) {
+            // This should compile without TypeScript errors and code should be typed as string
+            api.transform({ test: /\.text$/, raw: false }, ({ code }) => {
+              // Type assertion for testing - code should be string when raw: false
+              const str: string = code; // This should work without type errors
+
+              return `processed: ${str}`;
+            });
+          },
+        },
+      ],
+    });
+
+    // Verify the transform was registered
+    const config = await rsbuild.unwrapConfig();
+    expect(config).toBeDefined();
+  });
+});