diff --git a/packages/react-native/ReactCommon/React-rncore.podspec b/packages/react-native/ReactCommon/React-rncore.podspec
index 88ae8f51bcfbaa..cd00efd8875948 100644
--- a/packages/react-native/ReactCommon/React-rncore.podspec
+++ b/packages/react-native/ReactCommon/React-rncore.podspec
@@ -16,7 +16,14 @@ else
   source[:tag] = "v#{version}"
 end
 
-react_native_path = ".."
+# We are using to different paths for react native because of the way how js_srcs_dir and output_dir options are used
+# output_dir option usage was introduced in D43304641, React-rncore.podspec is the only podspec in the project that uses this option
+# We should rethink this approach in T148704916
+
+# Relative path to react native from iOS project root (e.g. <ios-project-root>/../node_modules/react-native)
+react_native_dependency_path = ENV['REACT_NATIVE_PATH']
+# Relative path to react native from current podspec
+react_native_sources_path = '..'
 
 Pod::Spec.new do |s|
   s.name                   = "React-rncore"
@@ -33,10 +40,10 @@ Pod::Spec.new do |s|
 
 
   use_react_native_codegen!(s, {
-    :react_native_path => react_native_path,
-    :js_srcs_dir => "#{react_native_path}/Libraries",
+    :react_native_path => react_native_sources_path,
+    :js_srcs_dir => "#{react_native_sources_path}/Libraries",
     :library_name => "rncore",
     :library_type => "components",
-    :output_dir => "#{react_native_path}/react-native/ReactCommon"
+    :output_dir => "#{react_native_dependency_path}/ReactCommon"
   })
 end
diff --git a/packages/rn-tester/Podfile.lock b/packages/rn-tester/Podfile.lock
index be0ec11b28e079..61d109df592cb7 100644
--- a/packages/rn-tester/Podfile.lock
+++ b/packages/rn-tester/Podfile.lock
@@ -1015,7 +1015,7 @@ SPEC CHECKSUMS:
   FlipperKit: 2efad7007d6745a3f95e4034d547be637f89d3f6
   fmt: ff9d55029c625d3757ed641535fd4a75fedc7ce9
   glog: 04b94705f318337d7ead9e6d17c019bd9b1f6b1b
-  hermes-engine: d4e3147fcec14fb95d56cad45f03f126e725a098
+  hermes-engine: 23974109d4ab9be57257a23579a564c53f86abc3
   libevent: 4049cae6c81cdb3654a443be001fb9bdceff7913
   OCMock: 9491e4bec59e0b267d52a9184ff5605995e74be8
   OpenSSL-Universal: ebc357f1e6bc71fa463ccb2fe676756aff50e88c