diff --git a/CHANGELOG.md b/CHANGELOG.md
index ccd2e43cab..8a4c4bb2ec 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -20,6 +20,9 @@ This project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0.htm
 ### BREAKING CHANGES
 - Rename `flipInRtl` Icon's `slot` to `svgFlippingInRtl` in Teams theme @mnajdova ([#1179](https://github.com/stardust-ui/react/pull/1179))
 
+### Performance
+- Drop usages of `FelaTheme` component and use `React.Context` to get `theme` directly @layershifter ([#1163](https://github.com/stardust-ui/react/pull/1163))
+
 ### Features
 - Add `Reaction` variables to Teams dark and HOC themes @mnajdova ([#1152](https://github.com/stardust-ui/react/pull/1152))
 - Move `Grid`'s and `Image`'s styles and variables from Teams to base theme @mnajdova ([#1182](https://github.com/stardust-ui/react/pull/1182))
diff --git a/packages/react/src/lib/UIComponent.tsx b/packages/react/src/lib/UIComponent.tsx
index cc48d6b162..5f110d99f7 100644
--- a/packages/react/src/lib/UIComponent.tsx
+++ b/packages/react/src/lib/UIComponent.tsx
@@ -1,5 +1,8 @@
 import * as React from 'react'
 import * as _ from 'lodash'
+// @ts-ignore We have this export in package, but it is not present in typings
+import { ThemeContext } from 'react-fela'
+
 import renderComponent, { RenderResultConfig } from './renderComponent'
 import { AccessibilityActionHandlers } from './accessibility/types'
 import { FocusZone } from './accessibility/FocusZone'
@@ -11,6 +14,7 @@ class UIComponent<P, S = {}> extends React.Component<P, S> {
   static displayName: string
   static className: string
 
+  static contextType = ThemeContext
   static propTypes: any
 
   /** Array of props to exclude from list of handled ones. */
@@ -47,17 +51,20 @@ class UIComponent<P, S = {}> extends React.Component<P, S> {
   }
 
   render() {
-    return renderComponent({
-      className: this.childClass.className,
-      defaultProps: this.childClass.defaultProps,
-      displayName: this.childClass.displayName,
-      handledProps: this.childClass.handledProps,
-      props: this.props,
-      state: this.state,
-      actionHandlers: this.actionHandlers,
-      focusZoneRef: this.setFocusZoneRef,
-      render: this.renderComponent,
-    })
+    return renderComponent(
+      {
+        className: this.childClass.className,
+        defaultProps: this.childClass.defaultProps,
+        displayName: this.childClass.displayName,
+        handledProps: this.childClass.handledProps,
+        props: this.props,
+        state: this.state,
+        actionHandlers: this.actionHandlers,
+        focusZoneRef: this.setFocusZoneRef,
+        render: this.renderComponent,
+      },
+      this.context,
+    )
   }
 
   private setFocusZoneRef = (focusZone: FocusZone): void => {
diff --git a/packages/react/src/lib/createComponent.tsx b/packages/react/src/lib/createComponent.tsx
index 3b73670264..7f02e1dcc0 100644
--- a/packages/react/src/lib/createComponent.tsx
+++ b/packages/react/src/lib/createComponent.tsx
@@ -1,11 +1,14 @@
 import * as React from 'react'
 import * as _ from 'lodash'
+// @ts-ignore
+import { ThemeContext } from 'react-fela'
 
 import renderComponent, { RenderResultConfig } from './renderComponent'
 import { AccessibilityActionHandlers } from './accessibility/types'
 import { FocusZone } from './accessibility/FocusZone'
 import { createShorthandFactory } from './factories'
 import { ObjectOf } from '../types'
+import { ThemePrepared } from '../themes/types'
 
 export interface CreateComponentConfig<P> {
   displayName: string
@@ -40,17 +43,22 @@ const createComponent = <P extends ObjectOf<any> = any>({
   }
 
   const StardustComponent: CreateComponentReturnType<P> = (props): React.ReactElement<P> => {
-    return renderComponent({
-      className,
-      defaultProps,
-      displayName,
-      handledProps: _.keys(propTypes).concat(handledProps),
-      props,
-      state: {},
-      actionHandlers,
-      focusZoneRef,
-      render: config => render(config, props),
-    })
+    const theme: ThemePrepared = React.useContext(ThemeContext)
+
+    return renderComponent(
+      {
+        className,
+        defaultProps,
+        displayName,
+        handledProps: _.keys(propTypes).concat(handledProps),
+        props,
+        state: {},
+        actionHandlers,
+        focusZoneRef,
+        render: config => render(config, props),
+      },
+      theme,
+    )
   }
 
   StardustComponent.create = createShorthandFactory({
diff --git a/packages/react/src/lib/renderComponent.tsx b/packages/react/src/lib/renderComponent.tsx
index bf9b229546..5265e3a3ad 100644
--- a/packages/react/src/lib/renderComponent.tsx
+++ b/packages/react/src/lib/renderComponent.tsx
@@ -1,7 +1,6 @@
 import cx from 'classnames'
 import * as React from 'react'
 import * as _ from 'lodash'
-import { FelaTheme } from 'react-fela'
 
 import callable from './callable'
 import felaRenderer from './felaRenderer'
@@ -131,7 +130,10 @@ const renderWithFocusZone = <P extends {}>(
   return render(config)
 }
 
-const renderComponent = <P extends {}>(config: RenderConfig<P>): React.ReactElement<P> => {
+const renderComponent = <P extends {}>(
+  config: RenderConfig<P>,
+  theme: ThemePrepared,
+): React.ReactElement<P> => {
   const {
     className,
     defaultProps,
@@ -144,98 +146,86 @@ const renderComponent = <P extends {}>(config: RenderConfig<P>): React.ReactElem
     render,
   } = config
 
-  return (
-    <FelaTheme>
-      {(theme: ThemePrepared) => {
-        if (_.isEmpty(theme)) {
-          logProviderMissingWarning()
-        }
-
-        const {
-          siteVariables = {
-            colorScheme: {},
-            colors: {},
-            contextualColors: {},
-            emphasisColors: {},
-            naturalColors: {},
-            fontSizes: {},
-          },
-          componentVariables = {},
-          componentStyles = {},
-          rtl = false,
-          renderer = felaRenderer,
-        } = theme || {}
-        const ElementType = getElementType({ defaultProps }, props) as React.ReactType<P>
-
-        const stateAndProps = { ...state, ...props }
-
-        // Resolve variables for this component, allow props.variables to override
-        const resolvedVariables: ComponentVariablesObject = mergeComponentVariables(
-          componentVariables[displayName],
-          props.variables,
-        )(siteVariables)
-
-        const animationCSSProp = props.animation
-          ? createAnimationStyles(props.animation, theme)
-          : {}
-
-        // Resolve styles using resolved variables, merge results, allow props.styles to override
-        const mergedStyles: ComponentSlotStylesPrepared = mergeComponentStyles(
-          componentStyles[displayName],
-          {
-            root: props.styles,
-          },
-        )
-
-        const accessibility: AccessibilityBehavior = getAccessibility(
-          stateAndProps,
-          actionHandlers,
-          rtl,
-        )
-
-        const unhandledProps = getUnhandledProps({ handledProps }, props)
-
-        const colors = generateColorScheme(stateAndProps.color, resolvedVariables.colorScheme)
-
-        const styleParam: ComponentStyleFunctionParam = {
-          props: stateAndProps,
-          variables: resolvedVariables,
-          theme,
-          colors,
-        }
-
-        mergedStyles.root = {
-          ...callable(mergedStyles.root)(styleParam),
-          ...animationCSSProp,
-        }
-
-        const resolvedStyles: ComponentSlotStylesPrepared = Object.keys(mergedStyles).reduce(
-          (acc, next) => ({ ...acc, [next]: callable(mergedStyles[next])(styleParam) }),
-          {},
-        )
-
-        const classes: ComponentSlotClasses = getClasses(renderer, mergedStyles, styleParam)
-        classes.root = cx(className, classes.root, props.className)
-
-        const config: RenderResultConfig<P> = {
-          ElementType,
-          unhandledProps,
-          classes,
-          variables: resolvedVariables,
-          styles: resolvedStyles,
-          accessibility,
-          rtl,
-          theme,
-        }
-
-        if (accessibility.focusZone) {
-          return renderWithFocusZone(render, accessibility.focusZone, config, focusZoneRef)
-        }
-
-        return render(config)
-      }}
-    </FelaTheme>
+  if (_.isEmpty(theme)) {
+    logProviderMissingWarning()
+  }
+
+  const {
+    siteVariables = {
+      colorScheme: {},
+      colors: {},
+      contextualColors: {},
+      emphasisColors: {},
+      naturalColors: {},
+      fontSizes: {},
+    },
+    componentVariables = {},
+    componentStyles = {},
+    rtl = false,
+    renderer = felaRenderer,
+  } = theme || {}
+  const ElementType = getElementType({ defaultProps }, props) as React.ReactType<P>
+
+  const stateAndProps = { ...state, ...props }
+
+  // Resolve variables for this component, allow props.variables to override
+  const resolvedVariables: ComponentVariablesObject = mergeComponentVariables(
+    componentVariables[displayName],
+    props.variables,
+  )(siteVariables)
+
+  const animationCSSProp = props.animation ? createAnimationStyles(props.animation, theme) : {}
+
+  // Resolve styles using resolved variables, merge results, allow props.styles to override
+  const mergedStyles: ComponentSlotStylesPrepared = mergeComponentStyles(
+    componentStyles[displayName],
+    {
+      root: props.styles,
+    },
+  )
+
+  const accessibility: AccessibilityBehavior = getAccessibility(stateAndProps, actionHandlers, rtl)
+
+  const unhandledProps = getUnhandledProps({ handledProps }, props)
+
+  const colors = generateColorScheme(stateAndProps.color, resolvedVariables.colorScheme)
+
+  const styleParam: ComponentStyleFunctionParam = {
+    props: stateAndProps,
+    variables: resolvedVariables,
+    theme,
+    colors,
+  }
+
+  mergedStyles.root = {
+    ...callable(mergedStyles.root)(styleParam),
+    ...animationCSSProp,
+  }
+
+  const resolvedStyles: ComponentSlotStylesPrepared = Object.keys(mergedStyles).reduce(
+    (acc, next) => ({ ...acc, [next]: callable(mergedStyles[next])(styleParam) }),
+    {},
   )
+
+  const classes: ComponentSlotClasses = getClasses(renderer, mergedStyles, styleParam)
+  classes.root = cx(className, classes.root, props.className)
+
+  const resolvedConfig: RenderResultConfig<P> = {
+    ElementType,
+    unhandledProps,
+    classes,
+    variables: resolvedVariables,
+    styles: resolvedStyles,
+    accessibility,
+    rtl,
+    theme,
+  }
+
+  if (accessibility.focusZone) {
+    return renderWithFocusZone(render, accessibility.focusZone, resolvedConfig, focusZoneRef)
+  }
+
+  return render(resolvedConfig)
 }
 
 export default renderComponent