diff --git a/e2e/js/src/js-swc.test.ts b/e2e/js/src/js-swc.test.ts
index d1edd859410fc3..e9dc8087b8b372 100644
--- a/e2e/js/src/js-swc.test.ts
+++ b/e2e/js/src/js-swc.test.ts
@@ -135,7 +135,7 @@ export function x() {
     // update .swcrc to use path mappings
     updateJson(`libs/${lib}/.swcrc`, (json) => {
       json.jsc.paths = {
-        'src/*': ['src/*'],
+        '~/*': ['src/*'],
       };
       return json;
     });
@@ -144,7 +144,7 @@ export function x() {
     updateFile(`libs/${lib}/src/lib/${lib}.ts`, () => {
       return `
 // @ts-ignore
-import { x } from 'src/x';
+import { x } from '~/x';
 
 export function myLib() {
   console.log(x());
@@ -154,8 +154,8 @@ myLib();
   `;
     });
 
-    // now run build
-    runCLI(`build ${lib}`);
+    // now run build without type checking (since we're using path mappings not in tsconfig)
+    runCLI(`build ${lib} --skipTypeCheck`);
 
     // invoke the lib with node
     const result = execSync(`node dist/libs/${lib}/src/lib/${lib}.js`, {
diff --git a/packages/js/src/executors/swc/swc.impl.ts b/packages/js/src/executors/swc/swc.impl.ts
index 4bb1a4056081dd..b371564ba4936c 100644
--- a/packages/js/src/executors/swc/swc.impl.ts
+++ b/packages/js/src/executors/swc/swc.impl.ts
@@ -76,7 +76,7 @@ export function normalizeOptions(
       swcrcContent.jsc.paths &&
       !swcrcContent.jsc.baseUrl
     ) {
-      swcrcContent.jsc.baseUrl = `./${projectDir}`;
+      swcrcContent.jsc.baseUrl = `.`;
       swcrcPath = getSwcrcPath(options, contextRoot, projectRoot, true);
       writeJsonFile(swcrcPath, swcrcContent);
     }
diff --git a/packages/js/src/utils/swc/compile-swc.ts b/packages/js/src/utils/swc/compile-swc.ts
index aa441ad9f8dd61..61edec414dc431 100644
--- a/packages/js/src/utils/swc/compile-swc.ts
+++ b/packages/js/src/utils/swc/compile-swc.ts
@@ -10,7 +10,7 @@ function getSwcCmd(
   { swcrcPath, srcPath, destPath }: SwcCliOptions,
   watch = false
 ) {
-  let swcCmd = `npx swc ${srcPath} -d ${destPath} --no-swcrc --config-file=${swcrcPath}`;
+  let swcCmd = `npx swc ${srcPath} -d ${destPath} --config-file=${swcrcPath}`;
   return watch ? swcCmd.concat(' --watch') : swcCmd;
 }