diff --git a/packages/vite/src/node/ssr/ssrExternal.ts b/packages/vite/src/node/ssr/ssrExternal.ts
index 6c21c06ca8833b..74423748565acf 100644
--- a/packages/vite/src/node/ssr/ssrExternal.ts
+++ b/packages/vite/src/node/ssr/ssrExternal.ts
@@ -124,9 +124,22 @@ export function createIsConfiguredAsSsrExternal(
       if (!pkgName) {
         return undefined
       }
-      if (ssr.external?.includes(pkgName)) {
+      if (
+        // If this id is defined as external, force it as external
+        // Note that individual package entries are allowed in ssr.external
+        ssr.external?.includes(id)
+      ) {
         return true
       }
+      if (
+        // A package name in ssr.external externalizes every entry
+        ssr.external?.includes(pkgName)
+      ) {
+        // Return undefined here to avoid short-circuiting the isExternalizable check,
+        // that will filter this id out if it is not externalizable (e.g. a CSS file)
+        // We return here to make ssr.external take precedence over noExternal
+        return undefined
+      }
       if (typeof noExternal === 'boolean') {
         return !noExternal
       }
@@ -154,7 +167,7 @@ function createIsSsrExternal(
     isBuild: true
   }
 
-  const isValidPackageEntry = (id: string) => {
+  const isExternalizable = (id: string) => {
     if (!bareImportRE.test(id) || id.includes('\0')) {
       return false
     }
@@ -176,7 +189,7 @@ function createIsSsrExternal(
     let external = false
     if (!id.startsWith('.') && !path.isAbsolute(id)) {
       external =
-        isBuiltin(id) || (isConfiguredAsExternal(id) ?? isValidPackageEntry(id))
+        isBuiltin(id) || (isConfiguredAsExternal(id) ?? isExternalizable(id))
     }
     processedIds.set(id, external)
     return external
diff --git a/playground/ssr-deps/__tests__/ssr-deps.spec.ts b/playground/ssr-deps/__tests__/ssr-deps.spec.ts
index 1e81b5fc689486..2d1066cade3374 100644
--- a/playground/ssr-deps/__tests__/ssr-deps.spec.ts
+++ b/playground/ssr-deps/__tests__/ssr-deps.spec.ts
@@ -91,3 +91,10 @@ test('msg from optimized cjs with nested external', async () => {
     'Hello World!'
   )
 })
+
+test('msg from external using external entry', async () => {
+  await page.goto(url)
+  expect(await page.textContent('.external-using-external-entry')).toMatch(
+    'Hello World!'
+  )
+})
diff --git a/playground/ssr-deps/external-entry/entry.js b/playground/ssr-deps/external-entry/entry.js
new file mode 100644
index 00000000000000..1e211c295b64ef
--- /dev/null
+++ b/playground/ssr-deps/external-entry/entry.js
@@ -0,0 +1,9 @@
+// Module with state, to check that it is properly externalized and
+// not bundled in the optimized deps
+let msg
+export function setMessage(externalMsg) {
+  msg = externalMsg
+}
+export default function getMessage() {
+  return msg
+}
diff --git a/playground/ssr-deps/external-entry/index.js b/playground/ssr-deps/external-entry/index.js
new file mode 100644
index 00000000000000..edb72725b9e7c6
--- /dev/null
+++ b/playground/ssr-deps/external-entry/index.js
@@ -0,0 +1 @@
+export default undefined
diff --git a/playground/ssr-deps/external-entry/package.json b/playground/ssr-deps/external-entry/package.json
new file mode 100644
index 00000000000000..e2a47e1161b99e
--- /dev/null
+++ b/playground/ssr-deps/external-entry/package.json
@@ -0,0 +1,10 @@
+{
+  "name": "external-entry",
+  "private": true,
+  "version": "0.0.0",
+  "exports": {
+    ".": "./index.js",
+    "./entry": "./entry.js"
+  },
+  "type": "module"
+}
diff --git a/playground/ssr-deps/external-using-external-entry/index.js b/playground/ssr-deps/external-using-external-entry/index.js
new file mode 100644
index 00000000000000..8d0e6e15200dc6
--- /dev/null
+++ b/playground/ssr-deps/external-using-external-entry/index.js
@@ -0,0 +1,7 @@
+import getMessage from 'external-entry/entry'
+
+export default {
+  hello() {
+    return getMessage()
+  }
+}
diff --git a/playground/ssr-deps/external-using-external-entry/package.json b/playground/ssr-deps/external-using-external-entry/package.json
new file mode 100644
index 00000000000000..47f063040d55ad
--- /dev/null
+++ b/playground/ssr-deps/external-using-external-entry/package.json
@@ -0,0 +1,10 @@
+{
+  "name": "external-using-external-entry",
+  "private": true,
+  "version": "0.0.0",
+  "type": "module",
+  "main": "index.js",
+  "dependencies": {
+    "external-entry": "file:../external-entry"
+  }
+}
diff --git a/playground/ssr-deps/package.json b/playground/ssr-deps/package.json
index 20efa9753bebc9..9bf13cc84af69a 100644
--- a/playground/ssr-deps/package.json
+++ b/playground/ssr-deps/package.json
@@ -24,7 +24,9 @@
     "no-external-css": "file:./no-external-css",
     "non-optimized-with-nested-external": "file:./non-optimized-with-nested-external",
     "optimized-with-nested-external": "file:./optimized-with-nested-external",
-    "optimized-cjs-with-nested-external": "file:./optimized-with-nested-external"
+    "optimized-cjs-with-nested-external": "file:./optimized-with-nested-external",
+    "external-using-external-entry": "file:./external-using-external-entry",
+    "external-entry": "file:./external-entry"
   },
   "devDependencies": {
     "cross-env": "^7.0.3",
diff --git a/playground/ssr-deps/server.js b/playground/ssr-deps/server.js
index 32e6f0c6556509..764e5b5d8da657 100644
--- a/playground/ssr-deps/server.js
+++ b/playground/ssr-deps/server.js
@@ -35,8 +35,13 @@ export async function createServer(root = process.cwd(), hmrPort) {
     },
     appType: 'custom',
     ssr: {
-      noExternal: ['no-external-cjs', 'import-builtin-cjs', 'no-external-css'],
-      external: ['nested-external'],
+      noExternal: [
+        'no-external-cjs',
+        'import-builtin-cjs',
+        'no-external-css',
+        'external-entry'
+      ],
+      external: ['nested-external', 'external-entry/entry'],
       optimizeDeps: {
         disabled: 'build'
       }
diff --git a/playground/ssr-deps/src/app.js b/playground/ssr-deps/src/app.js
index 26df58bde7439d..509c6de7ee4c36 100644
--- a/playground/ssr-deps/src/app.js
+++ b/playground/ssr-deps/src/app.js
@@ -20,6 +20,10 @@ import 'non-optimized-with-nested-external'
 import optimizedWithNestedExternal from 'optimized-with-nested-external'
 import optimizedCjsWithNestedExternal from 'optimized-cjs-with-nested-external'
 
+import { setMessage } from 'external-entry/entry'
+setMessage('Hello World!')
+import externalUsingExternalEntry from 'external-using-external-entry'
+
 export async function render(url, rootDir) {
   let html = ''
 
@@ -68,5 +72,8 @@ export async function render(url, rootDir) {
     optimizedCjsWithNestedExternal.hello()
   html += `\n<p class="optimized-cjs-with-nested-external">message from optimized-cjs-with-nested-external: ${optimizedCjsWithNestedExternalMessage}</p>`
 
+  const externalUsingExternalEntryMessage = externalUsingExternalEntry.hello()
+  html += `\n<p class="external-using-external-entry">message from external-using-external-entry: ${externalUsingExternalEntryMessage}</p>`
+
   return html + '\n'
 }
diff --git a/pnpm-lock.yaml b/pnpm-lock.yaml
index e44a3b5c9ce24a..5e568e34d60eb8 100644
--- a/pnpm-lock.yaml
+++ b/pnpm-lock.yaml
@@ -903,6 +903,8 @@ importers:
       define-properties-exports: file:./define-properties-exports
       define-property-exports: file:./define-property-exports
       express: ^4.18.1
+      external-entry: file:./external-entry
+      external-using-external-entry: file:./external-using-external-entry
       forwarded-export: file:./forwarded-export
       import-builtin-cjs: file:./import-builtin-cjs
       no-external-cjs: file:./no-external-cjs
@@ -920,6 +922,8 @@ importers:
       bcrypt: 5.0.1
       define-properties-exports: file:playground/ssr-deps/define-properties-exports
       define-property-exports: file:playground/ssr-deps/define-property-exports
+      external-entry: file:playground/ssr-deps/external-entry
+      external-using-external-entry: file:playground/ssr-deps/external-using-external-entry
       forwarded-export: file:playground/ssr-deps/forwarded-export
       import-builtin-cjs: file:playground/ssr-deps/import-builtin-cjs
       no-external-cjs: file:playground/ssr-deps/no-external-cjs
@@ -943,6 +947,15 @@ importers:
   playground/ssr-deps/define-property-exports:
     specifiers: {}
 
+  playground/ssr-deps/external-entry:
+    specifiers: {}
+
+  playground/ssr-deps/external-using-external-entry:
+    specifiers:
+      external-entry: file:../external-entry
+    dependencies:
+      external-entry: file:playground/ssr-deps/external-entry
+
   playground/ssr-deps/forwarded-export:
     specifiers:
       object-assigned-exports: file:../object-assigned-exports
@@ -9032,6 +9045,20 @@ packages:
     version: 0.0.0
     dev: false
 
+  file:playground/ssr-deps/external-entry:
+    resolution: {directory: playground/ssr-deps/external-entry, type: directory}
+    name: external-entry
+    version: 0.0.0
+    dev: false
+
+  file:playground/ssr-deps/external-using-external-entry:
+    resolution: {directory: playground/ssr-deps/external-using-external-entry, type: directory}
+    name: external-using-external-entry
+    version: 0.0.0
+    dependencies:
+      external-entry: file:playground/ssr-deps/external-entry
+    dev: false
+
   file:playground/ssr-deps/forwarded-export:
     resolution: {directory: playground/ssr-deps/forwarded-export, type: directory}
     name: forwarded-export