diff --git a/subprojects/dependency-management/src/integTest/groovy/org/gradle/integtests/resolve/ModuleDependencyExcludeResolveIntegrationTest.groovy b/subprojects/dependency-management/src/integTest/groovy/org/gradle/integtests/resolve/ModuleDependencyExcludeResolveIntegrationTest.groovy
index 923899b5e3d4..825254668448 100644
--- a/subprojects/dependency-management/src/integTest/groovy/org/gradle/integtests/resolve/ModuleDependencyExcludeResolveIntegrationTest.groovy
+++ b/subprojects/dependency-management/src/integTest/groovy/org/gradle/integtests/resolve/ModuleDependencyExcludeResolveIntegrationTest.groovy
@@ -542,4 +542,73 @@ task check(type: Sync) {
             }
         }
     }
+
+
+    /**
+     * In the project, dependency `c` will be rewritten to dependency `b`.
+     * If we exclude dependency b, both the direct request dependency `b`
+     * and the dependency rewritten from `c` will be excluded
+     * with their transitive dependencies.
+     *
+     * Dependency graph:
+     * a -> b, c, f, g
+     * b -> d
+     * c -> e
+     *
+     * Exclude is applied to configuration conf
+     */
+    def "ensure renamed dependencies are exclude correctly"() {
+        given:
+        buildFile << """
+configurations {
+    conf {
+        exclude group: 'b', module: 'b'
+        resolutionStrategy {
+            dependencySubstitution {
+                all {
+                    if (it.requested instanceof ModuleComponentSelector) {
+                        if (it.requested.group == 'c' && it.requested.module == 'c') {
+                            it.useTarget group: 'b', name: 'b', version: '1.0'
+                        }
+                    }
+                }
+            }
+        }
+    }
+}
+"""
+
+        def expectResolved = ['a', 'f', 'g']
+        repository {
+            'a:a:1.0' {
+                dependsOn 'b:b:1.0'
+                dependsOn 'c:c:1.0'
+                dependsOn 'f:f:1.0'
+                dependsOn 'g:g:1.0'
+            }
+            'b:b:1.0' {
+                dependsOn 'd:d:1.0'
+            }
+            'c:c:1.0' {
+                dependsOn 'e:e:1.0'
+            }
+            'd:d:1.0'()
+            'e:e:1.0'()
+            'f:f:1.0'()
+            'g:g:1.0'()
+        }
+
+        repositoryInteractions {
+            expectResolved.each {
+                "${it}:${it}:1.0" { expectResolve() }
+            }
+        }
+
+        when:
+        succeedsDependencyResolution()
+
+        then:
+        def resolvedJars = expectResolved.collect { it + '-1.0.jar'}
+        assertResolvedFiles(resolvedJars)
+    }
 }
diff --git a/subprojects/dependency-management/src/main/java/org/gradle/api/internal/artifacts/ivyservice/resolveengine/graph/builder/NodeState.java b/subprojects/dependency-management/src/main/java/org/gradle/api/internal/artifacts/ivyservice/resolveengine/graph/builder/NodeState.java
index e27b3f3b4de9..a0bb4309568c 100644
--- a/subprojects/dependency-management/src/main/java/org/gradle/api/internal/artifacts/ivyservice/resolveengine/graph/builder/NodeState.java
+++ b/subprojects/dependency-management/src/main/java/org/gradle/api/internal/artifacts/ivyservice/resolveengine/graph/builder/NodeState.java
@@ -432,7 +432,6 @@ private void visitDependencies(ExcludeSpec resolutionFilter, Collection<EdgeStat
         try {
             collectAncestorsStrictVersions(incomingEdges);
             for (DependencyState dependencyState : dependencies(resolutionFilter)) {
-                dependencyState = maybeSubstitute(dependencyState, resolveState.getDependencySubstitutionApplicator());
                 PendingDependenciesVisitor.PendingState pendingState = pendingDepsVisitor.maybeAddAsPendingDependency(this, dependencyState);
                 if (dependencyState.getDependency().isConstraint()) {
                     registerActivatingConstraint(dependencyState);
@@ -505,6 +504,11 @@ private List<DependencyState> cacheFilteredDependencyStates(ExcludeSpec spec, Li
         }
         List<DependencyState> tmp = Lists.newArrayListWithCapacity(from.size());
         for (DependencyState dependencyState : from) {
+            if (isExcluded(spec, dependencyState)) {
+                continue;
+            }
+            dependencyState = maybeSubstitute(dependencyState, resolveState.getDependencySubstitutionApplicator());
+
             if (!isExcluded(spec, dependencyState)) {
                 tmp.add(dependencyState);
             }