diff --git a/docs/generated/api-angular/executors/webpack-browser.md b/docs/generated/api-angular/executors/webpack-browser.md
index 2bfb92651d58c..e6d4e735cc438 100644
--- a/docs/generated/api-angular/executors/webpack-browser.md
+++ b/docs/generated/api-angular/executors/webpack-browser.md
@@ -69,6 +69,14 @@ Type: `array`
 
 Budget thresholds to ensure parts of your application stay within boundaries which you set.
 
+### buildLibsFromSource
+
+Default: `true`
+
+Type: `boolean`
+
+Read buildable libraries from source instead of building them separately.
+
 ### buildOptimizer
 
 Default: `true`
diff --git a/docs/shared/guides/setup-incremental-builds-angular.md b/docs/shared/guides/setup-incremental-builds-angular.md
index a9e5a77a065a7..dcc8c57d0f6ce 100644
--- a/docs/shared/guides/setup-incremental-builds-angular.md
+++ b/docs/shared/guides/setup-incremental-builds-angular.md
@@ -67,7 +67,10 @@ Change your Angular app’s “build” target executor to `@nrwl/angular:webpac
         "build": {
             "executor": "@nrwl/angular:webpack-browser",
             "outputs": ["{options.outputPath}"],
-            "options": { ... },
+            "options": {
+                "buildLibsFromSource": false
+                ...
+            },
             "configurations": { ... },
             "defaultConfiguration": "production"
         },
@@ -111,7 +114,10 @@ Note: you can specify the `--parallel` flags as part of the options property on
         "build": {
             "executor": "@nrwl/angular:webpack-browser",
             "outputs": ["{options.outputPath}"],
-            "options": { ... },
+            "options": {
+                "buildLibsFromSource": false
+                ...
+            },
             "configurations": { ... }
         },
         "serve": {
diff --git a/e2e/angular-core/src/projects.test.ts b/e2e/angular-core/src/projects.test.ts
index 7205c238ecd7e..f668c04819b4e 100644
--- a/e2e/angular-core/src/projects.test.ts
+++ b/e2e/angular-core/src/projects.test.ts
@@ -155,6 +155,10 @@ describe('Angular Projects', () => {
     // update the angular.json
     updateProjectConfig(app, (config) => {
       config.targets.build.executor = '@nrwl/angular:webpack-browser';
+      config.targets.build.options = {
+        ...config.targets.build.options,
+        buildLibsFromSource: false,
+      };
       return config;
     });
 
diff --git a/e2e/angular-extensions/src/tailwind.test.ts b/e2e/angular-extensions/src/tailwind.test.ts
index 1bfc4ce260dbc..ceb6d4780e21d 100644
--- a/e2e/angular-extensions/src/tailwind.test.ts
+++ b/e2e/angular-extensions/src/tailwind.test.ts
@@ -9,6 +9,7 @@ import {
   runCLI,
   uniq,
   updateFile,
+  updateProjectConfig,
 } from '@nrwl/e2e/utils';
 
 describe('Tailwind support', () => {
@@ -357,6 +358,14 @@ describe('Tailwind support', () => {
       runCLI(
         `generate @nrwl/angular:app ${appWithTailwind} --add-tailwind --no-interactive`
       );
+      updateProjectConfig(appWithTailwind, (config) => {
+        config.targets.build.executor = '@nrwl/angular:webpack-browser';
+        config.targets.build.options = {
+          ...config.targets.build.options,
+          buildLibsFromSource: false,
+        };
+        return config;
+      });
       updateTailwindConfig(
         `apps/${appWithTailwind}/tailwind.config.js`,
         spacing.projectVariant1
diff --git a/packages/angular/migrations.json b/packages/angular/migrations.json
index d573a291a33be..aac9dd1bb7c3a 100644
--- a/packages/angular/migrations.json
+++ b/packages/angular/migrations.json
@@ -156,6 +156,12 @@
       "version": "13.8.4",
       "description": "Karma coverage is broken since Angular 13 upgarde and the karma config is severely out of date. Bring it up to date fixing the coverage issue.",
       "factory": "./src/migrations/update-13-8-4/migrate-karma-conf"
+    },
+    "set-build-libs-from-source": {
+      "cli": "nx",
+      "version": "13.9.0-beta.4",
+      "description": "Set buildLibsFromSource property to false to not break existing usage.",
+      "factory": "./src/migrations/update-13-9-0/set-build-libs-from-source"
     }
   },
   "packageJsonUpdates": {
diff --git a/packages/angular/src/builders/webpack-browser/schema.json b/packages/angular/src/builders/webpack-browser/schema.json
index ee2e5ea16da91..1e5049445b2b4 100644
--- a/packages/angular/src/builders/webpack-browser/schema.json
+++ b/packages/angular/src/builders/webpack-browser/schema.json
@@ -371,6 +371,11 @@
         }
       },
       "additionalProperties": false
+    },
+    "buildLibsFromSource": {
+      "type": "boolean",
+      "description": "Read buildable libraries from source instead of building them separately.",
+      "default": true
     }
   },
   "additionalProperties": false,
diff --git a/packages/angular/src/builders/webpack-browser/webpack-browser.impl.ts b/packages/angular/src/builders/webpack-browser/webpack-browser.impl.ts
index 4a822aff59175..e2a41906e9340 100644
--- a/packages/angular/src/builders/webpack-browser/webpack-browser.impl.ts
+++ b/packages/angular/src/builders/webpack-browser/webpack-browser.impl.ts
@@ -12,10 +12,11 @@ import {
   calculateProjectDependencies,
   checkDependentProjectsHaveBeenBuilt,
   createTmpTsConfig,
+  DependentBuildableProjectNode,
 } from '@nrwl/workspace/src/utilities/buildable-libs-utils';
 import { existsSync } from 'fs';
 import { join } from 'path';
-import { from, Observable, of } from 'rxjs';
+import { Observable, of } from 'rxjs';
 import { switchMap } from 'rxjs/operators';
 import { merge } from 'webpack-merge';
 import { resolveCustomWebpackConfig } from '../utilities/webpack';
@@ -24,13 +25,15 @@ export type BrowserBuilderSchema = Schema & {
   customWebpackConfig?: {
     path: string;
   };
+  buildLibsFromSource?: boolean;
 };
 
 function buildApp(
   options: BrowserBuilderSchema,
   context: BuilderContext
 ): Observable<BuilderOutput> {
-  const { customWebpackConfig, ...delegateOptions } = options;
+  const { buildLibsFromSource, customWebpackConfig, ...delegateOptions } =
+    options;
   // If there is a path to custom webpack config
   // Invoke our own support for custom webpack config
   if (customWebpackConfig && customWebpackConfig.path) {
@@ -91,29 +94,37 @@ function run(
   options: BrowserBuilderSchema,
   context: BuilderContext
 ): Observable<BuilderOutput> {
-  const { target, dependencies } = calculateProjectDependencies(
-    readCachedProjectGraph(),
-    context.workspaceRoot,
-    context.target.project,
-    context.target.target,
-    context.target.configuration
-  );
-
-  options.tsConfig = createTmpTsConfig(
-    join(context.workspaceRoot, options.tsConfig),
-    context.workspaceRoot,
-    target.data.root,
-    dependencies
-  );
-  process.env.NX_TSCONFIG_PATH = options.tsConfig;
+  options.buildLibsFromSource ??= true;
+  let dependencies: DependentBuildableProjectNode[];
 
-  return of(
-    checkDependentProjectsHaveBeenBuilt(
+  if (!options.buildLibsFromSource) {
+    const result = calculateProjectDependencies(
+      readCachedProjectGraph(),
       context.workspaceRoot,
       context.target.project,
       context.target.target,
+      context.target.configuration
+    );
+    dependencies = result.dependencies;
+
+    options.tsConfig = createTmpTsConfig(
+      join(context.workspaceRoot, options.tsConfig),
+      context.workspaceRoot,
+      result.target.data.root,
       dependencies
-    )
+    );
+  }
+  process.env.NX_TSCONFIG_PATH = options.tsConfig;
+
+  return of(
+    !options.buildLibsFromSource
+      ? checkDependentProjectsHaveBeenBuilt(
+          context.workspaceRoot,
+          context.target.project,
+          context.target.target,
+          dependencies
+        )
+      : true
   ).pipe(
     switchMap((result) => {
       if (result) {
diff --git a/packages/angular/src/migrations/update-13-9-0/set-build-libs-from-source.spec.ts b/packages/angular/src/migrations/update-13-9-0/set-build-libs-from-source.spec.ts
new file mode 100644
index 0000000000000..74f345e1b4dfa
--- /dev/null
+++ b/packages/angular/src/migrations/update-13-9-0/set-build-libs-from-source.spec.ts
@@ -0,0 +1,63 @@
+import {
+  addProjectConfiguration,
+  ProjectConfiguration,
+  readProjectConfiguration,
+  Tree,
+} from '@nrwl/devkit';
+import { createTreeWithEmptyWorkspace } from '@nrwl/devkit/testing';
+import migration from './set-build-libs-from-source';
+
+describe('set-build-libs-from-source migration', () => {
+  let tree: Tree;
+
+  beforeEach(() => {
+    tree = createTreeWithEmptyWorkspace(2);
+  });
+
+  it('should not error when project does not have targets', async () => {
+    addProjectConfiguration(tree, 'app1', { root: 'apps/app1' });
+
+    await expect(migration(tree)).resolves.not.toThrow();
+  });
+
+  it('should not update when not using the @nrwl/angular:webpack-browser executor', async () => {
+    const project: ProjectConfiguration = {
+      root: 'apps/app1',
+      targets: { build: { executor: '@nrwl/angular:package' } },
+    };
+    addProjectConfiguration(tree, 'app1', project);
+
+    await migration(tree);
+
+    const resultingProject = readProjectConfiguration(tree, 'app1');
+    expect(project).toStrictEqual(resultingProject);
+  });
+
+  it('should set buildLibsFromSource to false', async () => {
+    addProjectConfiguration(tree, 'app1', {
+      root: 'apps/app1',
+      targets: { build: { executor: '@nrwl/angular:webpack-browser' } },
+    });
+
+    await migration(tree);
+
+    const project = readProjectConfiguration(tree, 'app1');
+    expect(project.targets.build.options).toStrictEqual({
+      buildLibsFromSource: false,
+    });
+  });
+
+  it('should support any target name using @nrwl/angular:webpack-browser', async () => {
+    addProjectConfiguration(tree, 'app1', {
+      root: 'apps/app1',
+      targets: { 'build-base': { executor: '@nrwl/angular:webpack-browser' } },
+    });
+
+    await migration(tree);
+
+    const project = readProjectConfiguration(tree, 'app1');
+    expect(project.targets['build-base'].options).toStrictEqual({
+      buildLibsFromSource: false,
+    });
+  });
+});
diff --git a/packages/angular/src/migrations/update-13-9-0/set-build-libs-from-source.ts b/packages/angular/src/migrations/update-13-9-0/set-build-libs-from-source.ts
new file mode 100644
index 0000000000000..debff18cc6cfe
--- /dev/null
+++ b/packages/angular/src/migrations/update-13-9-0/set-build-libs-from-source.ts
@@ -0,0 +1,30 @@
+import {
+  formatFiles,
+  getProjects,
+  Tree,
+  updateProjectConfiguration,
+} from '@nrwl/devkit';
+
+export default async function (tree: Tree) {
+  const projects = getProjects(tree);
+
+  for (const [projectName, project] of projects) {
+    if (!project.targets) {
+      continue;
+    }
+
+    let shouldUpdate = false;
+    Object.values(project.targets).forEach((target) => {
+      if (target.executor === '@nrwl/angular:webpack-browser') {
+        shouldUpdate = true;
+        target.options = { ...target.options, buildLibsFromSource: false };
+      }
+    });
+
+    if (shouldUpdate) {
+      updateProjectConfiguration(tree, projectName, project);
+    }
+  }
+
+  await formatFiles(tree);
+}