diff --git a/packages/schematics/angular/library/files/src/__entryFile__.ts.template b/packages/schematics/angular/library/files/src/__entryFile__.ts.template
index b4d46cdc0330..d88dc4f34551 100644
--- a/packages/schematics/angular/library/files/src/__entryFile__.ts.template
+++ b/packages/schematics/angular/library/files/src/__entryFile__.ts.template
@@ -3,5 +3,5 @@
  */
 
 export * from './lib/<%= dasherize(name) %>.service';
-export * from './lib/<%= dasherize(name) %>.component';
-export * from './lib/<%= dasherize(name) %>.module';
+export * from './lib/<%= dasherize(name) %>.component';<% if (!standalone) { %>
+export * from './lib/<%= dasherize(name) %>.module';<% } %>
diff --git a/packages/schematics/angular/library/index.ts b/packages/schematics/angular/library/index.ts
index 9101741bdbfd..ffe13689ac80 100644
--- a/packages/schematics/angular/library/index.ts
+++ b/packages/schematics/angular/library/index.ts
@@ -165,13 +165,15 @@ export default function (options: LibraryOptions): Rule {
       addLibToWorkspaceFile(options, libDir, packageName),
       options.skipPackageJson ? noop() : addDependenciesToPackageJson(),
       options.skipTsConfig ? noop() : updateTsConfig(packageName, distRoot),
-      schematic('module', {
-        name: options.name,
-        commonModule: false,
-        flat: true,
-        path: sourceDir,
-        project: packageName,
-      }),
+      options.standalone
+        ? noop()
+        : schematic('module', {
+            name: options.name,
+            commonModule: false,
+            flat: true,
+            path: sourceDir,
+            project: packageName,
+          }),
       schematic('component', {
         name: options.name,
         selector: `${prefix}-${options.name}`,
@@ -180,6 +182,7 @@ export default function (options: LibraryOptions): Rule {
         flat: true,
         path: sourceDir,
         export: true,
+        standalone: options.standalone,
         project: packageName,
       }),
       schematic('service', {
diff --git a/packages/schematics/angular/library/index_spec.ts b/packages/schematics/angular/library/index_spec.ts
index 31eea5d84afc..dcfa251de67b 100644
--- a/packages/schematics/angular/library/index_spec.ts
+++ b/packages/schematics/angular/library/index_spec.ts
@@ -390,4 +390,51 @@ describe('Library Schematic', () => {
       '@angular-devkit/build-angular:ng-packagr',
     );
   });
+
+  describe('standalone', () => {
+    const defaultStandaloneOptions = { ...defaultOptions, standalone: true };
+
+    it('should create correct files', async () => {
+      const tree = await schematicRunner.runSchematic(
+        'library',
+        defaultStandaloneOptions,
+        workspaceTree,
+      );
+
+      const files = tree.files;
+      expect(files).toEqual(
+        jasmine.arrayContaining([
+          '/projects/foo/ng-package.json',
+          '/projects/foo/package.json',
+          '/projects/foo/README.md',
+          '/projects/foo/tsconfig.lib.json',
+          '/projects/foo/tsconfig.lib.prod.json',
+          '/projects/foo/src/my-index.ts',
+          '/projects/foo/src/lib/foo.component.spec.ts',
+          '/projects/foo/src/lib/foo.component.ts',
+          '/projects/foo/src/lib/foo.service.spec.ts',
+          '/projects/foo/src/lib/foo.service.ts',
+        ]),
+      );
+    });
+
+    it('should not add reference to module file in entry-file', async () => {
+      const tree = await schematicRunner.runSchematic(
+        'library',
+        defaultStandaloneOptions,
+        workspaceTree,
+      );
+      expect(tree.readContent('/projects/foo/src/my-index.ts')).not.toContain('foo.module');
+    });
+
+    it('should create a standalone component', async () => {
+      const tree = await schematicRunner.runSchematic(
+        'library',
+        defaultStandaloneOptions,
+        workspaceTree,
+      );
+      const componentContent = tree.readContent('/projects/foo/src/lib/foo.component.ts');
+      expect(componentContent).toContain('standalone: true');
+    });
+  });
 });
diff --git a/packages/schematics/angular/library/schema.json b/packages/schematics/angular/library/schema.json
index 95c97f1732d4..4d6638f04937 100644
--- a/packages/schematics/angular/library/schema.json
+++ b/packages/schematics/angular/library/schema.json
@@ -47,6 +47,12 @@
     "projectRoot": {
       "type": "string",
       "description": "The root directory of the new library."
+    },
+    "standalone": {
+      "description": "Creates a library based upon the standalone API, without NgModules.",
+      "type": "boolean",
+      "default": false,
+      "x-user-analytics": "ep.ng_standalone"
     }
   },
   "required": ["name"]
diff --git a/tests/legacy-cli/e2e/tests/generate/library/library-basic.ts b/tests/legacy-cli/e2e/tests/generate/library/library-basic.ts
new file mode 100644
index 000000000000..efc74694ea00
--- /dev/null
+++ b/tests/legacy-cli/e2e/tests/generate/library/library-basic.ts
@@ -0,0 +1,9 @@
+import { ng } from '../../../utils/process';
+import { useCIChrome } from '../../../utils/project';
+
+export default async function () {
+  await ng('generate', 'library', 'lib-ngmodule', '--no-standalone');
+  await useCIChrome('lib-ngmodule', 'projects/lib-ngmodule');
+  await ng('test', 'lib-ngmodule', '--no-watch');
+  await ng('build', 'lib-ngmodule');
+}
diff --git a/tests/legacy-cli/e2e/tests/generate/library/library-standalone.ts b/tests/legacy-cli/e2e/tests/generate/library/library-standalone.ts
new file mode 100644
index 000000000000..0b9754644bf5
--- /dev/null
+++ b/tests/legacy-cli/e2e/tests/generate/library/library-standalone.ts
@@ -0,0 +1,9 @@
+import { ng } from '../../../utils/process';
+import { useCIChrome } from '../../../utils/project';
+
+export default async function () {
+  await ng('generate', 'library', 'lib-standalone', '--standalone');
+  await useCIChrome('lib-standalone', 'projects/lib-standalone');
+  await ng('test', 'lib-standalone', '--no-watch');
+  await ng('build', 'lib-standalone');
+}