diff --git a/e2e/react/src/react.test.ts b/e2e/react/src/react.test.ts
index 671fa16c3ae289..96f2e1a78c9ba4 100644
--- a/e2e/react/src/react.test.ts
+++ b/e2e/react/src/react.test.ts
@@ -50,6 +50,17 @@ describe('React Applications', () => {
       `
     );
 
+    // Make sure global stylesheets are properly processed.
+    const stylesPath = `apps/${appName}/src/styles.css`;
+    updateFile(
+      stylesPath,
+      `
+        .foobar {
+          background-image: url('/bg.png');
+        }
+      `
+    );
+
     const libTestResults = await runCLIAsync(`test ${libName}`);
     expect(libTestResults.combinedOutput).toContain(
       'Test Suites: 1 passed, 1 total'
diff --git a/packages/webpack/src/utils/with-web.ts b/packages/webpack/src/utils/with-web.ts
index 586891251038d7..bad0e5080cebeb 100644
--- a/packages/webpack/src/utils/with-web.ts
+++ b/packages/webpack/src/utils/with-web.ts
@@ -214,35 +214,78 @@ export function withWeb() {
       },
     ];
 
-    const rules: RuleSetRule[] = [
+    const globalStyleRules: RuleSetRule[] = [
       {
-        test: /\.css$|\.scss$|\.sass$|\.less$|\.styl$/,
-        oneOf: [
-          ...cssModuleRules,
-          ...globalCssRules,
-          // load global css as css files
+        test: /\.css$/,
+        use: getCommonLoadersForGlobalStyle(options, includePaths),
+      },
+      {
+        test: /\.scss$|\.sass$/,
+        use: [
+          ...getCommonLoadersForGlobalStyle(options, includePaths),
+          {
+            loader: require.resolve('sass-loader'),
+            options: {
+              implementation: require('sass'),
+              sourceMap: options.sourceMap,
+              sassOptions: {
+                fiber: false,
+                // bootstrap-sass requires a minimum precision of 8
+                precision: 8,
+                includePaths,
+              },
+            },
+          },
+        ],
+      },
+      {
+        test: /\.less$/,
+        use: [
+          ...getCommonLoadersForGlobalStyle(options, includePaths),
           {
-            test: /\.css$|\.scss$|\.sass$|\.less$|\.styl$/,
-            include: globalStylePaths,
-            use: [
-              {
-                loader: MiniCssExtractPlugin.loader,
-                options: { esModule: true },
+            loader: require.resolve('less-loader'),
+            options: {
+              sourceMap: options.sourceMap,
+              lessOptions: {
+                javascriptEnabled: true,
+                ...lessPathOptions,
               },
-              { loader: require.resolve('css-loader') },
-              {
-                loader: require.resolve('postcss-loader'),
-                options: {
-                  implementation: require('postcss'),
-                  postcssOptions: postcssOptionsCreator(options, includePaths),
-                },
+            },
+          },
+        ],
+      },
+      {
+        test: /\.styl$/,
+        use: [
+          ...getCommonLoadersForGlobalStyle(options, includePaths),
+          {
+            loader: require.resolve('stylus-loader'),
+            options: {
+              sourceMap: options.sourceMap,
+              stylusOptions: {
+                include: includePaths,
               },
-            ],
+            },
           },
         ],
       },
     ];
 
+    const rules: RuleSetRule[] = [
+      // CSS Module and global CSS stylesheets used in .ts, .tsx files.
+      {
+        test: /\.css$|\.scss$|\.sass$|\.less$|\.styl$/,
+        exclude: globalStylePaths,
+        oneOf: [...cssModuleRules, ...globalCssRules],
+      },
+      // Global stylesheets included in `styles` option of webpack executor.
+      {
+        test: /\.css$|\.scss$|\.sass$|\.less$|\.styl$/,
+        include: globalStylePaths,
+        oneOf: globalStyleRules,
+      },
+    ];
+
     plugins.push(
       // extract global css from js files into own css file
       new MiniCssExtractPlugin({
@@ -305,7 +348,6 @@ export function withWeb() {
       ...config.module,
       rules: [
         ...(config.module.rules ?? []),
-        ...rules,
         {
           test: /\.(bmp|png|jpe?g|gif|webp|avif)$/,
           type: 'asset',
@@ -322,6 +364,7 @@ export function withWeb() {
             name: `[name]${hashFormat.file}.[ext]`,
           },
         },
+        ...rules,
       ],
     };
     processed.add(config);
@@ -432,6 +475,26 @@ function getCommonLoadersForGlobalCss(
   ];
 }
 
+function getCommonLoadersForGlobalStyle(
+  options: NormalizedWebpackExecutorOptions,
+  includePaths: string[]
+) {
+  return [
+    {
+      loader: MiniCssExtractPlugin.loader,
+      options: { esModule: true },
+    },
+    { loader: require.resolve('css-loader'), options: { url: false } },
+    {
+      loader: require.resolve('postcss-loader'),
+      options: {
+        implementation: require('postcss'),
+        postcssOptions: postcssOptionsCreator(options, includePaths),
+      },
+    },
+  ];
+}
+
 function postcssOptionsCreator(
   options: NormalizedWebpackExecutorOptions,
   includePaths: string[]