diff --git a/mypyc/codegen/emit.py b/mypyc/codegen/emit.py
index 778e14355d68..34837a73adbd 100644
--- a/mypyc/codegen/emit.py
+++ b/mypyc/codegen/emit.py
@@ -23,7 +23,7 @@
     TYPE_PREFIX,
 )
 from mypyc.ir.class_ir import ClassIR, all_concrete_classes
-from mypyc.ir.func_ir import FuncDecl, FuncIR, get_text_signature
+from mypyc.ir.func_ir import FUNC_STATICMETHOD, FuncDecl, FuncIR, get_text_signature
 from mypyc.ir.ops import BasicBlock, Value
 from mypyc.ir.rtypes import (
     RInstance,
@@ -1222,10 +1222,11 @@ def emit_cpyfunction_instance(
         cfunc = f"(PyCFunction){cname}"
         func_flags = "METH_FASTCALL | METH_KEYWORDS"
         doc = f"PyDoc_STR({native_function_doc_initializer(fn)})"
+        has_self_arg = "true" if fn.class_name and fn.decl.kind != FUNC_STATICMETHOD else "false"
 
         code_flags = "CO_COROUTINE"
         self.emit_line(
-            f'PyObject* {wrapper_name} = CPyFunction_New({module}, "{filepath}", "{name}", {cfunc}, {func_flags}, {doc}, {fn.line}, {code_flags});'
+            f'PyObject* {wrapper_name} = CPyFunction_New({module}, "{filepath}", "{name}", {cfunc}, {func_flags}, {doc}, {fn.line}, {code_flags}, {has_self_arg});'
         )
         self.emit_line(f"if (unlikely(!{wrapper_name}))")
         self.emit_line(error_stmt)
diff --git a/mypyc/lib-rt/CPy.h b/mypyc/lib-rt/CPy.h
index 5526508f5aca..a46a1d2df332 100644
--- a/mypyc/lib-rt/CPy.h
+++ b/mypyc/lib-rt/CPy.h
@@ -971,7 +971,7 @@ typedef struct {
 
 PyObject* CPyFunction_New(PyObject *module, const char *filename, const char *funcname,
                           PyCFunction func, int func_flags, const char *func_doc,
-                          int first_line, int code_flags);
+                          int first_line, int code_flags, bool has_self_arg);
 PyObject* CPyFunction_get_name(PyObject *op, void *context);
 int CPyFunction_set_name(PyObject *op, PyObject *value, void *context);
 PyObject* CPyFunction_get_code(PyObject *op, void *context);
diff --git a/mypyc/lib-rt/function_wrapper.c b/mypyc/lib-rt/function_wrapper.c
index 578e4870968d..8348168776c2 100644
--- a/mypyc/lib-rt/function_wrapper.c
+++ b/mypyc/lib-rt/function_wrapper.c
@@ -177,16 +177,21 @@ static PyObject* CPyFunction_Vectorcall(PyObject *func, PyObject *const *args, s
     PyCFunction meth = ((PyCFunctionObject *)f)->m_ml->ml_meth;
 
     self = ((PyCFunctionObject *)f)->m_self;
+    if (!self) {
+        self = args[0];
+        args += 1;
+        nargs -= 1;
+    }
     return ((_PyCFunctionFastWithKeywords)(void(*)(void))meth)(self, args, nargs, kwnames);
 }
 
 
 static CPyFunction* CPyFunction_Init(CPyFunction *op, PyMethodDef *ml, PyObject* name,
-                                     PyObject *module, PyObject* code) {
+                                     PyObject *module, PyObject* code, bool set_self) {
     PyCFunctionObject *cf = (PyCFunctionObject *)op;
     CPyFunction_weakreflist(op) = NULL;
     cf->m_ml = ml;
-    cf->m_self = (PyObject *) op;
+    cf->m_self = set_self ? (PyObject *) op : NULL;
 
     Py_XINCREF(module);
     cf->m_module = module;
@@ -226,9 +231,10 @@ static PyMethodDef* CPyMethodDef_New(const char *name, PyCFunction func, int fla
 
 PyObject* CPyFunction_New(PyObject *module, const char *filename, const char *funcname,
                           PyCFunction func, int func_flags, const char *func_doc,
-                          int first_line, int code_flags) {
+                          int first_line, int code_flags, bool has_self_arg) {
     PyMethodDef *method = NULL;
     PyObject *code = NULL, *op = NULL;
+    bool set_self = false;
 
     if (!CPyFunctionType) {
         CPyFunctionType = (PyTypeObject *)PyType_FromSpec(&CPyFunction_spec);
@@ -245,8 +251,15 @@ PyObject* CPyFunction_New(PyObject *module, const char *filename, const char *fu
     if (unlikely(!code)) {
         goto err;
     }
+
+    // Set m_self inside the function wrapper only if the wrapped function has no self arg
+    // to pass m_self as the self arg when the function is called.
+    // When the function has a self arg, it will come in the args vector passed to the
+    // vectorcall handler.
+    set_self = !has_self_arg;
     op = (PyObject *)CPyFunction_Init(PyObject_GC_New(CPyFunction, CPyFunctionType),
-                                      method, PyUnicode_FromString(funcname), module, code);
+                                      method, PyUnicode_FromString(funcname), module,
+                                      code, set_self);
     if (unlikely(!op)) {
         goto err;
     }
diff --git a/mypyc/test-data/run-async.test b/mypyc/test-data/run-async.test
index 95efc3492b60..c28a8175b951 100644
--- a/mypyc/test-data/run-async.test
+++ b/mypyc/test-data/run-async.test
@@ -228,6 +228,7 @@ async def sleep(t: float) -> None: ...
 
 [case testAsyncWith]
 from testutil import async_val
+from typing import Any
 
 class async_ctx:
     async def __aenter__(self) -> str:
@@ -242,15 +243,22 @@ async def async_with() -> str:
     async with async_ctx() as x:
         return await async_val("body")
 
+async def async_with_vectorcall() -> str:
+    ctx: Any = async_ctx()
+    async with ctx:
+        return await async_val("vc")
 
 [file driver.py]
-from native import async_with
+from native import async_with, async_with_vectorcall
 from testutil import run_generator
 
 yields, val = run_generator(async_with(), [None, 'x', None])
 assert yields == ('enter', 'body', 'exit'), yields
 assert val == 'x', val
 
+yields, val = run_generator(async_with_vectorcall(), [None, 'x', None])
+assert yields == ('enter', 'vc', 'exit'), yields
+assert val == 'x', val
 
 [case testAsyncReturn]
 from testutil import async_val
@@ -1516,7 +1524,9 @@ def test_method() -> None:
     assert str(T.returns_one_async).startswith("<function T.returns_one_async"), str(T.returns_one_async)
 
     t = T()
-    assert asyncio.run(t.returns_one_async()) == 1
+    # Call through variable to make sure the call is through vectorcall and not optimized to a native call.
+    f: Any = t.returns_one_async
+    assert asyncio.run(f()) == 1
 
     assert not is_coroutine(T.returns_two)
     assert is_coroutine(T.returns_two_async)