diff --git a/Dockerfile b/Dockerfile
index efac0ef..64e3ce2 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -74,7 +74,7 @@ RUN mkdir -p /opt/app/tmp \
     && ln -s /opt/app/artifacts/screenshots /opt/app/tmp/screenshots
 
 # Add binstubs to the path.
-ENV PATH="/usr/bin:/opt/app/bin:$PATH"
+ENV PATH="/usr/bin:/opt/app/bin:/usr/local/yarn/node_modules/bin:$PATH"
 
 # If run with no other arguments, the image will start the rails server by
 # default. Note that we must bind to all interfaces (0.0.0.0) because when
@@ -108,8 +108,12 @@ RUN apt-get update -qq && apt-get install -y --no-install-recommends \
     gcc \
  && rm -rf /var/lib/apt/lists/*
 
+RUN mkdir -p /usr/local/yarn \
+    && chown -R $APP_USER:$APP_USER /usr/local/yarn
+COPY ./webpack.config.js ./package.json /usr/local/yarn
+
 # ------------------------------------------------------------
-# Install Ruby gems
+# Install Ruby gems and Yarn packages
 
 # Drop back to $APP_USER.
 USER $APP_USER
@@ -127,6 +131,8 @@ RUN bundle install
 # re-install.
 COPY --chown=$APP_USER:$APP_USER . .
 
+RUN yarn install --cwd /usr/local/yarn 
+
 # =============================================================================
 # Target: production
 #
@@ -149,6 +155,7 @@ ENV RAILS_SERVE_STATIC_FILES=true
 # Copy the built codebase from the dev stage
 COPY --from=development --chown=$APP_USER /opt/app /opt/app
 COPY --from=development --chown=$APP_USER /usr/local/bundle /usr/local/bundle
+COPY --from=development --chown=$APP_USER /usr/local/yarn /usr/local/yarn
 
 # Ensure the bundle is installed and the Gemfile.lock is synced.
 RUN bundle config set frozen 'true'
@@ -159,17 +166,13 @@ RUN bundle install --local
 
 # TODO: Figure out why jsbundling-rails doesn't invoke `yarn build`
 #       *before* Sprockets reads app/assets/config/manifest.js
-RUN yarn install && yarn build
+RUN yarn install --cwd /usr/local/yarn 
 
 # Pre-compile assets so we don't have to do it after deployment.
 # NOTE: dummy SECRET_KEY_BASE to prevent spurious initializer issues
 #       -- see https://github.com/rails/rails/issues/32947
 RUN SECRET_KEY_BASE=1 rails assets:precompile --trace
 
-# Remove cached YARN packages
-# TODO: change this to .yarn/cache once we're on Yarn 3.x
-RUN rm -r .cache/yarn
-
 # ------------------------------------------------------------
 # Preserve build arguments
 
diff --git a/docker-compose.yml b/docker-compose.yml
index 899c773..5e508c8 100644
--- a/docker-compose.yml
+++ b/docker-compose.yml
@@ -20,7 +20,7 @@ services:
         aliases:
           - app.test
     volumes:
-      - ./:/opt/app
+      - .:/opt/app
       - ./app/assets/builds:/opt/app/app/assets/builds
     ports:
       - 3000:3000