diff --git a/packages/babel-preset-react-app/index.js b/packages/babel-preset-react-app/index.js
index a028babc06c..74592d0ece7 100644
--- a/packages/babel-preset-react-app/index.js
+++ b/packages/babel-preset-react-app/index.js
@@ -30,7 +30,11 @@ const plugins = [
     regenerator: true,
     // Resolve the Babel runtime relative to the config.
     moduleName: path.dirname(require.resolve('babel-runtime/package'))
-  }]
+  }],
+  // We always include this plugin regardless of environment
+  // because of a Babel bug that breaks object rest/spread without it:
+  // https://github.com/babel/babel/issues/4851
+  require.resolve('babel-plugin-transform-es2015-parameters'),
 ];
 
 // This is similar to how `env` works in Babel:
@@ -63,53 +67,46 @@ if (env === 'development' || env === 'test') {
   ]);
 }
 
-if (env === 'test') {
-  plugins.push.apply(plugins, [
-    // We always include this plugin regardless of environment
-    // because of a Babel bug that breaks object rest/spread without it:
-    // https://github.com/babel/babel/issues/4851
-    require.resolve('babel-plugin-transform-es2015-parameters')
-  ]);
+if (env === 'production') {
+  // Optimization: hoist JSX that never changes out of render()
+  // Disabled because of issues:
+  // * https://github.com/facebookincubator/create-react-app/issues/525
+  // * https://phabricator.babeljs.io/search/query/pCNlnC2xzwzx/
+  // * https://github.com/babel/babel/issues/4516
+  // TODO: Enable again when these issues are resolved.
+  // plugins.push.apply(plugins, [
+  //   require.resolve('babel-plugin-transform-react-constant-elements')
+  // ]);
+}
 
-  module.exports = {
+module.exports = function buildPreset(context, opts) {
+  if (env !== 'test') {
+    if (!opts.browsers) {
+      throw new Error('The "browsers" option is required outside "test" environment.');
+    }
+    if (!Array.isArray(opts.browsers.development)) {
+      throw new Error('The "browsers" option must contain a "development" array.');
+    }
+    if (!Array.isArray(opts.browsers.production)) {
+      throw new Error('The "browsers" option must contain a "production" array.');
+    }
+  }
+
+  return {
     presets: [
       // ES features necessary for user's Node version
       [require('babel-preset-env').default, {
-        targets: {
+        targets: env === 'test' ? {
           node: 'current',
-        },
+        } : {
+          browsers: env === 'development' ?
+            opts.browsers.development  :
+            opts.browsers.production
+        }
       }],
       // JSX, Flow
       require.resolve('babel-preset-react')
     ],
     plugins: plugins
   };
-} else {
-  module.exports = {
-    presets: [
-      // Latest stable ECMAScript features
-      require.resolve('babel-preset-latest'),
-      // JSX, Flow
-      require.resolve('babel-preset-react')
-    ],
-    plugins: plugins.concat([
-      // function* () { yield 42; yield 43; }
-      [require.resolve('babel-plugin-transform-regenerator'), {
-        // Async functions are converted to generators by babel-preset-latest
-        async: false
-      }],
-    ])
-  };
-
-  if (env === 'production') {
-    // Optimization: hoist JSX that never changes out of render()
-    // Disabled because of issues:
-    // * https://github.com/facebookincubator/create-react-app/issues/525
-    // * https://phabricator.babeljs.io/search/query/pCNlnC2xzwzx/
-    // * https://github.com/babel/babel/issues/4516
-    // TODO: Enable again when these issues are resolved.
-    // plugins.push.apply(plugins, [
-    //   require.resolve('babel-plugin-transform-react-constant-elements')
-    // ]);
-  }
-}
+}
\ No newline at end of file
diff --git a/packages/babel-preset-react-app/package.json b/packages/babel-preset-react-app/package.json
index c9513ae340a..92f603efa24 100644
--- a/packages/babel-preset-react-app/package.json
+++ b/packages/babel-preset-react-app/package.json
@@ -20,8 +20,7 @@
     "babel-plugin-transform-react-jsx-source": "6.9.0",
     "babel-plugin-transform-regenerator": "6.16.1",
     "babel-plugin-transform-runtime": "6.15.0",
-    "babel-preset-env": "0.0.8",
-    "babel-preset-latest": "6.16.0",
+    "babel-preset-env": "1.0.2",
     "babel-preset-react": "6.16.0",
     "babel-runtime": "6.11.6"
   }
diff --git a/packages/react-scripts/config/paths.js b/packages/react-scripts/config/paths.js
index 2f10ea2fb8a..b4d9f56a0a1 100644
--- a/packages/react-scripts/config/paths.js
+++ b/packages/react-scripts/config/paths.js
@@ -83,7 +83,7 @@ if (__dirname.indexOf(path.join('packages', 'react-scripts', 'config')) !== -1)
     appPublic: resolveOwn('../template/public'),
     appHtml: resolveOwn('../template/public/index.html'),
     appIndexJs: resolveOwn('../template/src/index.js'),
-    appPackageJson: resolveOwn('../package.json'),
+    appPackageJson: resolveOwn('../example.package.json'),
     appSrc: resolveOwn('../template/src'),
     yarnLockFile: resolveOwn('../template/yarn.lock'),
     testsSetup: resolveOwn('../template/src/setupTests.js'),
diff --git a/packages/react-scripts/config/webpack.config.dev.js b/packages/react-scripts/config/webpack.config.dev.js
index 96fd632b795..a58d1edaa78 100644
--- a/packages/react-scripts/config/webpack.config.dev.js
+++ b/packages/react-scripts/config/webpack.config.dev.js
@@ -10,6 +10,7 @@
 // @remove-on-eject-end
 
 var autoprefixer = require('autoprefixer');
+var chalk = require('chalk');
 var webpack = require('webpack');
 var HtmlWebpackPlugin = require('html-webpack-plugin');
 var CaseSensitivePathsPlugin = require('case-sensitive-paths-webpack-plugin');
@@ -33,6 +34,21 @@ var publicUrl = '';
 // Get environment variables to inject into our app.
 var env = getClientEnvironment(publicUrl);
 
+// TODO: better messages (or make it optional)
+var supportedBrowsers = require(paths.appPackageJson).browsers;
+if (!supportedBrowsers) {
+  console.error(
+    chalk.red('Please specify supported browsers in the "browsers" field in "package.json".')
+  );
+  process.exit(1);
+}
+if (!Array.isArray(supportedBrowsers.development)) {
+  console.error(
+    chalk.red('Please specify the "development" browser array in the "browsers" field in "package.json".')
+  );
+  process.exit(1);
+}
+
 // This is the development configuration.
 // It is focused on developer experience and fast rebuilds.
 // The production configuration is different and lives in a separate file.
@@ -148,7 +164,11 @@ module.exports = {
         query: {
           // @remove-on-eject-begin
           babelrc: false,
-          presets: [require.resolve('babel-preset-react-app')],
+          presets: [
+            [require.resolve('babel-preset-react-app'), {
+              browsers: supportedBrowsers
+            }]
+          ],
           // @remove-on-eject-end
           // This is a feature of `babel-loader` for webpack (not Babel itself).
           // It enables caching results in ./node_modules/.cache/babel-loader/
@@ -192,12 +212,7 @@ module.exports = {
   postcss: function() {
     return [
       autoprefixer({
-        browsers: [
-          '>1%',
-          'last 4 versions',
-          'Firefox ESR',
-          'not ie < 9', // React doesn't support IE8 anyway
-        ]
+        browsers: supportedBrowsers.development
       }),
     ];
   },
diff --git a/packages/react-scripts/config/webpack.config.prod.js b/packages/react-scripts/config/webpack.config.prod.js
index 058db0d7921..db1a8f87600 100644
--- a/packages/react-scripts/config/webpack.config.prod.js
+++ b/packages/react-scripts/config/webpack.config.prod.js
@@ -10,6 +10,7 @@
 // @remove-on-eject-end
 
 var autoprefixer = require('autoprefixer');
+var chalk = require('chalk');
 var webpack = require('webpack');
 var HtmlWebpackPlugin = require('html-webpack-plugin');
 var ExtractTextPlugin = require('extract-text-webpack-plugin');
@@ -52,6 +53,21 @@ var publicUrl = ensureSlash(homepagePathname, false);
 // Get environment variables to inject into our app.
 var env = getClientEnvironment(publicUrl);
 
+// TODO: better messages (or make it optional)
+var supportedBrowsers = require(paths.appPackageJson).browsers;
+if (!supportedBrowsers) {
+  console.error(
+    chalk.red('Please specify supported browsers in the "browsers" field in "package.json".')
+  );
+  process.exit(1);
+}
+if (!Array.isArray(supportedBrowsers.production)) {
+  console.error(
+    chalk.red('Please specify the "production" browser array in the "browsers" field in "package.json".')
+  );
+  process.exit(1);
+}
+
 // Assert this just to be safe.
 // Development builds of React are slow and not intended for production.
 if (env['process.env'].NODE_ENV !== '"production"') {
@@ -154,7 +170,11 @@ module.exports = {
         // @remove-on-eject-begin
         query: {
           babelrc: false,
-          presets: [require.resolve('babel-preset-react-app')],
+          presets: [
+            [require.resolve('babel-preset-react-app'), {
+              browsers: supportedBrowsers
+            }]
+          ],
         },
         // @remove-on-eject-end
       },
@@ -204,12 +224,7 @@ module.exports = {
   postcss: function() {
     return [
       autoprefixer({
-        browsers: [
-          '>1%',
-          'last 4 versions',
-          'Firefox ESR',
-          'not ie < 9', // React doesn't support IE8 anyway
-        ]
+        browsers: supportedBrowsers.production
       }),
     ];
   },
diff --git a/packages/react-scripts/example.package.json b/packages/react-scripts/example.package.json
new file mode 100644
index 00000000000..f1b6b2edfae
--- /dev/null
+++ b/packages/react-scripts/example.package.json
@@ -0,0 +1,26 @@
+{
+  "name": "sample-project",
+  "dependencies": {
+    "react": "^15.4.1",
+    "react-dom": "^15.4.1"
+  },
+  "devDependencies": {
+    "react-scripts": "^0.9.0"
+  },
+  "scripts": {
+    "start": "react-scripts start",
+    "build": "react-scripts build",
+    "test": "react-scripts test"
+  },
+  "browsers": {
+    "development": [
+      "last 1 chrome version"
+    ],
+    "production": [
+      ">1%",
+      "last 4 versions",
+      "Firefox ESR",
+      "not ie < 9"
+    ]
+  }
+}
\ No newline at end of file