diff --git a/lib/builder-webpack4/src/preview/iframe-webpack.config.ts b/lib/builder-webpack4/src/preview/iframe-webpack.config.ts
index 37692e093434..7e9263e5fda1 100644
--- a/lib/builder-webpack4/src/preview/iframe-webpack.config.ts
+++ b/lib/builder-webpack4/src/preview/iframe-webpack.config.ts
@@ -258,7 +258,7 @@ export default async (options: Options & Record<string, any>): Promise<Configura
       },
       runtimeChunk: true,
       sideEffects: true,
-      usedExports: true,
+      usedExports: isProd,
       moduleIds: 'named',
       minimizer: isProd
         ? [
diff --git a/lib/builder-webpack5/src/preview/base-webpack.config.ts b/lib/builder-webpack5/src/preview/base-webpack.config.ts
index 17bbe40fb044..e2a7d2c588d5 100644
--- a/lib/builder-webpack5/src/preview/base-webpack.config.ts
+++ b/lib/builder-webpack5/src/preview/base-webpack.config.ts
@@ -1,6 +1,6 @@
 import { logger } from '@storybook/node-logger';
 import type { Options, CoreConfig, Webpack5BuilderConfig } from '@storybook/core-common';
-import type { Configuration } from 'webpack';
+import { Configuration } from 'webpack';
 
 export async function createDefaultWebpackConfig(
   storybookBaseConfig: Configuration,
@@ -45,11 +45,12 @@ export async function createDefaultWebpackConfig(
   const isProd = storybookBaseConfig.mode !== 'development';
 
   const coreOptions = await options.presets.apply<CoreConfig>('core');
-  const cacheConfig = (coreOptions.builder as Webpack5BuilderConfig).options?.fsCache
-    ? {
-        cache: { type: 'filesystem' as 'filesystem' },
-      }
+  const builderOptions = (coreOptions.builder as Webpack5BuilderConfig).options;
+  const cacheConfig = builderOptions?.fsCache
+    ? { cache: { type: 'filesystem' as 'filesystem' } }
     : {};
+  const lazyCompilationConfig =
+    builderOptions?.lazyCompilation && !isProd ? { lazyCompilation: { entries: false } } : {};
   return {
     ...storybookBaseConfig,
     module: {
@@ -91,5 +92,6 @@ export async function createDefaultWebpackConfig(
       },
     },
     ...cacheConfig,
+    experiments: { ...storybookBaseConfig.experiments, ...lazyCompilationConfig },
   };
 }
diff --git a/lib/builder-webpack5/src/preview/iframe-webpack.config.ts b/lib/builder-webpack5/src/preview/iframe-webpack.config.ts
index 7ee55f9f1800..db4a3e447767 100644
--- a/lib/builder-webpack5/src/preview/iframe-webpack.config.ts
+++ b/lib/builder-webpack5/src/preview/iframe-webpack.config.ts
@@ -259,7 +259,7 @@ export default async (options: Options & Record<string, any>): Promise<Configura
       },
       runtimeChunk: true,
       sideEffects: true,
-      usedExports: true,
+      usedExports: isProd,
       moduleIds: 'named',
       minimizer: isProd
         ? [
diff --git a/lib/core-common/src/types.ts b/lib/core-common/src/types.ts
index 7a227f2ef1d0..94155d56c345 100644
--- a/lib/core-common/src/types.ts
+++ b/lib/core-common/src/types.ts
@@ -32,6 +32,7 @@ export interface Webpack5BuilderConfig extends BuilderConfigObject {
   name: 'webpack5';
   options?: {
     fsCache?: boolean;
+    lazyCompilation?: boolean;
   };
 }