diff --git a/packages/next/build/swc/options.js b/packages/next/build/swc/options.js
index 08ac0e5334e90..9547bfc0a4de2 100644
--- a/packages/next/build/swc/options.js
+++ b/packages/next/build/swc/options.js
@@ -192,6 +192,7 @@ export function getLoaderSWCOptions({
   hasReactRefresh,
   nextConfig,
   jsConfig,
+  supportedBrowsers,
   // This is not passed yet as "paths" resolving is handled by webpack currently.
   // resolvedBaseUrl,
 }) {
@@ -242,6 +243,13 @@ export function getLoaderSWCOptions({
       isServer,
       pagesDir,
       isPageFile,
+      ...(supportedBrowsers && supportedBrowsers.length > 0
+        ? {
+            env: {
+              targets: supportedBrowsers,
+            },
+          }
+        : {}),
     }
   }
 }
diff --git a/packages/next/build/webpack-config.ts b/packages/next/build/webpack-config.ts
index c1d8986edd0d9..eb2c76523fe69 100644
--- a/packages/next/build/webpack-config.ts
+++ b/packages/next/build/webpack-config.ts
@@ -25,6 +25,7 @@ import {
   REACT_LOADABLE_MANIFEST,
   SERVERLESS_DIRECTORY,
   SERVER_DIRECTORY,
+  MODERN_BROWSERSLIST_TARGET,
 } from '../shared/lib/constants'
 import { execOnce } from '../shared/lib/utils'
 import { NextConfigComplete } from '../server/config-shared'
@@ -63,16 +64,31 @@ const watchOptions = Object.freeze({
 
 function getSupportedBrowsers(
   dir: string,
-  isDevelopment: boolean
+  isDevelopment: boolean,
+  config: NextConfigComplete
 ): string[] | undefined {
   let browsers: any
   try {
-    browsers = browserslist.loadConfig({
+    const browsersListConfig = browserslist.loadConfig({
       path: dir,
       env: isDevelopment ? 'development' : 'production',
     })
+    // Running `browserslist` resolves `extends` and other config features into a list of browsers
+    if (browsersListConfig && browsersListConfig.length > 0) {
+      browsers = browserslist(browsersListConfig)
+    }
   } catch {}
-  return browsers
+
+  // When user has browserslist use that target
+  if (browsers && browsers.length > 0) {
+    return browsers
+  }
+
+  // When user does not have browserslist use the default target
+  // When `experimental.legacyBrowsers: false` the modern default is used
+  return config.experimental.legacyBrowsers
+    ? undefined
+    : MODERN_BROWSERSLIST_TARGET
 }
 
 type ExcludesFalse = <T>(x: T | false) => x is T
@@ -339,7 +355,8 @@ export default async function getBaseWebpackConfig(
     dir,
     config
   )
-  const supportedBrowsers = await getSupportedBrowsers(dir, dev)
+  const supportedBrowsers = await getSupportedBrowsers(dir, dev, config)
+
   const hasRewrites =
     rewrites.beforeFiles.length > 0 ||
     rewrites.afterFiles.length > 0 ||
@@ -466,6 +483,9 @@ export default async function getBaseWebpackConfig(
             fileReading: config.experimental.swcFileReading,
             nextConfig: config,
             jsConfig,
+            supportedBrowsers: config.experimental.browsersListForSwc
+              ? supportedBrowsers
+              : undefined,
           },
         }
       : {
@@ -1783,6 +1803,7 @@ export default async function getBaseWebpackConfig(
     relay: config.compiler?.relay,
     emotion: config.experimental?.emotion,
     modularizeImports: config.experimental?.modularizeImports,
+    legacyBrowsers: config.experimental?.legacyBrowsers,
   })
 
   const cache: any = {
diff --git a/packages/next/build/webpack/loaders/next-swc-loader.js b/packages/next/build/webpack/loaders/next-swc-loader.js
index f027c09b6e12c..f19b8039ebc22 100644
--- a/packages/next/build/webpack/loaders/next-swc-loader.js
+++ b/packages/next/build/webpack/loaders/next-swc-loader.js
@@ -36,8 +36,14 @@ async function loaderTransform(parentTrace, source, inputSourceMap) {
 
   let loaderOptions = this.getOptions() || {}
 
-  const { isServer, pagesDir, hasReactRefresh, nextConfig, jsConfig } =
-    loaderOptions
+  const {
+    isServer,
+    pagesDir,
+    hasReactRefresh,
+    nextConfig,
+    jsConfig,
+    supportedBrowsers,
+  } = loaderOptions
   const isPageFile = filename.startsWith(pagesDir)
 
   const swcOptions = getLoaderSWCOptions({
@@ -49,6 +55,7 @@ async function loaderTransform(parentTrace, source, inputSourceMap) {
     hasReactRefresh,
     nextConfig,
     jsConfig,
+    supportedBrowsers,
   })
 
   const programmaticOptions = {
diff --git a/packages/next/server/config-shared.ts b/packages/next/server/config-shared.ts
index 126dcdb9901a9..ca01d6194fb26 100644
--- a/packages/next/server/config-shared.ts
+++ b/packages/next/server/config-shared.ts
@@ -79,6 +79,8 @@ export interface NextJsWebpackConfig {
 }
 
 export interface ExperimentalConfig {
+  legacyBrowsers?: boolean
+  browsersListForSwc?: boolean
   manualClientBasePath?: boolean
   newNextLinkBehavior?: boolean
   disablePostcssPresetEnv?: boolean
@@ -473,6 +475,9 @@ export const defaultConfig: NextConfig = {
   staticPageGenerationTimeout: 60,
   swcMinify: false,
   experimental: {
+    // TODO: change default in next major release (current v12.1.5)
+    legacyBrowsers: true,
+    browsersListForSwc: false,
     // TODO: change default in next major release (current v12.1.5)
     newNextLinkBehavior: false,
     cpus: Math.max(
diff --git a/packages/next/shared/lib/constants.ts b/packages/next/shared/lib/constants.ts
index 8c17e406a3e76..714a997dec5d3 100644
--- a/packages/next/shared/lib/constants.ts
+++ b/packages/next/shared/lib/constants.ts
@@ -26,6 +26,13 @@ export const CLIENT_PUBLIC_FILES_PATH = 'public'
 export const CLIENT_STATIC_FILES_PATH = 'static'
 export const CLIENT_STATIC_FILES_RUNTIME = 'runtime'
 export const STRING_LITERAL_DROP_BUNDLE = '__NEXT_DROP_CLIENT_FILE__'
+export const MODERN_BROWSERSLIST_TARGET = [
+  'chrome 61',
+  'edge 16',
+  'firefox 60',
+  'opera 48',
+  'safari 11',
+]
 export const NEXT_BUILTIN_DOCUMENT = '__NEXT_BUILTIN_DOCUMENT__'
 
 // server/middleware-flight-manifest.js
diff --git a/test/e2e/browserslist/app/pages/index.js b/test/e2e/browserslist/app/pages/index.js
new file mode 100644
index 0000000000000..5a2db92580e64
--- /dev/null
+++ b/test/e2e/browserslist/app/pages/index.js
@@ -0,0 +1,22 @@
+import React, { useEffect } from 'react'
+const helloWorld = 'hello world'
+
+class MyComp extends React.Component {
+  render() {
+    return <h1>Hello World</h1>
+  }
+}
+
+export default function Page() {
+  useEffect(() => {
+    ;(async () => {
+      console.log(helloWorld)
+    })()
+  }, [])
+  return (
+    <>
+      {helloWorld}
+      <MyComp />
+    </>
+  )
+}
diff --git a/test/e2e/browserslist/browserslist.test.ts b/test/e2e/browserslist/browserslist.test.ts
new file mode 100644
index 0000000000000..cbd93eee1dda3
--- /dev/null
+++ b/test/e2e/browserslist/browserslist.test.ts
@@ -0,0 +1,53 @@
+import { createNext, FileRef } from 'e2e-utils'
+import { NextInstance } from 'test/lib/next-modes/base'
+import { renderViaHTTP, fetchViaHTTP } from 'next-test-utils'
+import path from 'path'
+import cheerio from 'cheerio'
+const appDir = path.join(__dirname, 'app')
+
+describe('Browserslist', () => {
+  let next: NextInstance
+
+  beforeAll(async () => {
+    next = await createNext({
+      files: {
+        pages: new FileRef(path.join(appDir, 'pages')),
+        '.browserslistrc': 'Chrome 73',
+      },
+      nextConfig: {
+        experimental: {
+          browsersListForSwc: true,
+        },
+      },
+      dependencies: {},
+    })
+  })
+  afterAll(() => next.destroy())
+
+  it('should apply browserslist target', async () => {
+    const html = await renderViaHTTP(next.url, '/')
+    const $ = cheerio.load(html)
+
+    let finished = false
+    await Promise.all(
+      $('script')
+        .toArray()
+        .map(async (el) => {
+          const src = $(el).attr('src')
+          if (!src) return
+          if (src.includes('/index')) {
+            const code = await fetchViaHTTP(next.url, src).then((res) =>
+              res.text()
+            )
+
+            const isDev = (global as any).isNextDev
+            expect(
+              code.includes(isDev ? 'async ()=>{' : 'async()=>{console.log(')
+            ).toBe(true)
+            finished = true
+          }
+        })
+    )
+    expect(finished).toBe(true)
+  })
+})
diff --git a/test/e2e/browserslist/legacybrowsers-false.test.ts b/test/e2e/browserslist/legacybrowsers-false.test.ts
new file mode 100644
index 0000000000000..023ba6db26dab
--- /dev/null
+++ b/test/e2e/browserslist/legacybrowsers-false.test.ts
@@ -0,0 +1,53 @@
+import { createNext, FileRef } from 'e2e-utils'
+import { NextInstance } from 'test/lib/next-modes/base'
+import { renderViaHTTP, fetchViaHTTP } from 'next-test-utils'
+import path from 'path'
+import cheerio from 'cheerio'
+const appDir = path.join(__dirname, 'app')
+
+describe('legacyBrowsers: false', () => {
+  let next: NextInstance
+
+  beforeAll(async () => {
+    next = await createNext({
+      files: {
+        pages: new FileRef(path.join(appDir, 'pages')),
+      },
+      nextConfig: {
+        experimental: {
+          legacyBrowsers: false,
+          browsersListForSwc: true,
+        },
+      },
+      dependencies: {},
+    })
+  })
+  afterAll(() => next.destroy())
+
+  it('should apply with legacyBrowsers: false correctly', async () => {
+    const html = await renderViaHTTP(next.url, '/')
+    const $ = cheerio.load(html)
+
+    let finished = false
+    await Promise.all(
+      $('script')
+        .toArray()
+        .map(async (el) => {
+          const src = $(el).attr('src')
+          if (!src) return
+          if (src.includes('/index')) {
+            const code = await fetchViaHTTP(next.url, src).then((res) =>
+              res.text()
+            )
+
+            const isDev = (global as any).isNextDev
+            expect(
+              code.includes(isDev ? 'async ()=>{' : 'async()=>{console.log(')
+            ).toBe(true)
+            finished = true
+          }
+        })
+    )
+    expect(finished).toBe(true)
+  })
+})
diff --git a/test/e2e/browserslist/legacybrowsers-true.test.ts b/test/e2e/browserslist/legacybrowsers-true.test.ts
new file mode 100644
index 0000000000000..ec397bafcb256
--- /dev/null
+++ b/test/e2e/browserslist/legacybrowsers-true.test.ts
@@ -0,0 +1,52 @@
+import { createNext, FileRef } from 'e2e-utils'
+import { NextInstance } from 'test/lib/next-modes/base'
+import { renderViaHTTP, fetchViaHTTP } from 'next-test-utils'
+import path from 'path'
+import cheerio from 'cheerio'
+const appDir = path.join(__dirname, 'app')
+
+describe('legacyBrowsers: true', () => {
+  let next: NextInstance
+
+  beforeAll(async () => {
+    next = await createNext({
+      files: {
+        pages: new FileRef(path.join(appDir, 'pages')),
+      },
+      nextConfig: {
+        experimental: {
+          browsersListForSwc: true,
+        },
+      },
+      dependencies: {},
+    })
+  })
+  afterAll(() => next.destroy())
+
+  it('should apply legacyBrowsers: true by default', async () => {
+    const html = await renderViaHTTP(next.url, '/')
+    const $ = cheerio.load(html)
+
+    let finished = false
+    await Promise.all(
+      $('script')
+        .toArray()
+        .map(async (el) => {
+          const src = $(el).attr('src')
+          if (!src) return
+          if (src.includes('/index')) {
+            const code = await fetchViaHTTP(next.url, src).then((res) =>
+              res.text()
+            )
+
+            const isDev = (global as any).isNextDev
+            expect(
+              code.includes(isDev ? 'async ()=>{' : 'async()=>{console.log(')
+            ).toBe(false)
+            finished = true
+          }
+        })
+    )
+    expect(finished).toBe(true)
+  })
+})