diff --git a/file-system-loader.js b/file-system-loader.js
index 0a3d06a..7424329 100644
--- a/file-system-loader.js
+++ b/file-system-loader.js
@@ -1,6 +1,7 @@
 'use strict';
 
 var DepGraph = require('dependency-graph').DepGraph;
+var nodeResolve = require('resolve');
 
 Object.defineProperty(exports, '__esModule', {
   value: true
@@ -64,12 +65,13 @@ var FileSystemLoader = (function () {
       return new Promise(function (resolve, reject) {
         var relativeDir = _path2['default'].dirname(relativeTo),
             rootRelativePath = _path2['default'].resolve(relativeDir, newPath),
-            fileRelativePath = _path2['default'].resolve(_path2['default'].join(_this.root, relativeDir), newPath);
+            rootRelativeDir = _path2['default'].join(_this.root, relativeDir),
+            fileRelativePath = _path2['default'].resolve(rootRelativeDir, newPath);
 
         // if the path is not relative or absolute, try to resolve it in node_modules
         if (newPath[0] !== '.' && newPath[0] !== '/') {
           try {
-            fileRelativePath = require.resolve(newPath);
+            fileRelativePath = nodeResolve.sync(newPath, { basedir: rootRelativeDir });
           } catch (e) {}
         }
 
diff --git a/package.json b/package.json
index a00c101..05b66fe 100644
--- a/package.json
+++ b/package.json
@@ -8,6 +8,7 @@
     "dependency-graph": "^0.4.1",
     "object-assign": "^3.0.0",
     "promise-polyfill": "^2.1.0",
+    "resolve": "^1.1.7",
     "string-hash": "^1.1.0",
     "through": "^2.3.7"
   },
diff --git a/tests/cases/compose-local-node-module/expected.css b/tests/cases/compose-local-node-module/expected.css
new file mode 100644
index 0000000..fa249e5
--- /dev/null
+++ b/tests/cases/compose-local-node-module/expected.css
@@ -0,0 +1,6 @@
+._node_modules_cool_local_styles_styles__foo {
+  color: #F00;
+}
+._styles__foo {
+  background: black;
+}
diff --git a/tests/cases/compose-local-node-module/main.js b/tests/cases/compose-local-node-module/main.js
new file mode 100644
index 0000000..922a6aa
--- /dev/null
+++ b/tests/cases/compose-local-node-module/main.js
@@ -0,0 +1,2 @@
+var styles = require('./styles.css');
+module.exports = styles;
diff --git a/tests/cases/compose-local-node-module/node_modules/cool-local-styles/styles.css b/tests/cases/compose-local-node-module/node_modules/cool-local-styles/styles.css
new file mode 100644
index 0000000..092b8ad
--- /dev/null
+++ b/tests/cases/compose-local-node-module/node_modules/cool-local-styles/styles.css
@@ -0,0 +1,3 @@
+.foo {
+  color: #F00;
+}
diff --git a/tests/cases/compose-local-node-module/styles.css b/tests/cases/compose-local-node-module/styles.css
new file mode 100644
index 0000000..2f17694
--- /dev/null
+++ b/tests/cases/compose-local-node-module/styles.css
@@ -0,0 +1,4 @@
+.foo {
+  composes: foo from "cool-local-styles/styles.css";
+  background: black;
+}
diff --git a/tests/index.js b/tests/index.js
index af446aa..9ea1bb7 100644
--- a/tests/index.js
+++ b/tests/index.js
@@ -8,7 +8,7 @@ var path = require('path');
 var casesDir = path.join(__dirname, 'cases');
 var cssOutFilename = 'out.css';
 
-var globalCases = ['compose-node-module', 'import-node-module'];
+var globalCases = ['compose-node-module', 'compose-local-node-module', 'import-node-module'];
 
 function runTestCase (dir) {
   tape('case: ' + dir, function (t) {