diff --git a/dotnet/private/launcher.bat.tpl b/dotnet/private/launcher.bat.tpl
index 29f6b198..77bd3365 100644
--- a/dotnet/private/launcher.bat.tpl
+++ b/dotnet/private/launcher.bat.tpl
@@ -62,4 +62,4 @@ if defined args (
   set args=!args:\=\\\\!
   set args=!args:"=\"!
 )
-"!dotnet_executable!" exec "!run_script!" !args!
+"!dotnet_executable!" exec --additionalprobingpath "%RUNFILES_DIR%" "!run_script!" !args!
diff --git a/dotnet/private/launcher.sh.tpl b/dotnet/private/launcher.sh.tpl
index 710318c5..fc3cf426 100644
--- a/dotnet/private/launcher.sh.tpl
+++ b/dotnet/private/launcher.sh.tpl
@@ -32,4 +32,4 @@ export DOTNET_NOLOGO="1"
 export DOTNET_CLI_TELEMETRY_OPTOUT="1"
 export DOTNET_ROOT="$(dirname $(rlocation TEMPLATED_dotnet))"
 
-exec $(rlocation TEMPLATED_dotnet) exec $(rlocation TEMPLATED_executable) "$@"
+exec $(rlocation TEMPLATED_dotnet) exec --additionalprobingpath "${RUNFILES_DIR}" $(rlocation TEMPLATED_executable) "$@"
diff --git a/dotnet/private/rules/common/binary.bzl b/dotnet/private/rules/common/binary.bzl
index 52a78185..0adf16ac 100644
--- a/dotnet/private/rules/common/binary.bzl
+++ b/dotnet/private/rules/common/binary.bzl
@@ -44,7 +44,8 @@ def _collect_native_dlls(assembly_runtime_info, deps):
     return result
 
 def _create_launcher(ctx, runfiles, executable):
-    runtime = get_toolchain(ctx).runtime
+    toolchain = get_toolchain(ctx)
+    runtime = toolchain.target_runtime
     windows_constraint = ctx.attr._windows_constraint[platform_common.ConstraintValueInfo]
 
     launcher = ctx.actions.declare_file("{}.{}".format(executable.basename, "bat" if ctx.target_platform_has_constraint(windows_constraint) else "sh"), sibling = executable)
@@ -70,7 +71,7 @@ def _create_launcher(ctx, runfiles, executable):
             is_executable = True,
         )
 
-    runfiles.extend(get_toolchain(ctx).dotnetinfo.runtime_files)
+    runfiles.extend(toolchain.dotnetinfo.target_runtime_files)
 
     return launcher
 
diff --git a/dotnet/private/tests/target_runtime/BUILD.bazel b/dotnet/private/tests/target_runtime/BUILD.bazel
new file mode 100644
index 00000000..7cefa086
--- /dev/null
+++ b/dotnet/private/tests/target_runtime/BUILD.bazel
@@ -0,0 +1,64 @@
+load("//dotnet:toolchain.bzl", "dotnet_toolchain")
+load(":target_runtime_test.bzl", "fake_executable", "resolved_target_runtime_test", "target_runtime_test")
+
+platform(
+    name = "windows_x64",
+    constraint_values = [
+        "@platforms//os:windows",
+        "@platforms//cpu:x86_64",
+    ],
+)
+
+config_setting(
+    name = "target_windows",
+    constraint_values = [
+        "@platforms//os:windows",
+        "@platforms//cpu:x86_64",
+    ],
+)
+
+fake_executable(
+    name = "runtime_host",
+)
+
+fake_executable(
+    name = "runtime_windows",
+)
+
+filegroup(
+    name = "host_model",
+    srcs = ["host_model.dll"],
+)
+
+dotnet_toolchain(
+    name = "fake_dotnet_toolchain",
+    runtime = ":runtime_host",
+    target_runtime = select({
+        ":target_windows": ":runtime_windows",
+        "//conditions:default": ":runtime_host",
+    }),
+    csharp_compiler = ":runtime_host",
+    fsharp_compiler = ":runtime_host",
+    host_model = ":host_model",
+    sdk_version = "0.0.0",
+    runtime_version = "0.0.0",
+    runtime_tfm = "net0.0",
+    csharp_default_version = "0.0",
+    fsharp_default_version = "0.0",
+)
+
+toolchain(
+    name = "fake_registered_toolchain",
+    toolchain = ":fake_dotnet_toolchain",
+    toolchain_type = "//dotnet:toolchain_type",
+)
+
+target_runtime_test(
+    name = "target_runtime_uses_target_platform",
+    toolchain_under_test = ":fake_dotnet_toolchain",
+)
+
+resolved_target_runtime_test(
+    name = "resolved_target_runtime_uses_target_platform",
+    tags = ["manual"],
+)
diff --git a/dotnet/private/tests/target_runtime/host_model.dll b/dotnet/private/tests/target_runtime/host_model.dll
new file mode 100644
index 00000000..8b137891
--- /dev/null
+++ b/dotnet/private/tests/target_runtime/host_model.dll
@@ -0,0 +1 @@
+
diff --git a/dotnet/private/tests/target_runtime/target_runtime_test.bzl b/dotnet/private/tests/target_runtime/target_runtime_test.bzl
new file mode 100644
index 00000000..5c8dd7ae
--- /dev/null
+++ b/dotnet/private/tests/target_runtime/target_runtime_test.bzl
@@ -0,0 +1,72 @@
+def _fake_executable_impl(ctx):
+    out = ctx.actions.declare_file(ctx.label.name + ".sh")
+    ctx.actions.write(
+        output = out,
+        content = "#!/usr/bin/env bash\nexit 0\n",
+        is_executable = True,
+    )
+    return [DefaultInfo(executable = out, files = depset([out]))]
+
+fake_executable = rule(
+    implementation = _fake_executable_impl,
+    executable = True,
+)
+
+def _windows_platform_transition_impl(_settings, _attr):
+    return {
+        "//command_line_option:platforms": "//dotnet/private/tests/target_runtime:windows_x64",
+    }
+
+_windows_platform_transition = transition(
+    implementation = _windows_platform_transition_impl,
+    inputs = [],
+    outputs = ["//command_line_option:platforms"],
+)
+
+def _target_runtime_test_impl(ctx):
+    toolchain_under_test = ctx.attr.toolchain_under_test
+    if type(toolchain_under_test) == "list":
+        toolchain_under_test = toolchain_under_test[0]
+    toolchain = toolchain_under_test[platform_common.ToolchainInfo]
+    return _assert_windows_runtime(ctx, toolchain)
+
+def _resolved_target_runtime_test_impl(ctx):
+    toolchain = ctx.toolchains["//dotnet:toolchain_type"]
+    return _assert_windows_runtime(ctx, toolchain)
+
+def _assert_windows_runtime(ctx, toolchain):
+    target_runtime_files = [
+        file.basename
+        for file in toolchain.dotnetinfo.target_runtime_files
+    ]
+
+    if "runtime_windows.sh" not in target_runtime_files:
+        fail("Expected target runtime files to contain runtime_windows.sh, got: {}".format(target_runtime_files))
+
+    out = ctx.actions.declare_file(ctx.label.name + ".sh")
+    ctx.actions.write(
+        output = out,
+        content = "#!/usr/bin/env bash\nexit 0\n",
+        is_executable = True,
+    )
+    return [DefaultInfo(executable = out)]
+
+target_runtime_test = rule(
+    implementation = _target_runtime_test_impl,
+    attrs = {
+        "toolchain_under_test": attr.label(
+            cfg = _windows_platform_transition,
+            providers = [platform_common.ToolchainInfo],
+        ),
+        "_allowlist_function_transition": attr.label(
+            default = "@bazel_tools//tools/allowlists/function_transition_allowlist",
+        ),
+    },
+    test = True,
+)
+
+resolved_target_runtime_test = rule(
+    implementation = _resolved_target_runtime_test_impl,
+    test = True,
+    toolchains = ["//dotnet:toolchain_type"],
+)
diff --git a/dotnet/private/tests/use_as_tool/fsharp/BUILD.bazel b/dotnet/private/tests/use_as_tool/fsharp/BUILD.bazel
index 5eaa45ab..05ff39b3 100644
--- a/dotnet/private/tests/use_as_tool/fsharp/BUILD.bazel
+++ b/dotnet/private/tests/use_as_tool/fsharp/BUILD.bazel
@@ -54,6 +54,13 @@ assert_contains(
     expected = "Hello World!",
 )
 
+sh_test(
+    name = "relocated_runfiles_test",
+    srcs = ["relocated_runfiles_test.sh"],
+    args = ["$(rootpath :main)"],
+    data = [":main"],
+)
+
 # Also test that self contained binaries are also usable as tools in custom rules
 publish_binary(
     name = "publish_self_contained",
diff --git a/dotnet/private/tests/use_as_tool/fsharp/relocated_runfiles_test.sh b/dotnet/private/tests/use_as_tool/fsharp/relocated_runfiles_test.sh
new file mode 100755
index 00000000..31bca012
--- /dev/null
+++ b/dotnet/private/tests/use_as_tool/fsharp/relocated_runfiles_test.sh
@@ -0,0 +1,16 @@
+#!/usr/bin/env bash
+set -euo pipefail
+
+launcher="$(find "$TEST_SRCDIR" -path "*/$1" -print -quit)"
+if [[ -z "$launcher" ]]; then
+  echo "Could not find launcher matching $1 under $TEST_SRCDIR" >&2
+  exit 1
+fi
+tmp="${TEST_TMPDIR}/relocated"
+mkdir -p "$tmp"
+
+cp "$launcher" "$tmp/app"
+cp -R "$TEST_SRCDIR" "$tmp/app.runfiles"
+
+"$tmp/app" "$tmp/output"
+grep -F "Hello World!" "$tmp/output"
diff --git a/dotnet/repositories.bzl b/dotnet/repositories.bzl
index 572a76ff..0bf2eb94 100644
--- a/dotnet/repositories.bzl
+++ b/dotnet/repositories.bzl
@@ -12,10 +12,33 @@ _DOC = "Fetch external tools needed for dotnet toolchain"
 _ATTRS = {
     "dotnet_version": attr.string(mandatory = True, values = TOOL_VERSIONS.keys()),
     "platform": attr.string(mandatory = True, values = PLATFORMS.keys()),
+    "user_repository_name": attr.string(),
 }
 
 def _dotnet_repo_impl(repository_ctx):
     url = TOOL_VERSIONS[repository_ctx.attr.dotnet_version][repository_ctx.attr.platform]["url"]
+    user_repository_name = repository_ctx.attr.user_repository_name
+    if user_repository_name == "":
+        current_repo_suffix = "_" + repository_ctx.attr.platform
+        if not repository_ctx.name.endswith(current_repo_suffix):
+            fail("Expected repository name {} to end with {}".format(repository_ctx.name, current_repo_suffix))
+        user_repository_name = repository_ctx.name[:-len(current_repo_suffix)]
+
+    platform_config_settings = ""
+    target_runtime_select_entries = []
+    for platform, meta in PLATFORMS.items():
+        config_setting_name = "target_" + platform
+        platform_config_settings += """
+config_setting(
+    name = "{config_setting_name}",
+    constraint_values = {compatible_with},
+)
+""".format(
+            config_setting_name = config_setting_name,
+            compatible_with = meta.compatible_with,
+        )
+        target_runtime_select_entries.append("\":{}\": \"@{}_{}//:runtime\"".format(config_setting_name, user_repository_name, platform))
+
     repository_ctx.download_and_extract(
         url = url,
         integrity = TOOL_VERSIONS[repository_ctx.attr.dotnet_version][repository_ctx.attr.platform]["hash"],
@@ -24,6 +47,8 @@ def _dotnet_repo_impl(repository_ctx):
 load("@rules_dotnet//dotnet:toolchain.bzl", "dotnet_toolchain")
 load("@rules_dotnet//dotnet:defs.bzl", "import_dll")
 
+{platform_config_settings}
+
 filegroup(
     name = "csc_binary",
     srcs = [
@@ -80,6 +105,10 @@ filegroup(
 dotnet_toolchain(
     name = "dotnet_toolchain", 
     runtime = ":runtime",
+    target_runtime = select({{
+        {target_runtime_select},
+        "//conditions:default": ":runtime",
+    }}),
     csharp_compiler = ":csc_binary",
     fsharp_compiler = ":fsc_binary",
     host_model = ":host_model",
@@ -91,6 +120,8 @@ dotnet_toolchain(
     visibility = ["//visibility:public"],
 )
 """.format(
+        platform_config_settings = platform_config_settings,
+        target_runtime_select = ",\n        ".join(target_runtime_select_entries),
         sdk_version = repository_ctx.attr.dotnet_version,
         runtime_version = TOOL_VERSIONS[repository_ctx.attr.dotnet_version]["runtimeVersion"],
         runtime_tfm = TOOL_VERSIONS[repository_ctx.attr.dotnet_version]["runtimeTfm"],
@@ -129,6 +160,7 @@ def dotnet_register_toolchains(name, dotnet_version, register = True, **kwargs):
             name = name + "_" + platform,
             platform = platform,
             dotnet_version = dotnet_version,
+            user_repository_name = name,
             **kwargs
         )
         if register:
diff --git a/dotnet/toolchain.bzl b/dotnet/toolchain.bzl
index 45b446e9..6e13be35 100644
--- a/dotnet/toolchain.bzl
+++ b/dotnet/toolchain.bzl
@@ -9,6 +9,10 @@ DotnetInfo = provider(
         "runtime_files": """Files required in runfiles to make the dotnet executable available.
 
 May be empty if the runtime_path points to a locally installed tool binary.""",
+        "target_runtime_path": "Path to the dotnet executable for target binaries",
+        "target_runtime_files": """Files required in runfiles to make the target dotnet executable available.
+
+May be empty if target_runtime_path points to a locally installed tool binary.""",
         "csharp_compiler_path": "Path to the C# compiler executable",
         "csharp_compiler_files": """Files required in runfiles to make the C# compiler executable available.
 
@@ -41,6 +45,8 @@ def _dotnet_toolchain_impl(ctx):
         fail("Can only set one of runtime or runtime_path but both were set.")
     if not ctx.attr.runtime and not ctx.attr.runtime_path:
         fail("Must set one of runtime or runtime_path.")
+    if ctx.attr.target_runtime and ctx.attr.target_runtime_path:
+        fail("Can only set one of target_runtime or target_runtime_path but both were set.")
 
     if ctx.attr.csharp_compiler and ctx.attr.csharp_compiler_path:
         fail("Can only set one of csharp_compiler or csharp_compiler_path but both were set.")
@@ -54,6 +60,8 @@ def _dotnet_toolchain_impl(ctx):
 
     runtime_files = []
     runtime_path = ctx.attr.runtime_path
+    target_runtime_files = []
+    target_runtime_path = ctx.attr.target_runtime_path
 
     csharp_compiler_files = []
     csharp_compiler_path = ctx.attr.csharp_compiler_path
@@ -65,6 +73,13 @@ def _dotnet_toolchain_impl(ctx):
         runtime_files = ctx.attr.runtime.files.to_list() + ctx.attr.runtime.default_runfiles.files.to_list()
         runtime_path = _to_manifest_path(ctx, runtime_files[0])
 
+    if ctx.attr.target_runtime:
+        target_runtime_files = ctx.attr.target_runtime.files.to_list() + ctx.attr.target_runtime.default_runfiles.files.to_list()
+        target_runtime_path = _to_manifest_path(ctx, target_runtime_files[0])
+    else:
+        target_runtime_files = runtime_files
+        target_runtime_path = runtime_path
+
     if ctx.attr.csharp_compiler:
         csharp_compiler_files = ctx.attr.csharp_compiler.files.to_list() + ctx.attr.csharp_compiler.default_runfiles.files.to_list()
         csharp_compiler_path = _to_manifest_path(ctx, csharp_compiler_files[0])
@@ -92,6 +107,8 @@ def _dotnet_toolchain_impl(ctx):
     dotnetinfo = DotnetInfo(
         runtime_path = runtime_path,
         runtime_files = runtime_files,
+        target_runtime_path = target_runtime_path,
+        target_runtime_files = target_runtime_files,
         csharp_compiler_path = csharp_compiler_path,
         csharp_compiler_files = csharp_compiler_files,
         fsharp_compiler_path = fsharp_compiler_path,
@@ -110,6 +127,7 @@ def _dotnet_toolchain_impl(ctx):
         dotnetinfo = dotnetinfo,
         template_variables = template_variables,
         runtime = ctx.attr.runtime,
+        target_runtime = ctx.attr.target_runtime or ctx.attr.runtime,
         csharp_compiler = ctx.attr.csharp_compiler,
         fsharp_compiler = ctx.attr.fsharp_compiler,
         host_model = ctx.attr.host_model,
@@ -134,6 +152,16 @@ dotnet_toolchain = rule(
             doc = "Path to the dotnet CLI. Do not set if `runtime` is set",
             mandatory = False,
         ),
+        "target_runtime": attr.label(
+            doc = "The dotnet CLI used by target binaries. Defaults to runtime.",
+            mandatory = False,
+            executable = True,
+            cfg = "target",
+        ),
+        "target_runtime_path": attr.string(
+            doc = "Path to the dotnet CLI used by target binaries. Defaults to runtime_path.",
+            mandatory = False,
+        ),
         "csharp_compiler": attr.label(
             doc = "The C# compiler binary",
             mandatory = False,