diff --git a/CHANGELOG.md b/CHANGELOG.md
index b7dfe0a..699d394 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -5,6 +5,10 @@ All notable changes to this project will be documented in this file.
 The format is based on [Keep a Changelog](https://keepachangelog.com/en/1.0.0/),
 and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0.html).
 
+## [Unreleased]
+### Fixed
+- Fix peer dependencies being resolved incorrectly by @daimond113
+
 ## [0.5.0-rc.11] - 2024-11-20
 ### Fixed
 - Add back mistakenly removed updates check caching by @daimond113
diff --git a/src/cli/commands/install.rs b/src/cli/commands/install.rs
index 4dc7b22..3a6df0f 100644
--- a/src/cli/commands/install.rs
+++ b/src/cli/commands/install.rs
@@ -231,7 +231,7 @@ impl InstallCommand {
                     (
                         n,
                         v.into_iter()
-                            .filter(|(_, n)| n.node.ty != DependencyType::Dev)
+                            .filter(|(_, n)| n.node.resolved_ty != DependencyType::Dev)
                             .collect(),
                     )
                 })
@@ -268,7 +268,7 @@ impl InstallCommand {
                 .flat_map(|versions| versions.values())
                 .filter(|node| node.target.bin_path().is_some())
                 .filter_map(|node| node.node.direct.as_ref())
-                .map(|(alias, _)| alias)
+                .map(|(alias, _, _)| alias)
                 .filter(|alias| {
                     if *alias == env!("CARGO_BIN_NAME") {
                         log::warn!(
diff --git a/src/cli/commands/outdated.rs b/src/cli/commands/outdated.rs
index 8ca531a..828493b 100644
--- a/src/cli/commands/outdated.rs
+++ b/src/cli/commands/outdated.rs
@@ -60,7 +60,7 @@ impl OutdatedCommand {
                 .map(|(current_version_id, node)| {
                     let project = project.clone();
                     async move {
-                        let Some((alias, mut specifier)) = node.node.direct else {
+                        let Some((alias, mut specifier, _)) = node.node.direct else {
                             return Ok::<(), anyhow::Error>(());
                         };
 
diff --git a/src/cli/commands/publish.rs b/src/cli/commands/publish.rs
index 4ae26a5..57872c8 100644
--- a/src/cli/commands/publish.rs
+++ b/src/cli/commands/publish.rs
@@ -81,7 +81,7 @@ impl PublishCommand {
                         .filter_map(|(_, node)| node.node.direct.as_ref().map(|_| node))
                         .any(|node| {
                             node.target.build_files().is_none()
-                                && !matches!(node.node.ty, DependencyType::Dev)
+                                && !matches!(node.node.resolved_ty, DependencyType::Dev)
                         })
                     {
                         anyhow::bail!("roblox packages may not depend on non-roblox packages");
diff --git a/src/cli/mod.rs b/src/cli/mod.rs
index 5c68e5e..fc2bdba 100644
--- a/src/cli/mod.rs
+++ b/src/cli/mod.rs
@@ -79,7 +79,7 @@ pub async fn up_to_date_lockfile(project: &Project) -> anyhow::Result<Option<Loc
             node.node
                 .direct
                 .as_ref()
-                .map(|(_, spec)| (spec, node.node.ty))
+                .map(|(_, spec, source_ty)| (spec, source_ty))
         })
         .collect::<HashSet<_>>();
 
@@ -87,7 +87,7 @@ pub async fn up_to_date_lockfile(project: &Project) -> anyhow::Result<Option<Loc
         .all_dependencies()
         .context("failed to get all dependencies")?
         .iter()
-        .all(|(_, (spec, ty))| specs.contains(&(spec, *ty)));
+        .all(|(_, (spec, ty))| specs.contains(&(spec, ty)));
 
     log::debug!("dependencies are the same: {same_dependencies}");
 
diff --git a/src/download.rs b/src/download.rs
index 20ba395..9b4b150 100644
--- a/src/download.rs
+++ b/src/download.rs
@@ -104,7 +104,7 @@ impl Project {
                     log::debug!("downloaded {name}@{version_id}");
 
                     if write {
-                        if !prod || node.ty != DependencyType::Dev {
+                        if !prod || node.resolved_ty != DependencyType::Dev {
                             match fs.write_to(container_folder, project.cas_dir(), true).await {
                                 Ok(_) => {}
                                 Err(e) => {
diff --git a/src/linking/mod.rs b/src/linking/mod.rs
index f3cb11c..3e330c3 100644
--- a/src/linking/mod.rs
+++ b/src/linking/mod.rs
@@ -137,7 +137,7 @@ impl Project {
                         version_id.version(),
                     );
 
-                    if let Some((alias, _)) = &node.node.direct.as_ref() {
+                    if let Some((alias, _, _)) = &node.node.direct.as_ref() {
                         if let Some((lib_file, types)) =
                             node.target.lib_path().and_then(|lib_file| {
                                 package_types
diff --git a/src/lockfile.rs b/src/lockfile.rs
index 2df59cf..e776b66 100644
--- a/src/lockfile.rs
+++ b/src/lockfile.rs
@@ -24,14 +24,14 @@ pub type Graph<Node> = BTreeMap<PackageNames, BTreeMap<VersionId, Node>>;
 /// A dependency graph node
 #[derive(Serialize, Deserialize, Debug, Clone)]
 pub struct DependencyGraphNode {
-    /// The alias and specifiers for the dependency, if it is a direct dependency (i.e. used by the current project)
+    /// The alias, specifier, and original (as in the manifest) type for the dependency, if it is a direct dependency (i.e. used by the current project)
     #[serde(default, skip_serializing_if = "Option::is_none")]
-    pub direct: Option<(String, DependencySpecifiers)>,
+    pub direct: Option<(String, DependencySpecifiers, DependencyType)>,
     /// The dependencies of the package
     #[serde(default, skip_serializing_if = "BTreeMap::is_empty")]
     pub dependencies: BTreeMap<PackageNames, (VersionId, String)>,
-    /// The type of the dependency
-    pub ty: DependencyType,
+    /// The resolved (transformed, for example Peer -> Standard) type of the dependency
+    pub resolved_ty: DependencyType,
     /// The package reference
     pub pkg_ref: PackageRefs,
 }
diff --git a/src/resolver.rs b/src/resolver.rs
index c799bc5..c11c392 100644
--- a/src/resolver.rs
+++ b/src/resolver.rs
@@ -37,7 +37,7 @@ impl Project {
         if let Some(previous_graph) = previous_graph {
             for (name, versions) in previous_graph {
                 for (version, node) in versions {
-                    let Some((_, specifier)) = &node.direct else {
+                    let Some((_, specifier, source_ty)) = &node.direct else {
                         // this is not a direct dependency, will be added if it's still being used later
                         continue;
                     };
@@ -47,7 +47,8 @@ impl Project {
                         continue;
                     }
 
-                    let Some(alias) = all_specifiers.remove(&(specifier.clone(), node.ty)) else {
+                    let Some(alias) = all_specifiers.remove(&(specifier.clone(), *source_ty))
+                    else {
                         log::debug!(
                             "dependency {name}@{version} from old dependency graph is no longer in the manifest",
                         );
@@ -60,7 +61,7 @@ impl Project {
                         name.clone(),
                         version.clone(),
                         DependencyGraphNode {
-                            direct: Some((alias.clone(), specifier.clone())),
+                            direct: Some((alias.clone(), specifier.clone(), *source_ty)),
                             ..node.clone()
                         },
                         true,
@@ -218,7 +219,7 @@ impl Project {
                 )));
             };
 
-            let ty = if depth == 0 && ty == DependencyType::Peer {
+            let resolved_ty = if depth == 0 && ty == DependencyType::Peer {
                 DependencyType::Standard
             } else {
                 ty
@@ -255,12 +256,14 @@ impl Project {
                     );
                 }
 
-                if already_resolved.ty == DependencyType::Peer && ty == DependencyType::Standard {
-                    already_resolved.ty = ty;
+                if already_resolved.resolved_ty == DependencyType::Peer
+                    && resolved_ty == DependencyType::Standard
+                {
+                    already_resolved.resolved_ty = resolved_ty;
                 }
 
                 if already_resolved.direct.is_none() && depth == 0 {
-                    already_resolved.direct = Some((alias.clone(), specifier.clone()));
+                    already_resolved.direct = Some((alias.clone(), specifier.clone(), ty));
                 }
 
                 continue;
@@ -268,13 +271,13 @@ impl Project {
 
             let node = DependencyGraphNode {
                 direct: if depth == 0 {
-                    Some((alias.clone(), specifier.clone()))
+                    Some((alias.clone(), specifier.clone(), ty))
                 } else {
                     None
                 },
                 pkg_ref: pkg_ref.clone(),
                 dependencies: Default::default(),
-                ty,
+                resolved_ty,
             };
             insert_node(
                 &mut graph,
@@ -335,7 +338,7 @@ impl Project {
 
         for (name, versions) in &graph {
             for (version_id, node) in versions {
-                if node.ty == DependencyType::Peer {
+                if node.resolved_ty == DependencyType::Peer {
                     log::warn!("peer dependency {name}@{version_id} was not resolved");
                 }
             }