diff --git a/.changeset/olive-snakes-judge.md b/.changeset/olive-snakes-judge.md
new file mode 100644
index 00000000000..aaf6c60428a
--- /dev/null
+++ b/.changeset/olive-snakes-judge.md
@@ -0,0 +1,14 @@
+---
+"@clerk/clerk-expo": minor
+---
+
+Change the export of `useLocalCredentials` hook from `@clerk/clerk-expo` to `@clerk/clerk-expo/local-credentials`.
+
+In `@clerk/clerk-expo@2.1.0` a new hook called `useLocalCredentials` was introduced ([PR 3663](https://github.com/clerk/javascript/pull/3663)). This hook is optional, but Expo's bundler has problems tree-shaking this codepath so users were still required to install its peer dependencies even if they didn't use that hook.
+
+For this **breaking** change, update your import as following:
+
+```diff
+- import {  useLocalCredentials } from "@clerk/clerk-expo"
++ import { useLocalCredentials } from "@clerk/clerk-expo/local-credentials"
+```
diff --git a/packages/expo/local-credentials/package.json b/packages/expo/local-credentials/package.json
new file mode 100644
index 00000000000..4bc21a2b079
--- /dev/null
+++ b/packages/expo/local-credentials/package.json
@@ -0,0 +1,4 @@
+{
+  "main": "../dist/local-credentials/index.js",
+  "types": "../dist/local-credentials/index.d.ts"
+}
diff --git a/packages/expo/package.json b/packages/expo/package.json
index 436050b4339..d37b47ce82b 100644
--- a/packages/expo/package.json
+++ b/packages/expo/package.json
@@ -31,6 +31,10 @@
     "./web": {
       "types": "./dist/web/index.d.ts",
       "default": "./dist/web/index.js"
+    },
+    "./local-credentials": {
+      "types": "./dist/local-credentials/index.d.ts",
+      "default": "./dist/local-credentials/index.js"
     }
   },
   "main": "./dist/index.js",
@@ -38,7 +42,8 @@
   "types": "./dist/index.d.ts",
   "files": [
     "dist",
-    "web"
+    "web",
+    "local-credentials"
   ],
   "scripts": {
     "build": "tsup",
diff --git a/packages/expo/src/hooks/index.ts b/packages/expo/src/hooks/index.ts
index d5bd5f1a91b..969e644bfb9 100644
--- a/packages/expo/src/hooks/index.ts
+++ b/packages/expo/src/hooks/index.ts
@@ -12,4 +12,3 @@ export {
 } from '@clerk/clerk-react';
 
 export * from './useOAuth';
-export * from './useLocalCredentials';
diff --git a/packages/expo/src/hooks/useLocalCredentials/index.tsx b/packages/expo/src/local-credentials/index.tsx
similarity index 100%
rename from packages/expo/src/hooks/useLocalCredentials/index.tsx
rename to packages/expo/src/local-credentials/index.tsx
diff --git a/packages/expo/src/local-credentials/useLocalCredentials/index.tsx b/packages/expo/src/local-credentials/useLocalCredentials/index.tsx
new file mode 100644
index 00000000000..3548abc9206
--- /dev/null
+++ b/packages/expo/src/local-credentials/useLocalCredentials/index.tsx
@@ -0,0 +1 @@
+export { useLocalCredentials } from './useLocalCredentials';
diff --git a/packages/expo/src/hooks/useLocalCredentials/shared.ts b/packages/expo/src/local-credentials/useLocalCredentials/shared.ts
similarity index 100%
rename from packages/expo/src/hooks/useLocalCredentials/shared.ts
rename to packages/expo/src/local-credentials/useLocalCredentials/shared.ts
diff --git a/packages/expo/src/hooks/useLocalCredentials/useLocalCredentials.ts b/packages/expo/src/local-credentials/useLocalCredentials/useLocalCredentials.ts
similarity index 100%
rename from packages/expo/src/hooks/useLocalCredentials/useLocalCredentials.ts
rename to packages/expo/src/local-credentials/useLocalCredentials/useLocalCredentials.ts
diff --git a/packages/expo/src/hooks/useLocalCredentials/useLocalCredentials.web.ts b/packages/expo/src/local-credentials/useLocalCredentials/useLocalCredentials.web.ts
similarity index 100%
rename from packages/expo/src/hooks/useLocalCredentials/useLocalCredentials.web.ts
rename to packages/expo/src/local-credentials/useLocalCredentials/useLocalCredentials.web.ts