diff --git a/packages/react-reconciler/src/ReactFiberWorkLoop.new.js b/packages/react-reconciler/src/ReactFiberWorkLoop.new.js
index 53ac747aa4..d634fc5c70 100644
--- a/packages/react-reconciler/src/ReactFiberWorkLoop.new.js
+++ b/packages/react-reconciler/src/ReactFiberWorkLoop.new.js
@@ -1684,7 +1684,8 @@ function resetChildLanes(completedWork: Fiber) {
     (completedWork.tag === LegacyHiddenComponent ||
       completedWork.tag === OffscreenComponent) &&
     completedWork.memoizedState !== null &&
-    !includesSomeLane(subtreeRenderLanes, (OffscreenLane: Lane))
+    !includesSomeLane(subtreeRenderLanes, (OffscreenLane: Lane)) &&
+    (completedWork.mode & ConcurrentMode) !== NoLanes
   ) {
     // The children of this component are hidden. Don't bubble their
     // expiration times.
diff --git a/packages/react-reconciler/src/__tests__/ReactOffscreen-test.js b/packages/react-reconciler/src/__tests__/ReactOffscreen-test.js
index c85f333067..9e3cb7bedc 100644
--- a/packages/react-reconciler/src/__tests__/ReactOffscreen-test.js
+++ b/packages/react-reconciler/src/__tests__/ReactOffscreen-test.js
@@ -2,6 +2,7 @@ let React;
 let ReactNoop;
 let Scheduler;
 let LegacyHidden;
+let useState;
 
 describe('ReactOffscreen', () => {
   beforeEach(() => {
@@ -11,6 +12,7 @@ describe('ReactOffscreen', () => {
     ReactNoop = require('react-noop-renderer');
     Scheduler = require('scheduler');
     LegacyHidden = React.unstable_LegacyHidden;
+    useState = React.useState;
   });
 
   function Text(props) {
@@ -77,4 +79,90 @@ describe('ReactOffscreen', () => {
       </>,
     );
   });
+
+  // @gate experimental
+  // @gate new
+  it('does not defer in legacy mode', async () => {
+    let setState;
+    function Foo() {
+      const [state, _setState] = useState('A');
+      setState = _setState;
+      return <Text text={state} />;
+    }
+
+    const root = ReactNoop.createLegacyRoot();
+    await ReactNoop.act(async () => {
+      root.render(
+        <>
+          <LegacyHidden mode="hidden">
+            <Foo />
+          </LegacyHidden>
+          <Text text="Outside" />
+        </>,
+      );
+      // Should not defer the hidden tree
+      expect(Scheduler).toFlushUntilNextPaint(['A', 'Outside']);
+    });
+    expect(root).toMatchRenderedOutput(
+      <>
+        <span prop="A" />
+        <span prop="Outside" />
+      </>,
+    );
+
+    // Test that the children can be updated
+    await ReactNoop.act(async () => {
+      setState('B');
+    });
+    expect(Scheduler).toHaveYielded(['B']);
+    expect(root).toMatchRenderedOutput(
+      <>
+        <span prop="B" />
+        <span prop="Outside" />
+      </>,
+    );
+  });
+
+  // @gate experimental
+  // @gate new
+  it('does not defer in blocking mode', async () => {
+    let setState;
+    function Foo() {
+      const [state, _setState] = useState('A');
+      setState = _setState;
+      return <Text text={state} />;
+    }
+
+    const root = ReactNoop.createBlockingRoot();
+    await ReactNoop.act(async () => {
+      root.render(
+        <>
+          <LegacyHidden mode="hidden">
+            <Foo />
+          </LegacyHidden>
+          <Text text="Outside" />
+        </>,
+      );
+      // Should not defer the hidden tree
+      expect(Scheduler).toFlushUntilNextPaint(['A', 'Outside']);
+    });
+    expect(root).toMatchRenderedOutput(
+      <>
+        <span prop="A" />
+        <span prop="Outside" />
+      </>,
+    );
+
+    // Test that the children can be updated
+    await ReactNoop.act(async () => {
+      setState('B');
+    });
+    expect(Scheduler).toHaveYielded(['B']);
+    expect(root).toMatchRenderedOutput(
+      <>
+        <span prop="B" />
+        <span prop="Outside" />
+      </>,
+    );
+  });
 });