diff --git a/crates/project-model/src/build_dependencies.rs b/crates/project-model/src/build_dependencies.rs
index 8da0a574e764..2955af31b57a 100644
--- a/crates/project-model/src/build_dependencies.rs
+++ b/crates/project-model/src/build_dependencies.rs
@@ -88,6 +88,7 @@ impl WorkspaceBuildScripts {
             &allowed_features,
             workspace.manifest_path(),
             workspace.target_directory().as_ref(),
+            workspace.build_directory().as_ref(),
             current_dir,
             sysroot,
             toolchain,
@@ -111,6 +112,7 @@ impl WorkspaceBuildScripts {
             // These are not gonna be used anyways, so just construct a dummy here
             &ManifestPath::try_from(working_directory.clone()).unwrap(),
             working_directory.as_ref(),
+            working_directory.as_ref(),
             working_directory,
             &Sysroot::empty(),
             None,
@@ -434,6 +436,7 @@ impl WorkspaceBuildScripts {
         allowed_features: &FxHashSet<String>,
         manifest_path: &ManifestPath,
         target_dir: &Utf8Path,
+        build_dir: &Utf8Path,
         current_dir: &AbsPath,
         sysroot: &Sysroot,
         toolchain: Option<&semver::Version>,
@@ -461,6 +464,9 @@ impl WorkspaceBuildScripts {
                     cmd.arg("--target-dir");
                     cmd.arg(target_dir.as_ref());
                 }
+                if let Some(build_dir) = config.build_dir_config.target_dir(Some(build_dir)) {
+                    cmd.env("CARGO_BUILD_BUILD_DIR", build_dir.as_ref());
+                }
 
                 toolchain::cargo_use_targets(toolchain, &mut cmd, config.target.as_slice());
                 let mut lockfile_copy = None;
diff --git a/crates/project-model/src/cargo_workspace.rs b/crates/project-model/src/cargo_workspace.rs
index a0a9815d8756..014036b94bd6 100644
--- a/crates/project-model/src/cargo_workspace.rs
+++ b/crates/project-model/src/cargo_workspace.rs
@@ -36,6 +36,7 @@ pub struct CargoWorkspace {
     targets: Arena<TargetData>,
     workspace_root: AbsPathBuf,
     target_directory: AbsPathBuf,
+    build_directory: AbsPathBuf,
     manifest_path: ManifestPath,
     is_virtual_workspace: bool,
     /// Whether this workspace represents the sysroot workspace.
@@ -140,6 +141,8 @@ pub struct CargoConfig {
     pub invocation_strategy: InvocationStrategy,
     /// Optional path to use instead of `target` when building
     pub target_dir_config: TargetDirectoryConfig,
+    /// Optional path to use instead of `target` when building
+    pub build_dir_config: TargetDirectoryConfig,
     /// Gate `#[test]` behind `#[cfg(test)]`
     pub set_test: bool,
     /// Load the project without any dependencies
@@ -358,6 +361,9 @@ impl CargoWorkspace {
         let ws_members = &meta.workspace_members;
 
         let workspace_root = AbsPathBuf::assert(meta.workspace_root);
+        let build_directory = AbsPathBuf::assert(
+            meta.build_directory.unwrap_or_else(|| meta.target_directory.clone()),
+        );
         let target_directory = AbsPathBuf::assert(meta.target_directory);
         let mut is_virtual_workspace = true;
         let mut requires_rustc_private = false;
@@ -517,6 +523,7 @@ impl CargoWorkspace {
             targets,
             workspace_root,
             target_directory,
+            build_directory,
             manifest_path: ws_manifest_path,
             is_virtual_workspace,
             requires_rustc_private,
@@ -548,6 +555,10 @@ impl CargoWorkspace {
         &self.target_directory
     }
 
+    pub fn build_directory(&self) -> &AbsPath {
+        &self.build_directory
+    }
+
     pub fn package_flag(&self, package: &PackageData) -> String {
         if self.is_unique(&package.name) {
             package.name.clone()
diff --git a/crates/rust-analyzer/src/config.rs b/crates/rust-analyzer/src/config.rs
index 1e7c8257d15b..fad65c015429 100644
--- a/crates/rust-analyzer/src/config.rs
+++ b/crates/rust-analyzer/src/config.rs
@@ -788,6 +788,15 @@ config_data! {
         /// Automatically refresh project info via `cargo metadata` on
         /// `Cargo.toml` or `.cargo/config.toml` changes.
         cargo_autoreload: bool           = true,
+        /// Optional path to a rust-analyzer specific build directory.
+        /// Since cargo's build-directory defaults to the target-directory, it should only
+        /// be needed to set this if a custom build-directory is configured.
+        /// Otherwise setting `cargo.targetDir` is sufficient to prevent rust-analyzer from
+        /// locking the `Cargo.lock`.
+        ///
+        /// Set to `true` to use a subdirectory of the existing build directory or
+        /// set to a path relative to the workspace to use that path.
+        cargo_buildDir | rust_analyzerBuildDir: Option<TargetDirectory> = None,
         /// Run build scripts (`build.rs`) for more precise code analysis.
         cargo_buildScripts_enable: bool  = true,
         /// Specifies the invocation strategy to use when running the build scripts command.
@@ -2486,6 +2495,7 @@ impl Config {
             extra_args: self.cargo_extraArgs(source_root).clone(),
             extra_env: self.cargo_extraEnv(source_root).clone(),
             target_dir_config: self.target_dir_from_config(source_root),
+            build_dir_config: self.build_dir_from_config(source_root),
             set_test: *self.cfg_setTest(source_root),
             no_deps: *self.cargo_noDeps(source_root),
             metadata_extra_args: self.cargo_metadataExtraArgs(source_root).clone(),
@@ -2578,6 +2588,7 @@ impl Config {
             extra_test_bin_args: self.runnables_extraTestBinaryArgs(source_root).clone(),
             extra_env: self.extra_env(source_root).clone(),
             target_dir_config: self.target_dir_from_config(source_root),
+            build_dir_config: self.build_dir_from_config(source_root),
             set_test: true,
             config_path: self.cargo_config_path(source_root),
         }
@@ -2638,6 +2649,7 @@ impl Config {
                     extra_env: self.check_extra_env(source_root),
                     config_path: self.cargo_config_path(source_root),
                     target_dir_config: self.target_dir_from_config(source_root),
+                    build_dir_config: self.build_dir_from_config(source_root),
                     set_test: *self.cfg_setTest(source_root),
                 },
                 ansi_color_output: self.color_diagnostic_output(),
@@ -2657,6 +2669,14 @@ impl Config {
         }
     }
 
+    fn build_dir_from_config(&self, source_root: Option<SourceRootId>) -> TargetDirectoryConfig {
+        match &self.cargo_buildDir(source_root) {
+            Some(TargetDirectory::UseSubdirectory(true)) => TargetDirectoryConfig::UseSubdirectory,
+            Some(TargetDirectory::UseSubdirectory(false)) | None => TargetDirectoryConfig::None,
+            Some(TargetDirectory::Directory(dir)) => TargetDirectoryConfig::Directory(dir.clone()),
+        }
+    }
+
     pub fn check_on_save(&self, source_root: Option<SourceRootId>) -> bool {
         *self.checkOnSave(source_root)
     }
diff --git a/crates/rust-analyzer/src/flycheck.rs b/crates/rust-analyzer/src/flycheck.rs
index 99e640a3cecb..09ecde5509f5 100644
--- a/crates/rust-analyzer/src/flycheck.rs
+++ b/crates/rust-analyzer/src/flycheck.rs
@@ -53,6 +53,7 @@ pub(crate) struct CargoOptions {
     pub(crate) extra_env: FxHashMap<String, Option<String>>,
     pub(crate) config_path: Option<AbsPathBuf>,
     pub(crate) target_dir_config: TargetDirectoryConfig,
+    pub(crate) build_dir_config: TargetDirectoryConfig,
 }
 
 #[derive(Clone, Debug)]
@@ -68,6 +69,7 @@ impl CargoOptions {
         &self,
         cmd: &mut Command,
         ws_target_dir: Option<&Utf8Path>,
+        ws_build_dir: Option<&Utf8Path>,
         package_repr: Option<&str>,
         toolchain_version: Option<&semver::Version>,
     ) {
@@ -114,6 +116,9 @@ impl CargoOptions {
         if let Some(target_dir) = self.target_dir_config.target_dir(ws_target_dir) {
             cmd.arg("--target-dir").arg(target_dir.as_ref());
         }
+        if let Some(build_dir) = self.build_dir_config.target_dir(ws_build_dir) {
+            cmd.env("CARGO_BUILD_BUILD_DIR", build_dir.as_ref());
+        }
     }
 }
 
@@ -226,6 +231,7 @@ impl FlycheckHandle {
         workspace_root: AbsPathBuf,
         manifest_path: Option<AbsPathBuf>,
         ws_target_dir: Option<Utf8PathBuf>,
+        ws_build_dir: Option<Utf8PathBuf>,
         toolchain_version: Option<semver::Version>,
     ) -> FlycheckHandle {
         let actor = FlycheckActor::new(
@@ -238,6 +244,7 @@ impl FlycheckHandle {
             workspace_root,
             manifest_path,
             ws_target_dir,
+            ws_build_dir,
             toolchain_version,
         );
         let (sender, receiver) = unbounded::<StateChange>();
@@ -431,6 +438,7 @@ struct FlycheckActor {
 
     manifest_path: Option<AbsPathBuf>,
     ws_target_dir: Option<Utf8PathBuf>,
+    ws_build_dir: Option<Utf8PathBuf>,
     /// Either the workspace root of the workspace we are flychecking,
     /// or the project root of the project.
     root: Arc<AbsPathBuf>,
@@ -533,6 +541,7 @@ impl FlycheckActor {
         workspace_root: AbsPathBuf,
         manifest_path: Option<AbsPathBuf>,
         ws_target_dir: Option<Utf8PathBuf>,
+        ws_build_dir: Option<Utf8PathBuf>,
         toolchain_version: Option<semver::Version>,
     ) -> FlycheckActor {
         tracing::info!(%id, ?workspace_root, "Spawning flycheck");
@@ -547,6 +556,7 @@ impl FlycheckActor {
             scope: FlycheckScope::Workspace,
             manifest_path,
             ws_target_dir,
+            ws_build_dir,
             command_handle: None,
             command_receiver: None,
             diagnostics_cleared_for: Default::default(),
@@ -961,6 +971,7 @@ impl FlycheckActor {
                 cargo_options.apply_on_command(
                     &mut cmd,
                     self.ws_target_dir.as_ref().map(Utf8PathBuf::as_path),
+                    self.ws_build_dir.as_ref().map(Utf8PathBuf::as_path),
                     package_repr,
                     self.toolchain_version.as_ref(),
                 );
@@ -1181,6 +1192,7 @@ mod tests {
                 extra_env: FxHashMap::default(),
                 config_path: None,
                 target_dir_config: TargetDirectoryConfig::default(),
+                build_dir_config: TargetDirectoryConfig::default(),
             },
             ansi_color_output: true,
         };
diff --git a/crates/rust-analyzer/src/handlers/request.rs b/crates/rust-analyzer/src/handlers/request.rs
index d88eb358d385..531f7879dd01 100644
--- a/crates/rust-analyzer/src/handlers/request.rs
+++ b/crates/rust-analyzer/src/handlers/request.rs
@@ -285,6 +285,7 @@ pub(crate) fn handle_run_test(
                     state.config.cargo_test_options(None),
                     cargo.workspace_root(),
                     Some(cargo.target_directory().as_ref()),
+                    Some(cargo.build_directory().as_ref()),
                     target,
                     state.test_run_sender.clone(),
                     ws.toolchain.as_ref(),
diff --git a/crates/rust-analyzer/src/reload.rs b/crates/rust-analyzer/src/reload.rs
index 173409b32585..6755286ba467 100644
--- a/crates/rust-analyzer/src/reload.rs
+++ b/crates/rust-analyzer/src/reload.rs
@@ -902,6 +902,7 @@ impl GlobalState {
                     None,
                     None,
                     None,
+                    None,
                 )]
             }
             crate::flycheck::InvocationStrategy::PerWorkspace => {
@@ -921,6 +922,7 @@ impl GlobalState {
                                     cargo.workspace_root(),
                                     Some(cargo.manifest_path()),
                                     Some(cargo.target_directory()),
+                                    Some(cargo.build_directory()),
                                 ),
                                 ProjectWorkspaceKind::Json(project) => {
                                     let config_json = crate::flycheck::FlycheckConfigJson {
@@ -932,10 +934,10 @@ impl GlobalState {
                                     // in the workspace configuration.
                                     match config {
                                         _ if config_json.any_configured() => {
-                                            (config_json, project.path(), None, None)
+                                            (config_json, project.path(), None, None, None)
                                         }
                                         FlycheckConfig::CustomCommand { .. } => {
-                                            (config_json, project.path(), None, None)
+                                            (config_json, project.path(), None, None, None)
                                         }
                                         _ => return None,
                                     }
@@ -949,7 +951,7 @@ impl GlobalState {
                     .map(
                         |(
                             id,
-                            (config_json, root, manifest_path, target_dir),
+                            (config_json, root, manifest_path, target_dir, build_dir),
                             sysroot_root,
                             toolchain,
                         )| {
@@ -963,6 +965,7 @@ impl GlobalState {
                                 root.to_path_buf(),
                                 manifest_path.map(|it| it.to_path_buf()),
                                 target_dir.map(|it| AsRef::<Utf8Path>::as_ref(it).to_path_buf()),
+                                build_dir.map(|it| AsRef::<Utf8Path>::as_ref(it).to_path_buf()),
                                 toolchain,
                             )
                         },
diff --git a/crates/rust-analyzer/src/test_runner.rs b/crates/rust-analyzer/src/test_runner.rs
index 62d242f9d083..c53f88d20d40 100644
--- a/crates/rust-analyzer/src/test_runner.rs
+++ b/crates/rust-analyzer/src/test_runner.rs
@@ -106,6 +106,7 @@ impl CargoTestHandle {
         options: CargoOptions,
         root: &AbsPath,
         ws_target_dir: Option<&Utf8Path>,
+        ws_build_dir: Option<&Utf8Path>,
         test_target: TestTarget,
         sender: Sender<CargoTestMessage>,
         toolchain_version: Option<&semver::Version>,
@@ -135,6 +136,7 @@ impl CargoTestHandle {
         options.apply_on_command(
             &mut cmd,
             ws_target_dir,
+            ws_build_dir,
             Some(&test_target.package),
             toolchain_version,
         );
diff --git a/docs/book/src/configuration_generated.md b/docs/book/src/configuration_generated.md
index 1c4642751f48..4a69d751047c 100644
--- a/docs/book/src/configuration_generated.md
+++ b/docs/book/src/configuration_generated.md
@@ -56,6 +56,20 @@ Automatically refresh project info via `cargo metadata` on
 `Cargo.toml` or `.cargo/config.toml` changes.
 
 
+## rust-analyzer.cargo.buildDir {#cargo.buildDir}
+
+Default: `null`
+
+Optional path to a rust-analyzer specific build directory.
+Since cargo's build-directory defaults to the target-directory, it should only
+be needed to set this if a custom build-directory is configured.
+Otherwise setting `cargo.targetDir` is sufficient to prevent rust-analyzer from
+locking the `Cargo.lock`.
+
+Set to `true` to use a subdirectory of the existing build directory or
+set to a path relative to the workspace to use that path.
+
+
 ## rust-analyzer.cargo.buildScripts.enable {#cargo.buildScripts.enable}
 
 Default: `true`
diff --git a/editors/code/package.json b/editors/code/package.json
index de9f17b9ccbf..4f04c10d87ea 100644
--- a/editors/code/package.json
+++ b/editors/code/package.json
@@ -881,6 +881,26 @@
                     }
                 }
             },
+            {
+                "title": "Cargo",
+                "properties": {
+                    "rust-analyzer.cargo.buildDir": {
+                        "markdownDescription": "Optional path to a rust-analyzer specific build directory.\nSince cargo's build-directory defaults to the target-directory, it should only\nbe needed to set this if a custom build-directory is configured.\nOtherwise setting `cargo.targetDir` is sufficient to prevent rust-analyzer from\nlocking the `Cargo.lock`.\n\nSet to `true` to use a subdirectory of the existing build directory or\nset to a path relative to the workspace to use that path.",
+                        "default": null,
+                        "anyOf": [
+                            {
+                                "type": "null"
+                            },
+                            {
+                                "type": "boolean"
+                            },
+                            {
+                                "type": "string"
+                            }
+                        ]
+                    }
+                }
+            },
             {
                 "title": "Cargo",
                 "properties": {