diff --git a/packages/babel-preset-env/src/index.js b/packages/babel-preset-env/src/index.js
index bed18c728b..338a25a6ab 100644
--- a/packages/babel-preset-env/src/index.js
+++ b/packages/babel-preset-env/src/index.js
@@ -155,6 +155,10 @@ const filterItems = (
   return result;
 };
 
+function supportsStaticESM(caller) {
+  return !!(caller && caller.supportsStaticESM);
+}
+
 export default declare((api, opts) => {
   api.assertVersion(7);
 
@@ -232,9 +236,15 @@ export default declare((api, opts) => {
   const plugins = [];
   const pluginUseBuiltIns = useBuiltIns !== false;
 
-  // NOTE: not giving spec here yet to avoid compatibility issues when
-  // transform-modules-commonjs gets its spec mode
-  if (modules !== false && moduleTransformations[modules]) {
+  if (
+    modules !== false &&
+    moduleTransformations[modules] &&
+    // TODO: Remove the 'api.caller' check eventually. Just here to prevent
+    // unnecessary breakage in the short term for users on older betas/RCs.
+    (modules !== "auto" || !api.caller || !api.caller(supportsStaticESM))
+  ) {
+    // NOTE: not giving spec here yet to avoid compatibility issues when
+    // transform-modules-commonjs gets its spec mode
     plugins.push([getPlugin(moduleTransformations[modules]), { loose }]);
   }
 
diff --git a/packages/babel-preset-env/src/module-transformations.js b/packages/babel-preset-env/src/module-transformations.js
index ad50bdc263..a98f8dd044 100644
--- a/packages/babel-preset-env/src/module-transformations.js
+++ b/packages/babel-preset-env/src/module-transformations.js
@@ -1,4 +1,5 @@
 export default {
+  auto: "transform-modules-commonjs",
   amd: "transform-modules-amd",
   commonjs: "transform-modules-commonjs",
   cjs: "transform-modules-commonjs",
diff --git a/packages/babel-preset-env/src/normalize-options.js b/packages/babel-preset-env/src/normalize-options.js
index 838625ecc2..6d1e58ffce 100644
--- a/packages/babel-preset-env/src/normalize-options.js
+++ b/packages/babel-preset-env/src/normalize-options.js
@@ -128,13 +128,16 @@ export const validateIgnoreBrowserslistConfig = (
   );
 
 export const validateModulesOption = (
-  modulesOpt: ModuleOption = ModulesOption.commonjs,
+  modulesOpt: ModuleOption = ModulesOption.auto,
 ) => {
   invariant(
     ModulesOption[modulesOpt] ||
       ModulesOption[modulesOpt] === ModulesOption.false,
-    `Invalid Option: The 'modules' option must be either 'false' to indicate no modules, or a
-    module type which can be be one of: 'commonjs' (default), 'amd', 'umd', 'systemjs'.`,
+    `Invalid Option: The 'modules' option must be one of \n` +
+      ` - 'false' to indicate no module processing\n` +
+      ` - a specific module type: 'commonjs', 'amd', 'umd', 'systemjs'` +
+      ` - 'auto' (default) which will automatically select 'false' if the current\n` +
+      `   process is known to support ES module syntax, or "commonjs" otherwise\n`,
   );
 
   return modulesOpt;
diff --git a/packages/babel-preset-env/src/options.js b/packages/babel-preset-env/src/options.js
index b201bac971..e1f08ccd9b 100644
--- a/packages/babel-preset-env/src/options.js
+++ b/packages/babel-preset-env/src/options.js
@@ -15,6 +15,7 @@ export const TopLevelOptions = {
 
 export const ModulesOption = {
   false: false,
+  auto: "auto",
   amd: "amd",
   commonjs: "commonjs",
   cjs: "cjs",
diff --git a/packages/babel-preset-env/test/debug-fixtures/android/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/android/stdout.txt
index 32f42d1280..1d18dada55 100644
--- a/packages/babel-preset-env/test/debug-fixtures/android/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/android/stdout.txt
@@ -5,7 +5,7 @@ Using targets:
   "android": "4"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-template-literals { "android":"4" }
@@ -147,4 +147,4 @@ Using polyfills with `entry` option:
   web.timers { "android":"4" }
   web.immediate { "android":"4" }
   web.dom.iterable { "android":"4" }
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/builtins-no-import/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/builtins-no-import/stdout.txt
index a45e0cafb7..57be73e15b 100644
--- a/packages/babel-preset-env/test/debug-fixtures/builtins-no-import/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/builtins-no-import/stdout.txt
@@ -5,7 +5,7 @@ Using targets:
   "node": "6"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-function-name { "node":"6" }
@@ -21,4 +21,4 @@ Using plugins:
 Using polyfills with `entry` option:
 
 [<CWD>/src/in.js] `import '@babel/polyfill'` was not found.
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/builtins/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/builtins/stdout.txt
index d348725928..580b0a9b53 100644
--- a/packages/babel-preset-env/test/debug-fixtures/builtins/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/builtins/stdout.txt
@@ -7,7 +7,7 @@ Using targets:
   "node": "6"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-template-literals { "ie":"10" }
@@ -163,4 +163,4 @@ Using polyfills with `entry` option:
   web.timers { "chrome":"54", "ie":"10", "node":"6" }
   web.immediate { "chrome":"54", "ie":"10", "node":"6" }
   web.dom.iterable { "chrome":"54", "ie":"10", "node":"6" }
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/electron/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/electron/stdout.txt
index 888b2f76e6..2259bf76bc 100644
--- a/packages/babel-preset-env/test/debug-fixtures/electron/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/electron/stdout.txt
@@ -12,7 +12,7 @@ Using targets:
   "electron": "0.36"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-function-name { "electron":"0.36" }
@@ -123,4 +123,4 @@ Using polyfills with `entry` option:
   web.timers { "electron":"0.36" }
   web.immediate { "electron":"0.36" }
   web.dom.iterable { "electron":"0.36" }
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/plugins-only/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/plugins-only/stdout.txt
index fe38b35270..79448e6036 100644
--- a/packages/babel-preset-env/test/debug-fixtures/plugins-only/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/plugins-only/stdout.txt
@@ -13,7 +13,7 @@ Using targets:
   "node": "7.4"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-literals { "firefox":"52" }
@@ -26,4 +26,4 @@ Using plugins:
   proposal-unicode-property-regex { "firefox":"52", "node":"7.4" }
 
 Using polyfills: No polyfills were added, since the `useBuiltIns` option was not set.
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/shippedProposals-chrome60/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/shippedProposals-chrome60/stdout.txt
index 99e76ef7e1..673f11cefe 100644
--- a/packages/babel-preset-env/test/debug-fixtures/shippedProposals-chrome60/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/shippedProposals-chrome60/stdout.txt
@@ -5,7 +5,7 @@ Using targets:
   "chrome": "60"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-dotall-regex { "chrome":"60" }
@@ -27,4 +27,4 @@ Using polyfills with `entry` option:
   web.timers { "chrome":"60" }
   web.immediate { "chrome":"60" }
   web.dom.iterable { "chrome":"60" }
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/shippedProposals/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/shippedProposals/stdout.txt
index ea90165dbb..eeb2dbe2ea 100644
--- a/packages/babel-preset-env/test/debug-fixtures/shippedProposals/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/shippedProposals/stdout.txt
@@ -3,7 +3,7 @@
 Using targets:
 {}
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-template-literals {}
@@ -181,4 +181,4 @@ Using polyfills with `entry` option:
   web.timers {}
   web.immediate {}
   web.dom.iterable {}
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/specific-targets/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/specific-targets/stdout.txt
index da1dc462cd..4a68987092 100644
--- a/packages/babel-preset-env/test/debug-fixtures/specific-targets/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/specific-targets/stdout.txt
@@ -10,7 +10,7 @@ Using targets:
   "safari": "7"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-template-literals { "ie":"10", "safari":"7" }
@@ -167,4 +167,4 @@ Using polyfills with `entry` option:
   web.timers { "chrome":"54", "edge":"13", "firefox":"49", "ie":"10", "ios":"9", "safari":"7" }
   web.immediate { "chrome":"54", "edge":"13", "firefox":"49", "ie":"10", "ios":"9", "safari":"7" }
   web.dom.iterable { "chrome":"54", "edge":"13", "firefox":"49", "ie":"10", "ios":"9", "safari":"7" }
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/usage-none/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/usage-none/stdout.txt
index 7f52fcadcb..3303a2c986 100644
--- a/packages/babel-preset-env/test/debug-fixtures/usage-none/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/usage-none/stdout.txt
@@ -7,7 +7,7 @@ Using targets:
   "ie": "11"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-template-literals { "ie":"11" }
@@ -41,4 +41,4 @@ Using polyfills with `usage` option:
 [<CWD>/src/in.js] Based on your code and targets, none were added.
 
 [<CWD>/src/in2.js] Based on your code and targets, none were added.
-Successfully compiled 2 files with Babel.
\ No newline at end of file
+Successfully compiled 2 files with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/usage-with-import/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/usage-with-import/stdout.txt
index f081a8e44a..a7fc655f05 100644
--- a/packages/babel-preset-env/test/debug-fixtures/usage-with-import/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/usage-with-import/stdout.txt
@@ -5,7 +5,7 @@ Using targets:
   "chrome": "55"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-dotall-regex { "chrome":"55" }
@@ -16,4 +16,4 @@ Using plugins:
 Using polyfills with `usage` option:
 
 [<CWD>/src/in.js] Based on your code and targets, none were added.
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/usage/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/usage/stdout.txt
index cfda6d7e23..e4c25e2257 100644
--- a/packages/babel-preset-env/test/debug-fixtures/usage/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/usage/stdout.txt
@@ -7,7 +7,7 @@ Using targets:
   "ie": "11"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-template-literals { "ie":"11" }
@@ -47,4 +47,4 @@ Using polyfills with `usage` option:
 [<CWD>/src/in2.js] Added following polyfills:
   regenerator-runtime { "chrome":"52", "firefox":"50", "ie":"11" }
   web.dom.iterable { "chrome":"52", "firefox":"50", "ie":"11" }
-Successfully compiled 2 files with Babel.
\ No newline at end of file
+Successfully compiled 2 files with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/versions-decimals/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/versions-decimals/stdout.txt
index 73d1851f32..5a8cf6876c 100644
--- a/packages/babel-preset-env/test/debug-fixtures/versions-decimals/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/versions-decimals/stdout.txt
@@ -16,7 +16,7 @@ Using targets:
   "node": "6.1"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-template-literals { "ie":"10" }
@@ -193,4 +193,4 @@ Using polyfills with `entry` option:
   web.timers { "chrome":"54", "electron":"0.36", "ie":"10", "node":"6.1" }
   web.immediate { "chrome":"54", "electron":"0.36", "ie":"10", "node":"6.1" }
   web.dom.iterable { "chrome":"54", "electron":"0.36", "ie":"10", "node":"6.1" }
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/debug-fixtures/versions-strings/stdout.txt b/packages/babel-preset-env/test/debug-fixtures/versions-strings/stdout.txt
index dba1eb2172..73ef76a11f 100644
--- a/packages/babel-preset-env/test/debug-fixtures/versions-strings/stdout.txt
+++ b/packages/babel-preset-env/test/debug-fixtures/versions-strings/stdout.txt
@@ -7,7 +7,7 @@ Using targets:
   "node": "6.10"
 }
 
-Using modules transform: commonjs
+Using modules transform: auto
 
 Using plugins:
   transform-template-literals { "ie":"10" }
@@ -163,4 +163,4 @@ Using polyfills with `entry` option:
   web.timers { "chrome":"54", "ie":"10", "node":"6.10" }
   web.immediate { "chrome":"54", "ie":"10", "node":"6.10" }
   web.dom.iterable { "chrome":"54", "ie":"10", "node":"6.10" }
-Successfully compiled 1 file with Babel.
\ No newline at end of file
+Successfully compiled 1 file with Babel.
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-cjs/input.mjs b/packages/babel-preset-env/test/fixtures/modules/auto-cjs/input.mjs
new file mode 100644
index 0000000000..e5a2b28c2f
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-cjs/input.mjs
@@ -0,0 +1,2 @@
+import mod from "mod";
+console.log(mod);
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-cjs/options.json b/packages/babel-preset-env/test/fixtures/modules/auto-cjs/options.json
new file mode 100644
index 0000000000..e35c724b5a
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-cjs/options.json
@@ -0,0 +1,9 @@
+{
+  "caller": {
+    "name": "test-fixture",
+    "supportsStaticESM": false
+  },
+  "presets": [
+    "env"
+  ]
+}
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-cjs/output.js b/packages/babel-preset-env/test/fixtures/modules/auto-cjs/output.js
new file mode 100644
index 0000000000..d79cb698b5
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-cjs/output.js
@@ -0,0 +1,7 @@
+"use strict";
+
+var _mod = _interopRequireDefault(require("mod"));
+
+function _interopRequireDefault(obj) { return obj && obj.__esModule ? obj : { default: obj }; }
+
+console.log(_mod.default);
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-esm/input.mjs b/packages/babel-preset-env/test/fixtures/modules/auto-esm/input.mjs
new file mode 100644
index 0000000000..e5a2b28c2f
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-esm/input.mjs
@@ -0,0 +1,2 @@
+import mod from "mod";
+console.log(mod);
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-esm/options.json b/packages/babel-preset-env/test/fixtures/modules/auto-esm/options.json
new file mode 100644
index 0000000000..a4e6bf5cde
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-esm/options.json
@@ -0,0 +1,9 @@
+{
+  "caller": {
+    "name": "test-fixture",
+    "supportsStaticESM": true
+  },
+  "presets": [
+    "env"
+  ]
+}
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-esm/output.mjs b/packages/babel-preset-env/test/fixtures/modules/auto-esm/output.mjs
new file mode 100644
index 0000000000..e5a2b28c2f
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-esm/output.mjs
@@ -0,0 +1,2 @@
+import mod from "mod";
+console.log(mod);
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-unknown/input.mjs b/packages/babel-preset-env/test/fixtures/modules/auto-unknown/input.mjs
new file mode 100644
index 0000000000..e5a2b28c2f
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-unknown/input.mjs
@@ -0,0 +1,2 @@
+import mod from "mod";
+console.log(mod);
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-unknown/options.json b/packages/babel-preset-env/test/fixtures/modules/auto-unknown/options.json
new file mode 100644
index 0000000000..b207aefdde
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-unknown/options.json
@@ -0,0 +1,5 @@
+{
+  "presets": [
+    "env"
+  ]
+}
diff --git a/packages/babel-preset-env/test/fixtures/modules/auto-unknown/output.js b/packages/babel-preset-env/test/fixtures/modules/auto-unknown/output.js
new file mode 100644
index 0000000000..d79cb698b5
--- /dev/null
+++ b/packages/babel-preset-env/test/fixtures/modules/auto-unknown/output.js
@@ -0,0 +1,7 @@
+"use strict";
+
+var _mod = _interopRequireDefault(require("mod"));
+
+function _interopRequireDefault(obj) { return obj && obj.__esModule ? obj : { default: obj }; }
+
+console.log(_mod.default);
diff --git a/packages/babel-preset-env/test/normalize-options.spec.js b/packages/babel-preset-env/test/normalize-options.spec.js
index abe163e0cf..7a0f481f7b 100644
--- a/packages/babel-preset-env/test/normalize-options.spec.js
+++ b/packages/babel-preset-env/test/normalize-options.spec.js
@@ -134,16 +134,20 @@ describe("normalize-options", () => {
   });
 
   describe("validateModulesOption", () => {
-    it("`undefined` option returns commonjs", () => {
-      expect(validateModulesOption()).toBe("commonjs");
+    it("`undefined` option returns auto", () => {
+      expect(validateModulesOption()).toBe("auto");
     });
 
-    it("`false` option returns commonjs", () => {
+    it("`false` option returns false", () => {
       expect(validateModulesOption(false)).toBe(false);
     });
 
+    it("auto option is valid", () => {
+      expect(validateModulesOption("auto")).toBe("auto");
+    });
+
     it("commonjs option is valid", () => {
-      expect(validateModulesOption()).toBe("commonjs");
+      expect(validateModulesOption("commonjs")).toBe("commonjs");
     });
 
     it("systemjs option is valid", () => {