diff --git a/plugins/builder/environment.go b/plugins/builder/environment.go
index 61d5412..1def723 100644
--- a/plugins/builder/environment.go
+++ b/plugins/builder/environment.go
@@ -81,6 +81,15 @@ func newBuildEnvironment(b *Builder) (*buildEnvironment, error) {
 	return env, nil
 }
 
+// ensureModuleRequired adds a replaced module to go.mod as a requirement.
+// Replaced modules need an explicit require directive with a placeholder version,
+// otherwise Go reports "replaced but not required" errors during compilation.
+func (env *buildEnvironment) ensureModuleRequired(ctx context.Context, pkg string) error {
+	// Strip version suffix if present, use placeholder version for replaced modules.
+	mod, _, _ := strings.Cut(pkg, "@")
+	return env.execGoMod(ctx, "edit", "-require", mod+"@v0.0.0")
+}
+
 func (env *buildEnvironment) CreateModFile(ctx context.Context, opts *BuildOptions) error {
 	var err error
 	// Create go.mod.
@@ -89,7 +98,7 @@ func (env *buildEnvironment) CreateModFile(ctx context.Context, opts *BuildOptio
 		return err
 	}
 
-	// Replace requested modules.
+	// Apply requested module replacements.
 	for o, n := range opts.ModReplace {
 		err = env.execGoMod(ctx, "edit", "-replace", o+"="+n)
 		if err != nil {
@@ -97,39 +106,59 @@ func (env *buildEnvironment) CreateModFile(ctx context.Context, opts *BuildOptio
 		}
 	}
 
-	// Download the requested dependencies directly.
+	// Download dependencies.
 	if opts.NoCache {
-		domains := make([]string, len(opts.Plugins))
-		for i := 0; i < len(domains); i++ {
-			domains[i] = opts.Plugins[i].Path
+		// Set GONOSUMDB and GONOPROXY for modules that should not be cached or verified.
+		domains := make([]string, 0, len(opts.Plugins)+1)
+		for _, p := range opts.Plugins {
+			domains = append(domains, p.Path)
+		}
+		if opts.CorePkg.Path != "" {
+			domains = append(domains, opts.CorePkg.Path)
 		}
 		noproxy := strings.Join(domains, ",")
 		env.env = append(env.env, "GONOSUMDB="+noproxy, "GONOPROXY="+noproxy)
 	}
 
-	// Download core.
-	err = env.execGoGet(ctx, opts.CorePkg.String())
-	if err != nil {
+	// Download core package.
+	// Replaced modules need an explicit require directive first, otherwise Go
+	// reports "replaced but not required" errors during compilation.
+	if _, ok := opts.ModReplace[opts.CorePkg.Path]; ok {
+		if err = env.ensureModuleRequired(ctx, opts.CorePkg.String()); err != nil {
+			return err
+		}
+	}
+	if err = env.execGoGet(ctx, opts.CorePkg.String()); err != nil {
 		return err
 	}
 
 	// Download plugins.
-nextPlugin:
 	for _, p := range opts.Plugins {
-		// Do not get plugins of module subpath.
+		// Skip plugins that are subpaths of replaced modules.
+		isSubpath := false
 		for repl := range opts.ModReplace {
 			if p.Path != repl && strings.HasPrefix(p.Path, repl) {
-				continue nextPlugin
+				isSubpath = true
+				break
 			}
 		}
-		err = env.execGoGet(ctx, p.String())
-		if err != nil {
+		if isSubpath {
+			continue
+		}
+
+		// Replaced modules need an explicit require directive before go get.
+		if _, ok := opts.ModReplace[p.Path]; ok {
+			if err = env.ensureModuleRequired(ctx, p.String()); err != nil {
+				return err
+			}
+		}
+		if err = env.execGoGet(ctx, p.String()); err != nil {
 			return err
 		}
 	}
 	// @todo update all but with fixed versions if requested
 
-	return err
+	return nil
 }
 
 func (env *buildEnvironment) Filepath(s string) string {
diff --git a/test/testdata/build/replace.txtar b/test/testdata/build/replace.txtar
new file mode 100644
index 0000000..887cd44
--- /dev/null
+++ b/test/testdata/build/replace.txtar
@@ -0,0 +1,22 @@
+# Launchr Replace Module Test
+#
+# Validates that replaced modules are properly required in go.mod.
+# Regression test for: "replaced but not required" error when using --replace flag.
+# When a module is replaced, `go mod edit -require` must be used to add it
+# to go.mod, otherwise Go compilation fails.
+
+env HOME=$REAL_HOME
+env APP_PLUGIN_LOCAL=example.com/genaction@v1.1.1
+env APP_PLUGIN_LOCAL_PATH=$REPO_PATH/test/plugins/genaction
+
+# Test 1: Build with only replaced plugin (no external plugins).
+# This is the minimal reproduction of the "replaced but not required" bug.
+! exists launchr
+exec launchr build -r $CORE_PKG=$REPO_PATH -p $APP_PLUGIN_LOCAL -r $APP_PLUGIN_LOCAL=$APP_PLUGIN_LOCAL_PATH
+! stderr .
+exists launchr
+
+# Test 2: Verify the built binary works.
+exec ./launchr genaction:example
+stdout 'hello world'
+! stderr .