diff --git a/.bazelci/presubmit.yml b/.bazelci/presubmit.yml
index d7e4518b51..c1a77fd7c9 100644
--- a/.bazelci/presubmit.yml
+++ b/.bazelci/presubmit.yml
@@ -98,10 +98,8 @@ tasks:
     platform: windows
     build_flags:
       - "--noenable_runfiles"
-      - "--//cargo/settings:incompatible_runfiles_cargo_manifest_dir=true"
     test_flags:
       - "--noenable_runfiles"
-      - "--//cargo/settings:incompatible_runfiles_cargo_manifest_dir=true"
     build_targets: *default_windows_no_runfiles_targets
     test_targets: *default_windows_no_runfiles_targets
   ubuntu2004_split_coverage_postprocessing:
@@ -204,12 +202,10 @@ tasks:
       - "--noenable_runfiles"
       - "--config=rustfmt"
       - "--config=clippy"
-      - "--//cargo/settings:incompatible_runfiles_cargo_manifest_dir=true"
     test_flags:
       - "--noenable_runfiles"
       - "--config=rustfmt"
       - "--config=clippy"
-      - "--//cargo/settings:incompatible_runfiles_cargo_manifest_dir=true"
     build_targets: *default_windows_no_runfiles_targets
     test_targets: *default_windows_no_runfiles_targets
   windows_rolling_with_aspects:
diff --git a/cargo/settings/BUILD.bazel b/cargo/settings/BUILD.bazel
index b29ef2ecb3..326121e755 100644
--- a/cargo/settings/BUILD.bazel
+++ b/cargo/settings/BUILD.bazel
@@ -15,7 +15,7 @@ bool_flag(
 # https://github.com/bazelbuild/bazel/issues/15486
 bool_flag(
     name = "incompatible_runfiles_cargo_manifest_dir",
-    build_setting_default = False,
+    build_setting_default = True,
 )
 
 # A flag which determines what files are retained in `CARGO_MANIFEST_DIR` directories