diff --git a/packages/js/src/generators/library/library.ts b/packages/js/src/generators/library/library.ts
index 26a6d99ee5716a..c18d009a5eff3d 100644
--- a/packages/js/src/generators/library/library.ts
+++ b/packages/js/src/generators/library/library.ts
@@ -263,15 +263,27 @@ async function configureProject(
   }
 
   if (!options.useProjectJson) {
+    // we create a cleaner project configuration for the package.json file
+    const projectConfiguration: ProjectConfiguration = {
+      root: options.projectRoot,
+    };
+
     if (options.name !== options.importPath) {
       // if the name is different than the package.json name, we need to set
       // the proper name in the configuration
-      updateProjectConfiguration(tree, options.name, {
-        name: options.name,
-        root: options.projectRoot,
-      });
+      projectConfiguration.name = options.name;
+    }
+
+    if (options.parsedTags?.length) {
+      projectConfiguration.tags = options.parsedTags;
     }
 
+    if (options.publishable) {
+      await addProjectToNxReleaseConfig(tree, options, projectConfiguration);
+    }
+
+    updateProjectConfiguration(tree, options.name, projectConfiguration);
+
     return;
   }