diff --git a/crates/vite_global_cli/src/cli.rs b/crates/vite_global_cli/src/cli.rs
index f214bef15b..ed873958ea 100644
--- a/crates/vite_global_cli/src/cli.rs
+++ b/crates/vite_global_cli/src/cli.rs
@@ -727,7 +727,7 @@ async fn managed_update(
         }
         current_node_version = get_current_node_version().await?;
 
-        for metadata in &all {
+        for metadata in all.iter().filter(|metadata| !metadata.local) {
             if !is_same_node_version(&metadata.platform.node, &current_node_version) {
                 node_mismatches.push(NodeMismatchPackage {
                     name: metadata.name.clone(),
@@ -743,15 +743,17 @@ async fn managed_update(
         current_node_version = get_current_node_version().await?;
 
         for package in packages {
-            // Always update local packages
-            if global::is_local_package_spec(package) {
-                to_update.push(package.clone());
-                continue;
-            }
-
-            // It is not a local package, so `parse_package_spec` there won't return `Err()`
-            let (package_name, _) = global::parse_package_spec(package).unwrap();
+            let (package_name, _) = match global::parse_package_spec(package) {
+                Ok(parsed) => parsed,
+                Err(error) => {
+                    output::error(&format!("Failed to update {package}: {error}"));
+                    return Ok(exit_status(1));
+                }
+            };
             if let Some(metadata) = PackageMetadata::load(&package_name).await? {
+                if metadata.local {
+                    continue;
+                }
                 if !is_same_node_version(&metadata.platform.node, &current_node_version) {
                     node_mismatches.push(NodeMismatchPackage {
                         name: package_name,
diff --git a/crates/vite_global_cli/src/commands/env/package_metadata.rs b/crates/vite_global_cli/src/commands/env/package_metadata.rs
index 8753e1dbbb..8f0eeedfd7 100644
--- a/crates/vite_global_cli/src/commands/env/package_metadata.rs
+++ b/crates/vite_global_cli/src/commands/env/package_metadata.rs
@@ -46,6 +46,9 @@ pub struct PackageMetadata {
     /// `corepack`). Updates keep the restriction; explicit installs reset it.
     #[serde(default, skip_serializing_if = "std::ops::Not::not")]
     pub bins_restricted: bool,
+    /// Whether the package was installed from local filesystem content.
+    #[serde(default, skip_serializing_if = "std::ops::Not::not")]
+    pub local: bool,
     /// Package manager used for installation (npm, yarn, pnpm)
     pub manager: String,
     /// Installation timestamp
@@ -81,6 +84,7 @@ impl PackageMetadata {
             bins,
             js_bins,
             bins_restricted: false,
+            local: false,
             manager,
             installed_at: Utc::now(),
         }
@@ -253,6 +257,7 @@ mod tests {
         .unwrap();
 
         assert!(metadata.install_id.is_empty());
+        assert!(!metadata.local);
     }
 
     #[test]
diff --git a/crates/vite_global_cli/src/commands/global/install.rs b/crates/vite_global_cli/src/commands/global/install.rs
index f750221a4d..d4e4049ec8 100644
--- a/crates/vite_global_cli/src/commands/global/install.rs
+++ b/crates/vite_global_cli/src/commands/global/install.rs
@@ -231,7 +231,7 @@ pub async fn install(
 
     // 4. Finalize installed packages.
     let mut bin_owners = HashMap::<String, String>::new();
-    for (index, (package_name, Package { spec: _, install })) in packages.into_iter().enumerate() {
+    for (index, (package_name, Package { spec, install })) in packages.into_iter().enumerate() {
         let lock_file = install_locks.remove(&package_name);
         let Some(InstalledPackage {
             installed_version,
@@ -403,6 +403,7 @@ pub async fn install(
         );
         metadata.install_id = install_id.clone();
         metadata.bins_restricted = bins_restricted;
+        metadata.local = is_local_package_spec(spec);
 
         let mut finalized = true;
         for bin_name in &stale_bin_names {
diff --git a/crates/vite_global_cli/src/commands/global/outdated.rs b/crates/vite_global_cli/src/commands/global/outdated.rs
index 47f14f01c0..74e07aa5cd 100644
--- a/crates/vite_global_cli/src/commands/global/outdated.rs
+++ b/crates/vite_global_cli/src/commands/global/outdated.rs
@@ -53,12 +53,20 @@ pub async fn get_outdated_packages(
                 continue;
             };
             if let Some(metadata) = PackageMetadata::load(&package_name).await? {
+                if metadata.local {
+                    continue;
+                }
                 installed.push((metadata, Some(package.clone())));
             }
         }
         installed
     } else {
-        PackageMetadata::list_all().await?.into_iter().map(|package| (package, None)).collect()
+        PackageMetadata::list_all()
+            .await?
+            .into_iter()
+            .filter(|package| !package.local)
+            .map(|package| (package, None))
+            .collect()
     };
 
     if installed.is_empty() {
@@ -272,3 +280,56 @@ fn exit_status(code: i32) -> ExitStatus {
         ExitStatus::from_raw(code as u32)
     }
 }
+
+#[cfg(test)]
+mod tests {
+    use std::collections::HashSet;
+
+    use tempfile::TempDir;
+
+    use super::*;
+    use crate::commands::env::package_metadata::PackageMetadata;
+
+    async fn save_local_metadata(name: &str) {
+        let mut metadata = PackageMetadata::new(
+            name.to_string(),
+            "1.0.0".to_string(),
+            "22.0.0".to_string(),
+            None,
+            vec![name.to_string()],
+            HashSet::from([name.to_string()]),
+            "npm".to_string(),
+        );
+        metadata.local = true;
+        metadata.save().await.unwrap();
+    }
+
+    #[tokio::test]
+    async fn skips_local_packages_when_checking_all_global_updates() {
+        let temp_dir = TempDir::new().unwrap();
+        let _guard = vite_shared::EnvConfig::test_guard(
+            vite_shared::EnvConfig::for_test_with_home(temp_dir.path()),
+        );
+
+        save_local_metadata("some-local-package").await;
+
+        let outdated = get_outdated_packages(&[], 1, true).await.unwrap();
+
+        assert!(outdated.is_empty());
+    }
+
+    #[tokio::test]
+    async fn skips_local_packages_when_checking_named_global_updates() {
+        let temp_dir = TempDir::new().unwrap();
+        let _guard = vite_shared::EnvConfig::test_guard(
+            vite_shared::EnvConfig::for_test_with_home(temp_dir.path()),
+        );
+
+        save_local_metadata("some-local-package").await;
+
+        let outdated =
+            get_outdated_packages(&["some-local-package".to_string()], 1, true).await.unwrap();
+
+        assert!(outdated.is_empty());
+    }
+}