diff --git a/crates-cli/yaak-cli/src/context.rs b/crates-cli/yaak-cli/src/context.rs
index a0175b84..fabe9b04 100644
--- a/crates-cli/yaak-cli/src/context.rs
+++ b/crates-cli/yaak-cli/src/context.rs
@@ -39,13 +39,13 @@ impl CliContext {
 
         let plugin_manager = if with_plugins {
             let embedded_vendored_plugin_dir = data_dir.join("vendored-plugins");
-            let vendored_plugin_dir =
+            let bundled_plugin_dir =
                 resolve_bundled_plugin_dir_for_cli(&embedded_vendored_plugin_dir);
             let installed_plugin_dir = data_dir.join("installed-plugins");
             let node_bin_path = PathBuf::from("node");
 
-            if vendored_plugin_dir == embedded_vendored_plugin_dir {
-                prepare_embedded_vendored_plugins(&vendored_plugin_dir)
+            if bundled_plugin_dir == embedded_vendored_plugin_dir {
+                prepare_embedded_vendored_plugins(&embedded_vendored_plugin_dir)
                     .expect("Failed to prepare bundled plugins");
             }
 
@@ -56,7 +56,8 @@ impl CliContext {
                 });
 
             match PluginManager::new(
-                vendored_plugin_dir,
+                bundled_plugin_dir,
+                embedded_vendored_plugin_dir,
                 installed_plugin_dir,
                 node_bin_path,
                 plugin_runtime_main,
diff --git a/crates-tauri/yaak-app/src/plugins_ext.rs b/crates-tauri/yaak-app/src/plugins_ext.rs
index 29b95b67..7bcf822b 100644
--- a/crates-tauri/yaak-app/src/plugins_ext.rs
+++ b/crates-tauri/yaak-app/src/plugins_ext.rs
@@ -240,14 +240,14 @@ pub fn init<R: Runtime>() -> TauriPlugin<R> {
     Builder::new("yaak-plugins")
         .setup(|app_handle, _| {
             // Resolve paths for plugin manager
-            let bundled_plugin_dir = app_handle
+            let vendored_plugin_dir = app_handle
                 .path()
                 .resolve("vendored/plugins", BaseDirectory::Resource)
                 .expect("failed to resolve plugin directory resource");
-            let vendored_plugin_dir = if is_dev() {
-                resolve_workspace_plugins_dir().unwrap_or(bundled_plugin_dir)
+            let bundled_plugin_dir = if is_dev() {
+                resolve_workspace_plugins_dir().unwrap_or_else(|| vendored_plugin_dir.clone())
             } else {
-                bundled_plugin_dir
+                vendored_plugin_dir.clone()
             };
 
             let installed_plugin_dir = app_handle
@@ -279,6 +279,7 @@ pub fn init<R: Runtime>() -> TauriPlugin<R> {
             let app_handle_clone = app_handle.clone();
             tauri::async_runtime::block_on(async move {
                 let manager = PluginManager::new(
+                    bundled_plugin_dir,
                     vendored_plugin_dir,
                     installed_plugin_dir,
                     node_bin_path,
diff --git a/crates/yaak-plugins/src/manager.rs b/crates/yaak-plugins/src/manager.rs
index 7dc939ea..f7e6f2ab 100644
--- a/crates/yaak-plugins/src/manager.rs
+++ b/crates/yaak-plugins/src/manager.rs
@@ -45,6 +45,7 @@ pub struct PluginManager {
     kill_tx: tokio::sync::watch::Sender<bool>,
     killed_rx: Arc<Mutex<Option<oneshot::Receiver<()>>>>,
     ws_service: Arc<PluginRuntimeServerWebsocket>,
+    bundled_plugin_dir: PathBuf,
     vendored_plugin_dir: PathBuf,
     pub(crate) installed_plugin_dir: PathBuf,
 }
@@ -56,6 +57,7 @@ impl PluginManager {
     /// Create a new PluginManager with the given paths.
     ///
     /// # Arguments
+    /// * `bundled_plugin_dir` - Directory to scan for bundled plugins
     /// * `vendored_plugin_dir` - Path to vendored plugins directory
     /// * `installed_plugin_dir` - Path to installed plugins directory
     /// * `node_bin_path` - Path to the yaaknode binary
@@ -63,6 +65,7 @@ impl PluginManager {
     /// * `query_manager` - Query manager for bundled plugin registration and loading
     /// * `plugin_context` - Context to use while initializing plugins
     pub async fn new(
+        bundled_plugin_dir: PathBuf,
         vendored_plugin_dir: PathBuf,
         installed_plugin_dir: PathBuf,
         node_bin_path: PathBuf,
@@ -85,6 +88,7 @@ impl PluginManager {
             ws_service: Arc::new(ws_service.clone()),
             kill_tx: kill_server_tx,
             killed_rx: Arc::new(Mutex::new(Some(killed_rx))),
+            bundled_plugin_dir,
             vendored_plugin_dir,
             installed_plugin_dir,
         };
@@ -190,8 +194,8 @@ impl PluginManager {
     /// Read plugin directories from disk and return their paths.
     /// This is useful for discovering bundled plugins.
     pub async fn list_bundled_plugin_dirs(&self) -> Result<Vec<String>> {
-        info!("Loading bundled plugins from {:?}", self.vendored_plugin_dir);
-        read_plugins_dir(&self.vendored_plugin_dir).await
+        info!("Loading bundled plugins from {:?}", self.bundled_plugin_dir);
+        read_plugins_dir(&self.bundled_plugin_dir).await
     }
 
     pub async fn uninstall(&self, plugin_context: &PluginContext, dir: &str) -> Result<()> {