diff --git a/packages/create-rstack/README.md b/packages/create-rstack/README.md
index 34d9bbc7..6b2da8f1 100644
--- a/packages/create-rstack/README.md
+++ b/packages/create-rstack/README.md
@@ -23,6 +23,8 @@ npx create-rstack -d my-project -t app-ts
 
 - `app-js` - JavaScript application
 - `app-ts` - TypeScript application
+- `lib-js` - JavaScript Node.js library
+- `lib-ts` - TypeScript Node.js library
 
 ## Documentation
 
diff --git a/packages/create-rstack/src/index.ts b/packages/create-rstack/src/index.ts
index 6054a8cf..9f7b851e 100644
--- a/packages/create-rstack/src/index.ts
+++ b/packages/create-rstack/src/index.ts
@@ -14,6 +14,16 @@ const getTemplateName = async ({ template }: Argv): Promise<string> => {
     return `${type}-${language}`;
   }
 
+  const projectType = checkCancel<string>(
+    await select({
+      message: 'Select project type',
+      options: [
+        { value: 'app', label: 'Web Application' },
+        { value: 'lib', label: 'Library' },
+      ],
+    }),
+  );
+
   const language = checkCancel<string>(
     await select({
       message: 'Select language',
@@ -24,7 +34,7 @@ const getTemplateName = async ({ template }: Argv): Promise<string> => {
     }),
   );
 
-  return `app-${language}`;
+  return `${projectType}-${language}`;
 };
 
 const mapESLintTemplate = (templateName: string): ESLintTemplateName =>
@@ -36,7 +46,7 @@ const mapRslintTemplate = (templateName: string): RslintTemplateName =>
 await create({
   root: path.join(import.meta.dirname, '..'),
   name: 'rstack',
-  templates: ['app-js', 'app-ts'],
+  templates: ['app-js', 'app-ts', 'lib-js', 'lib-ts'],
   builtinTools: [],
   getTemplateName,
   mapESLintTemplate,
diff --git a/packages/create-rstack/template-app-js/AGENTS.md b/packages/create-rstack/template-app-js/AGENTS.md
new file mode 100644
index 00000000..fb378511
--- /dev/null
+++ b/packages/create-rstack/template-app-js/AGENTS.md
@@ -0,0 +1,12 @@
+# AGENTS.md
+
+## Commands
+
+- `{{ packageManager }} run dev` - Start the development server
+- `{{ packageManager }} run build` - Build the app for production
+- `{{ packageManager }} run preview` - Preview the production build locally
+
+## Docs
+
+- Rsbuild: https://rsbuild.rs/llms.txt
+- Rspack: https://rspack.rs/llms.txt
diff --git a/packages/create-rstack/template-app-ts/AGENTS.md b/packages/create-rstack/template-app-ts/AGENTS.md
new file mode 100644
index 00000000..fb378511
--- /dev/null
+++ b/packages/create-rstack/template-app-ts/AGENTS.md
@@ -0,0 +1,12 @@
+# AGENTS.md
+
+## Commands
+
+- `{{ packageManager }} run dev` - Start the development server
+- `{{ packageManager }} run build` - Build the app for production
+- `{{ packageManager }} run preview` - Preview the production build locally
+
+## Docs
+
+- Rsbuild: https://rsbuild.rs/llms.txt
+- Rspack: https://rspack.rs/llms.txt
diff --git a/packages/create-rstack/template-common/AGENTS.md b/packages/create-rstack/template-common/AGENTS.md
index 6c887e17..9f8558e0 100644
--- a/packages/create-rstack/template-common/AGENTS.md
+++ b/packages/create-rstack/template-common/AGENTS.md
@@ -1,15 +1,7 @@
 # AGENTS.md
 
-You are an expert in JavaScript, Rstack, and web application development. You write maintainable, performant, and accessible code.
-
 ## Commands
 
-- `{{ packageManager }} run dev` - Start the development server
-- `{{ packageManager }} run build` - Build the app for production
-- `{{ packageManager }} run preview` - Preview the production build locally
-
 ## Docs
 
 - Rstack: https://rstack.rs/llms.txt
-- Rsbuild: https://rsbuild.rs/llms.txt
-- Rspack: https://rspack.rs/llms.txt
diff --git a/packages/create-rstack/template-lib-js/AGENTS.md b/packages/create-rstack/template-lib-js/AGENTS.md
new file mode 100644
index 00000000..234cc720
--- /dev/null
+++ b/packages/create-rstack/template-lib-js/AGENTS.md
@@ -0,0 +1,14 @@
+# AGENTS.md
+
+## Commands
+
+- `{{ packageManager }} run build` - Build the library for production
+- `{{ packageManager }} run dev` - Rebuild the library when source files change
+- `{{ packageManager }} run test` - Run tests
+- `{{ packageManager }} run test:watch` - Run tests in watch mode
+
+## Docs
+
+- Rslib: https://rslib.rs/llms.txt
+- Rspack: https://rspack.rs/llms.txt
+- Rstest: https://rstest.rs/llms.txt
diff --git a/packages/create-rstack/template-lib-js/README.md b/packages/create-rstack/template-lib-js/README.md
new file mode 100644
index 00000000..ab4b6927
--- /dev/null
+++ b/packages/create-rstack/template-lib-js/README.md
@@ -0,0 +1,40 @@
+# Rstack library
+
+## Setup
+
+Install the dependencies:
+
+```bash
+{{ packageManager }} install
+```
+
+## Get started
+
+Build the library:
+
+```bash
+{{ packageManager }} run build
+```
+
+Build the library in watch mode:
+
+```bash
+{{ packageManager }} run dev
+```
+
+Run tests:
+
+```bash
+{{ packageManager }} run test
+```
+
+Run tests in watch mode:
+
+```bash
+{{ packageManager }} run test:watch
+```
+
+## Learn more
+
+- [Rstack documentation](https://rstack.rs)
+- [Rslib documentation](https://rslib.rs)
diff --git a/packages/create-rstack/template-lib-js/package.json b/packages/create-rstack/template-lib-js/package.json
new file mode 100644
index 00000000..a1008819
--- /dev/null
+++ b/packages/create-rstack/template-lib-js/package.json
@@ -0,0 +1,30 @@
+{
+  "name": "rstack-lib-js",
+  "version": "0.0.0",
+  "sideEffects": false,
+  "type": "module",
+  "exports": {
+    ".": {
+      "default": "./dist/index.js"
+    }
+  },
+  "files": [
+    "dist",
+    "README.md"
+  ],
+  "scripts": {
+    "build": "rs lib",
+    "dev": "rs lib --watch",
+    "test": "rs test",
+    "test:watch": "rs test --watch"
+  },
+  "devDependencies": {
+    "rstack": "^0.3.5"
+  },
+  "engines": {
+    "node": ">=22.12.0"
+  },
+  "publishConfig": {
+    "access": "public"
+  }
+}
diff --git a/packages/create-rstack/template-lib-js/rstack.config.js b/packages/create-rstack/template-lib-js/rstack.config.js
new file mode 100644
index 00000000..437a6bd3
--- /dev/null
+++ b/packages/create-rstack/template-lib-js/rstack.config.js
@@ -0,0 +1,7 @@
+// @ts-check
+// Rstack configuration guide: https://rstack.rs/config
+import { define } from 'rstack';
+
+define.lib({
+  syntax: ['node 22'],
+});
diff --git a/packages/create-rstack/template-lib-js/src/index.js b/packages/create-rstack/template-lib-js/src/index.js
new file mode 100644
index 00000000..f8beddf5
--- /dev/null
+++ b/packages/create-rstack/template-lib-js/src/index.js
@@ -0,0 +1 @@
+export const squared = (n) => n * n;
diff --git a/packages/create-rstack/template-lib-js/tests/index.test.js b/packages/create-rstack/template-lib-js/tests/index.test.js
new file mode 100644
index 00000000..912be5bc
--- /dev/null
+++ b/packages/create-rstack/template-lib-js/tests/index.test.js
@@ -0,0 +1,7 @@
+import { expect, test } from 'rstack/test';
+import { squared } from '../src/index.js';
+
+test('squared', () => {
+  expect(squared(2)).toBe(4);
+  expect(squared(12)).toBe(144);
+});
diff --git a/packages/create-rstack/template-lib-ts/AGENTS.md b/packages/create-rstack/template-lib-ts/AGENTS.md
new file mode 100644
index 00000000..234cc720
--- /dev/null
+++ b/packages/create-rstack/template-lib-ts/AGENTS.md
@@ -0,0 +1,14 @@
+# AGENTS.md
+
+## Commands
+
+- `{{ packageManager }} run build` - Build the library for production
+- `{{ packageManager }} run dev` - Rebuild the library when source files change
+- `{{ packageManager }} run test` - Run tests
+- `{{ packageManager }} run test:watch` - Run tests in watch mode
+
+## Docs
+
+- Rslib: https://rslib.rs/llms.txt
+- Rspack: https://rspack.rs/llms.txt
+- Rstest: https://rstest.rs/llms.txt
diff --git a/packages/create-rstack/template-lib-ts/README.md b/packages/create-rstack/template-lib-ts/README.md
new file mode 100644
index 00000000..ab4b6927
--- /dev/null
+++ b/packages/create-rstack/template-lib-ts/README.md
@@ -0,0 +1,40 @@
+# Rstack library
+
+## Setup
+
+Install the dependencies:
+
+```bash
+{{ packageManager }} install
+```
+
+## Get started
+
+Build the library:
+
+```bash
+{{ packageManager }} run build
+```
+
+Build the library in watch mode:
+
+```bash
+{{ packageManager }} run dev
+```
+
+Run tests:
+
+```bash
+{{ packageManager }} run test
+```
+
+Run tests in watch mode:
+
+```bash
+{{ packageManager }} run test:watch
+```
+
+## Learn more
+
+- [Rstack documentation](https://rstack.rs)
+- [Rslib documentation](https://rslib.rs)
diff --git a/packages/create-rstack/template-lib-ts/package.json b/packages/create-rstack/template-lib-ts/package.json
new file mode 100644
index 00000000..7e2c33ee
--- /dev/null
+++ b/packages/create-rstack/template-lib-ts/package.json
@@ -0,0 +1,34 @@
+{
+  "name": "rstack-lib-ts",
+  "version": "0.0.0",
+  "sideEffects": false,
+  "type": "module",
+  "exports": {
+    ".": {
+      "types": "./dist/index.d.ts",
+      "default": "./dist/index.js"
+    }
+  },
+  "types": "./dist/index.d.ts",
+  "files": [
+    "dist",
+    "README.md"
+  ],
+  "scripts": {
+    "build": "rs lib",
+    "dev": "rs lib --watch",
+    "test": "rs test",
+    "test:watch": "rs test --watch"
+  },
+  "devDependencies": {
+    "@types/node": "^24.13.3",
+    "rstack": "^0.3.5",
+    "typescript": "^7.0.2"
+  },
+  "engines": {
+    "node": ">=22.12.0"
+  },
+  "publishConfig": {
+    "access": "public"
+  }
+}
diff --git a/packages/create-rstack/template-lib-ts/rstack.config.ts b/packages/create-rstack/template-lib-ts/rstack.config.ts
new file mode 100644
index 00000000..2cab1285
--- /dev/null
+++ b/packages/create-rstack/template-lib-ts/rstack.config.ts
@@ -0,0 +1,7 @@
+// Rstack configuration guide: https://rstack.rs/config
+import { define } from 'rstack';
+
+define.lib({
+  syntax: ['node 22'],
+  dts: true,
+});
diff --git a/packages/create-rstack/template-lib-ts/src/index.ts b/packages/create-rstack/template-lib-ts/src/index.ts
new file mode 100644
index 00000000..fdf0e116
--- /dev/null
+++ b/packages/create-rstack/template-lib-ts/src/index.ts
@@ -0,0 +1 @@
+export const squared = (n: number): number => n * n;
diff --git a/packages/create-rstack/template-lib-ts/tests/index.test.ts b/packages/create-rstack/template-lib-ts/tests/index.test.ts
new file mode 100644
index 00000000..e7790bba
--- /dev/null
+++ b/packages/create-rstack/template-lib-ts/tests/index.test.ts
@@ -0,0 +1,7 @@
+import { expect, test } from 'rstack/test';
+import { squared } from '../src/index';
+
+test('squared', () => {
+  expect(squared(2)).toBe(4);
+  expect(squared(12)).toBe(144);
+});
diff --git a/packages/create-rstack/template-lib-ts/tsconfig.json b/packages/create-rstack/template-lib-ts/tsconfig.json
new file mode 100644
index 00000000..b21bfaf4
--- /dev/null
+++ b/packages/create-rstack/template-lib-ts/tsconfig.json
@@ -0,0 +1,22 @@
+{
+  "compilerOptions": {
+    "lib": ["ES2022"],
+    "target": "ES2022",
+    "noEmit": true,
+    "skipLibCheck": true,
+    "types": ["rstack/types", "node"],
+    "useDefineForClassFields": true,
+
+    /* modules */
+    "moduleDetection": "force",
+    "moduleResolution": "bundler",
+    "verbatimModuleSyntax": true,
+    "resolveJsonModule": true,
+    "allowImportingTsExtensions": true,
+
+    /* type checking */
+    "noUnusedLocals": true,
+    "noUnusedParameters": true
+  },
+  "include": ["src"]
+}
diff --git a/packages/create-rstack/tests/create.test.ts b/packages/create-rstack/tests/create.test.ts
index ad12c492..0d19f3d2 100644
--- a/packages/create-rstack/tests/create.test.ts
+++ b/packages/create-rstack/tests/create.test.ts
@@ -74,3 +74,32 @@ test.each([
     await expect(access(tsconfigPath)).rejects.toThrow();
   }
 });
+
+test.each([
+  { template: 'lib-js', extension: 'js', hasTypeScript: false },
+  { template: 'lib-ts', extension: 'ts', hasTypeScript: true },
+])('creates the $template template', async ({ template, extension, hasTypeScript }) => {
+  const projectDirectory = await createProject(template);
+  const packageJson = JSON.parse(
+    await readFile(path.join(projectDirectory, 'package.json'), 'utf8'),
+  );
+
+  expect(packageJson.name).toBe('my-app');
+
+  await expect(
+    access(path.join(projectDirectory, `rstack.config.${extension}`)),
+  ).resolves.toBeUndefined();
+  await expect(
+    access(path.join(projectDirectory, `src/index.${extension}`)),
+  ).resolves.toBeUndefined();
+  await expect(
+    access(path.join(projectDirectory, `tests/index.test.${extension}`)),
+  ).resolves.toBeUndefined();
+
+  const tsconfigPath = path.join(projectDirectory, 'tsconfig.json');
+  if (hasTypeScript) {
+    await expect(access(tsconfigPath)).resolves.toBeUndefined();
+  } else {
+    await expect(access(tsconfigPath)).rejects.toThrow();
+  }
+});