diff --git a/filesystem/squashfs-tools/squashfs-tools.conf b/filesystem/squashfs-tools/squashfs-tools.conf
index 660acaada..3ad071ca4 100644
--- a/filesystem/squashfs-tools/squashfs-tools.conf
+++ b/filesystem/squashfs-tools/squashfs-tools.conf
@@ -21,6 +21,11 @@ if ! pkginstalled -f attr; then
 	var_append makeopt ' ' "XATTR_DEFAULT=0"
 fi
 
+# XZ support
+if pkginstalled -f xz; then
+	var_append makeopt ' ' "XZ_SUPPORT=1"
+fi
+
 var_append makeopt ' ' "INSTALL_DIR=$root/$prefix/sbin"
 
 makeinstopt="$makeopt install"