diff --git a/pkg/api/labels.go b/pkg/api/labels.go
index ba110c83147..3a6ee60fba2 100644
--- a/pkg/api/labels.go
+++ b/pkg/api/labels.go
@@ -31,6 +31,8 @@ const (
 	ServiceLabel = "com.docker.compose.service"
 	// ConfigHashLabel stores configuration hash for a compose service
 	ConfigHashLabel = "com.docker.compose.config-hash"
+	// ConfigHashDependenciesLabel stores configuration hash for a compose service dependencies
+	ConfigHashDependenciesLabel = "com.docker.compose.config-hash-dependencies"
 	// ContainerNumberLabel stores the container index of a replicated service
 	ContainerNumberLabel = "com.docker.compose.container-number"
 	// VolumeLabel allow to track resource related to a compose volume
diff --git a/pkg/compose/convergence.go b/pkg/compose/convergence.go
index 3b680fe77c3..ed531e67923 100644
--- a/pkg/compose/convergence.go
+++ b/pkg/compose/convergence.go
@@ -128,11 +128,11 @@ func (c *convergence) ensureService(ctx context.Context, project *types.Project,
 
 	sort.Slice(containers, func(i, j int) bool {
 		// select obsolete containers first, so they get removed as we scale down
-		if obsolete, _ := mustRecreate(service, containers[i], recreate); obsolete {
+		if obsolete, _ := mustRecreate(project, service, containers[i], recreate); obsolete {
 			// i is obsolete, so must be first in the list
 			return true
 		}
-		if obsolete, _ := mustRecreate(service, containers[j], recreate); obsolete {
+		if obsolete, _ := mustRecreate(project, service, containers[j], recreate); obsolete {
 			// j is obsolete, so must be first in the list
 			return false
 		}
@@ -158,7 +158,7 @@ func (c *convergence) ensureService(ctx context.Context, project *types.Project,
 			continue
 		}
 
-		mustRecreate, err := mustRecreate(service, container, recreate)
+		mustRecreate, err := mustRecreate(project, service, container, recreate)
 		if err != nil {
 			return err
 		}
@@ -292,20 +292,34 @@ func (c *convergence) resolveSharedNamespaces(service *types.ServiceConfig) erro
 	return nil
 }
 
-func mustRecreate(expected types.ServiceConfig, actual moby.Container, policy string) (bool, error) {
+func mustRecreate(project *types.Project, expected types.ServiceConfig, actual moby.Container, policy string) (bool, error) {
 	if policy == api.RecreateNever {
 		return false, nil
 	}
 	if policy == api.RecreateForce || expected.Extensions[extLifecycle] == forceRecreate {
 		return true, nil
 	}
-	configHash, err := ServiceHash(expected)
+	serviceHash, err := ServiceHash(expected)
 	if err != nil {
 		return false, err
 	}
-	configChanged := actual.Labels[api.ConfigHashLabel] != configHash
-	imageUpdated := actual.Labels[api.ImageDigestLabel] != expected.CustomLabels[api.ImageDigestLabel]
-	return configChanged || imageUpdated, nil
+
+	if actual.Labels[api.ConfigHashLabel] != serviceHash {
+		return true, nil
+	}
+
+	if actual.Labels[api.ImageDigestLabel] != expected.CustomLabels[api.ImageDigestLabel] {
+		return true, nil
+	}
+
+	serviceDependenciesHash, err := ServiceDependenciesHash(project, expected)
+	if err != nil {
+		return false, err
+	}
+
+	serviceDependenciesChanged := actual.Labels[api.ConfigHashDependenciesLabel] != serviceDependenciesHash
+
+	return serviceDependenciesChanged, nil
 }
 
 func getContainerName(projectName string, service types.ServiceConfig, number int) string {
diff --git a/pkg/compose/create.go b/pkg/compose/create.go
index ccf92058057..685bc84fc1e 100644
--- a/pkg/compose/create.go
+++ b/pkg/compose/create.go
@@ -213,7 +213,7 @@ func (s *composeService) getCreateConfigs(ctx context.Context,
 	inherit *moby.Container,
 	opts createOptions,
 ) (createConfigs, error) {
-	labels, err := s.prepareLabels(opts.Labels, service, number)
+	labels, err := s.prepareLabels(opts.Labels, p, service, number)
 	if err != nil {
 		return createConfigs{}, err
 	}
@@ -499,13 +499,19 @@ func parseSecurityOpts(p *types.Project, securityOpts []string) ([]string, bool,
 	return parsed, unconfined, nil
 }
 
-func (s *composeService) prepareLabels(labels types.Labels, service types.ServiceConfig, number int) (map[string]string, error) {
-	hash, err := ServiceHash(service)
+func (s *composeService) prepareLabels(labels types.Labels, project *types.Project, service types.ServiceConfig, number int) (map[string]string, error) {
+	serviceHash, err := ServiceHash(service)
 	if err != nil {
 		return nil, err
 	}
-	labels[api.ConfigHashLabel] = hash
 
+	serviceDependenciesHash, err := ServiceDependenciesHash(project, service)
+	if err != nil {
+		return nil, err
+	}
+
+	labels[api.ConfigHashLabel] = serviceHash
+	labels[api.ConfigHashDependenciesLabel] = serviceDependenciesHash
 	labels[api.ContainerNumberLabel] = strconv.Itoa(number)
 
 	var dependencies []string
diff --git a/pkg/compose/hash.go b/pkg/compose/hash.go
index 284ccaa76fc..7d38d8d8b3c 100644
--- a/pkg/compose/hash.go
+++ b/pkg/compose/hash.go
@@ -18,6 +18,7 @@ package compose
 
 import (
 	"encoding/json"
+	"os"
 
 	"github.com/compose-spec/compose-go/v2/types"
 	"github.com/opencontainers/go-digest"
@@ -39,3 +40,28 @@ func ServiceHash(o types.ServiceConfig) (string, error) {
 	}
 	return digest.SHA256.FromBytes(bytes).Encoded(), nil
 }
+
+// ServiceDependenciesHash computes the configuration hash for service dependencies.
+func ServiceDependenciesHash(project *types.Project, o types.ServiceConfig) (string, error) {
+	bytes := make([]byte, 0)
+	for _, serviceConfig := range o.Configs {
+		projectConfig, ok := project.Configs[serviceConfig.Source]
+		if !ok {
+			continue
+		}
+
+		if projectConfig.Content != "" {
+			bytes = append(bytes, []byte(projectConfig.Content)...)
+		} else if projectConfig.File != "" {
+			content, err := os.ReadFile(projectConfig.File)
+			if err != nil {
+				return "", err
+			}
+			bytes = append(bytes, content...)
+		} else if projectConfig.Environment != "" {
+			bytes = append(bytes, []byte(projectConfig.Environment)...)
+		}
+	}
+
+	return digest.SHA256.FromBytes(bytes).Encoded(), nil
+}
diff --git a/pkg/compose/hash_test.go b/pkg/compose/hash_test.go
index 73b7f387735..0aef924c8d7 100644
--- a/pkg/compose/hash_test.go
+++ b/pkg/compose/hash_test.go
@@ -23,21 +23,88 @@ import (
 	"gotest.tools/v3/assert"
 )
 
-func TestServiceHash(t *testing.T) {
-	hash1, err := ServiceHash(serviceConfig(1))
+func TestServiceHashWithAllValuesTheSame(t *testing.T) {
+	hash1, err := ServiceHash(serviceConfig("myContext1", "always", 1))
 	assert.NilError(t, err)
-	hash2, err := ServiceHash(serviceConfig(2))
+	hash2, err := ServiceHash(serviceConfig("myContext1", "always", 1))
 	assert.NilError(t, err)
 	assert.Equal(t, hash1, hash2)
 }
 
-func serviceConfig(replicas int) types.ServiceConfig {
+func TestServiceHashWithIgnorableValues(t *testing.T) {
+	hash1, err := ServiceHash(serviceConfig("myContext1", "always", 1))
+	assert.NilError(t, err)
+	hash2, err := ServiceHash(serviceConfig("myContext2", "never", 2))
+	assert.NilError(t, err)
+	assert.Equal(t, hash1, hash2)
+}
+
+func TestServiceDependenciesHashWithoutChangesContent(t *testing.T) {
+	hash1, err := ServiceDependenciesHash(projectConfig("myConfigSource", "a", "", ""), serviceConfig("myContext1", "always", 1))
+	assert.NilError(t, err)
+	hash2, err := ServiceDependenciesHash(projectConfig("myConfigSource", "a", "", ""), serviceConfig("myContext2", "never", 2))
+	assert.NilError(t, err)
+	assert.Assert(t, hash1 == hash2)
+}
+
+func TestServiceDependenciesHashWithChangedConfigContent(t *testing.T) {
+	hash1, err := ServiceDependenciesHash(projectConfig("myConfigSource", "a", "", ""), serviceConfig("myContext1", "always", 1))
+	assert.NilError(t, err)
+	hash2, err := ServiceDependenciesHash(projectConfig("myConfigSource", "b", "", ""), serviceConfig("myContext2", "never", 2))
+	assert.NilError(t, err)
+	assert.Assert(t, hash1 != hash2)
+}
+
+func TestServiceDependenciesHashWithChangedConfigEnvironment(t *testing.T) {
+	hash1, err := ServiceDependenciesHash(projectConfig("myConfigSource", "", "a", ""), serviceConfig("myContext1", "always", 1))
+	assert.NilError(t, err)
+	hash2, err := ServiceDependenciesHash(projectConfig("myConfigSource", "", "b", ""), serviceConfig("myContext2", "never", 2))
+	assert.NilError(t, err)
+	assert.Assert(t, hash1 != hash2)
+}
+
+func TestServiceDependenciesHashWithChangedConfigFile(t *testing.T) {
+	hash1, err := ServiceDependenciesHash(
+		projectConfig("myConfigSource", "", "", "./testdata/config1.txt"),
+		serviceConfig("myContext1", "always", 1),
+	)
+	assert.NilError(t, err)
+	hash2, err := ServiceDependenciesHash(
+		projectConfig("myConfigSource", "", "", "./testdata/config2.txt"),
+		serviceConfig("myContext2", "never", 2),
+	)
+	assert.NilError(t, err)
+	assert.Assert(t, hash1 != hash2)
+}
+
+func projectConfig(configName, configContent, configEnvironment, configFile string) *types.Project {
+	return &types.Project{
+		Configs: types.Configs{
+			configName: types.ConfigObjConfig{
+				Content:     configContent,
+				Environment: configEnvironment,
+				File:        configFile,
+			},
+		},
+	}
+}
+
+func serviceConfig(buildContext, pullPolicy string, replicas int) types.ServiceConfig {
 	return types.ServiceConfig{
-		Scale: &replicas,
+		Build: &types.BuildConfig{
+			Context: buildContext,
+		},
+		PullPolicy: pullPolicy,
+		Scale:      &replicas,
 		Deploy: &types.DeployConfig{
 			Replicas: &replicas,
 		},
 		Name:  "foo",
 		Image: "bar",
+		Configs: []types.ServiceConfigObjConfig{
+			{
+				Source: "myConfigSource",
+			},
+		},
 	}
 }
diff --git a/pkg/compose/testdata/config1.txt b/pkg/compose/testdata/config1.txt
new file mode 100644
index 00000000000..c8a618fe3ee
--- /dev/null
+++ b/pkg/compose/testdata/config1.txt
@@ -0,0 +1 @@
+This is 1 config file
diff --git a/pkg/compose/testdata/config2.txt b/pkg/compose/testdata/config2.txt
new file mode 100644
index 00000000000..51f7bc363de
--- /dev/null
+++ b/pkg/compose/testdata/config2.txt
@@ -0,0 +1 @@
+This is 2 config file