Cypress can't find Pug module even though Vue finds it just fine

Question

I searched through all the web and seems like no one ever had a problem with Pug while testing with Cypress. Anyone?

I'm using Pug with Vue 3.

The following error originated from your test code, not from Cypress.

> Module build failed (from ./node_modules/pug-plain-loader/index.js):
Error: Cannot find module 'pug'

/cypress/support/component.js

// ***********************************************************
// This example support/component.js is processed and
// loaded automatically before your test files.
//
// This is a great place to put global configuration and
// behavior that modifies Cypress.
//
// You can change the location of this file or turn off
// automatically serving support files with the
// 'supportFile' configuration option.
//
// You can read more here:
// https://on.cypress.io/configuration
// ***********************************************************

// Import commands.js using ES2015 syntax:
import './commands'

// Alternatively you can use CommonJS syntax:
// require('./commands')

import { mount } from 'cypress/vue'

// Cypress.Commands.add('mount', mount)
import App from '@/App.vue'
import { h } from 'vue'
import pugPlainLoader from 'pug-plain-loader'

Cypress.Commands.add('mount', (component, ...args) => {
  args.global = args.global || {}
  args.global.plugins = args.global.plugins || []
  args.global.plugins.push(pugPlainLoader())

  return mount(() => {
    return h(App, {}, component)
  }, ...args)
})


// Example use:
// cy.mount(MyComponent)

package.json

 "dependencies": {
    "@cypress/vue": "^3.1.0",
    "@cypress/webpack-dev-server": "^3.2.2",
    "core-js": "^3.8.3",
    "cypress": "^12.3.0",
    "path": "^0.12.7",
    "pug": "^3.0.2",
    "pug-plain-loader": "^1.1.0",
    "vue": "^3.2.13"
  },
  "devDependencies": {
    "@babel/core": "^7.12.16",
    "@babel/eslint-parser": "^7.12.16",
    "@vue/cli-plugin-babel": "~5.0.0",
    "@vue/cli-plugin-eslint": "~5.0.0",
    "@vue/cli-plugin-unit-jest": "~5.0.0",
    "@vue/cli-service": "~5.0.0",
    "@vue/test-utils": "^2.0.0-0",
    "@vue/vue3-jest": "^28.1.0",
    "babel-jest": "^27.0.6",
    "eslint": "^7.32.0",
    "eslint-plugin-vue": "^8.0.3",
    "jest": "^27.0.5",
    "vue-cli-plugin-pug": "^2.0.0"
  },