React hooks in react library giving Invalid hook call error

I just ran into the same issue. I was able to fix it by pointing to the same react in my example app as in my library:

App Structure

Root

• Example
  • package.json
• src (library)
• package.json

So, from the example > package.json I changed react to be:

    "react": "link:../node_modules/react",

This is much like the npm link listed above but it won't go away every time you npm install.

Add to your Components Library's package.json

"peerDependencies": {
  "react": "<your version>"
}

so that your lib package will use the same react package as your main app. https://nodejs.org/es/blog/npm/peer-dependencies/

I had the same issue, working with a rush monorepo, configuring ui-package and building the apps using nextjs.

The solutions was add the follow code on package.json

"resolutions": {
  "react": "17.0.1", // verificate your react version
  "react-dom": "17.0.1"
}

In the library's package.json:

"peerDependencies": {
   "react": "17.0.1",
   "react-dom": "17.0.1"
 },

See more here: https://github.com/vercel/next.js/issues/9022#issuecomment-728688452

I was including my component library (for that matter any library) in my application as @Janith did using my-comp-lib:"file:../.." (I don't want to publish every time I want to test) and I encountered the same issue.

Invalid hook call. Hooks can only be called inside of the body of a function component. This could happen for one of the following reasons:

1. You might have mismatching versions of React and the renderer (such as React DOM)
2. You might be breaking the Rules of Hooks
3. You might have more than one copy of React in the same app See react-invalid-hook-call for tips about how to debug and

fix this problem

I was able to fix this by making my app and library point to the same react (package) location.

Below are the steps I followed :
1. In Your Application:
a) cd node_modules/react && npm link
b) cd node_modules/react-dom && npm link

2. In Your Library
a) npm link react
b) npm link react-dom

3)Stop your dev-server and do `npm start` again.

It works!!

Please refer below links for more details ..

https://github.com/facebook/react/issues/14721

https://github.com/facebook/react/pull/14690

https://github.com/facebook/react/issues/13991

Note : This issue will not happen if you publish your package to artifactory and install because you will have react & react-dom as peer-dependencies and they won't get included in the distribution. So your package and application use the same react which is installed in the application.