diff --git a/packages/module/src/module.ts b/packages/module/src/module.ts
index efbf7369..f3f8df20 100644
--- a/packages/module/src/module.ts
+++ b/packages/module/src/module.ts
@@ -1,7 +1,4 @@
-import { readFileSync, readdirSync } from 'node:fs'
-import { join } from 'node:path'
-import { addComponent, createResolver, defineNuxtModule } from '@nuxt/kit'
-import { parseSync } from '@oxc-parser/wasm'
+import { createResolver, defineNuxtModule } from '@nuxt/kit'
 
 // TODO: add test to make sure all registry is being parse correctly
 // Module options TypeScript interface definition
@@ -29,52 +26,16 @@ export default defineNuxtModule<ModuleOptions>({
   async setup({ prefix, componentDir }, nuxt) {
     const COMPONENT_DIR_PATH = componentDir!
     const ROOT_DIR_PATH = nuxt.options.rootDir
-    const { resolve, resolvePath } = createResolver(ROOT_DIR_PATH)
+    const { resolve } = createResolver(ROOT_DIR_PATH)
 
-    // --- Register components ---
-    // Tell Nuxt to not scan `componentsDir` for auto imports as we will do it manually
+    // Register components
+    const componentsPath = resolve(COMPONENT_DIR_PATH)
     nuxt.hook('components:dirs', (dirs) => {
       dirs.unshift({
-        path: resolve(COMPONENT_DIR_PATH),
-        extensions: [],
+        path: componentsPath,
+        extensions: ['.vue'], // Scan `.vue` only and skip `.ts` files as we use them inside components file only
+        prefix,
       })
     })
-
-    // Manually scan `componentsDir` for components and register them for auto imports
-    try {
-      readdirSync(resolve(COMPONENT_DIR_PATH))
-        .forEach(async (dir) => {
-          try {
-            const filePath = await resolvePath(join(COMPONENT_DIR_PATH, dir, 'index'), { extensions: ['.ts', '.js'] })
-            const content = readFileSync(filePath, { encoding: 'utf8' })
-            const ast = parseSync(content, {
-              sourceType: 'module',
-              sourceFilename: filePath,
-            })
-
-            const exportedKeys: string[] = ast.program.body
-              .filter(node => node.type === 'ExportNamedDeclaration')
-            // @ts-expect-error parse return any
-              .flatMap(node => node.specifiers.map(specifier => specifier.exported.name))
-              .filter((key: string) => /^[A-Z]/.test(key))
-
-            exportedKeys.forEach((key) => {
-              addComponent({
-                name: `${prefix}${key}`, // name of the component to be used in vue templates
-                export: key, // (optional) if the component is a named (rather than default) export
-                filePath: resolve(filePath),
-              })
-            })
-          }
-          catch (err) {
-            if (err instanceof Error)
-              console.warn('Module error: ', err.message)
-          }
-        })
-    }
-    catch (err) {
-      if (err instanceof Error)
-        console.warn(err.message)
-    }
   },
 })