diff --git a/CHANGELOG.md b/CHANGELOG.md
index f2a876be..27bd1429 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,3 +1,6 @@
+## 2.0.4
+* Detect dependency loops in module migrator fix.
+
 ## 2.0.3
 
 ### Module Migrator
diff --git a/lib/src/migrators/module.dart b/lib/src/migrators/module.dart
index e1afbf80..71481ca4 100644
--- a/lib/src/migrators/module.dart
+++ b/lib/src/migrators/module.dart
@@ -199,6 +199,30 @@ class _ModuleMigrationVisitor extends MigrationVisitor {
   /// The values of the --forward flag.
   final Set<ForwardType> forwards;
 
+  /// Dependencies where keys represent source URIs and values represent imported URIs.
+  final Map<Uri, Uri> _dependencies = {};
+
+  /// Checks for dependency loops between source and imported paths.
+  ///
+  /// This method verifies whether importing a path introduces a circular dependency
+  /// by checking if the imported path is already mapped as a dependency of the source path.
+  ///
+  /// Throws a [MigrationException] if a dependency loop is detected.
+  ///
+  /// The [source] parameter is the path where the dependency is checked.
+  /// The [importedPath] parameter is the path being imported.
+  void _checkDependency(Uri source, Uri importedPath, FileSpan span) {
+    if (_dependencies.containsKey(importedPath) &&
+        _dependencies[importedPath] == source) {
+      // Throw an error indicating a potential loop.
+      var (sourceUrl, _) = _absoluteUrlToDependency(source);
+      var (importedPathUrl, _) = _absoluteUrlToDependency(importedPath);
+      throw MigrationSourceSpanException(
+        'Dependency loop detected: ${sourceUrl} -> ${importedPathUrl}', span);
+    }
+    _dependencies[source] = importedPath;
+  }
+
   /// Constructs a new module migration visitor.
   ///
   /// [importCache] must be the same one used by [references].
@@ -1224,6 +1248,9 @@ class _ModuleMigrationVisitor extends MigrationVisitor {
     var url = declaration.sourceUrl;
     if (url == currentUrl) return null;
 
+    // Trace dependencies for loop detection.
+    _checkDependency(currentUrl, url, declaration.member.span);
+
     // If we can load [declaration] from a library entrypoint URL, do so. Choose
     // the shortest one if there are multiple options.
     var libraryUrls = references.libraries[declaration];
diff --git a/pubspec.yaml b/pubspec.yaml
index df61c114..0b6ecd3e 100644
--- a/pubspec.yaml
+++ b/pubspec.yaml
@@ -1,5 +1,5 @@
 name: sass_migrator
-version: 2.0.3
+version: 2.0.4
 description: A tool for running migrations on Sass files
 homepage: https://github.com/sass/migrator
 
diff --git a/test/migrators/module/namespace_references/loop_error.hrx b/test/migrators/module/namespace_references/loop_error.hrx
new file mode 100644
index 00000000..1f13c7ed
--- /dev/null
+++ b/test/migrators/module/namespace_references/loop_error.hrx
@@ -0,0 +1,21 @@
+<==> arguments
+--migrate-deps
+
+<==> input/entrypoint.scss
+@import "ejemplo";
+$var: $value;
+
+<==> input/_ejemplo.scss
+$value: blue;
+a {
+  color: $var;
+}
+
+<==> error.txt
+Error: Dependency loop detected: entrypoint -> ejemplo
+  ,
+1 | $value: blue;
+  | ^^^^^^^^^^^^
+  '
+  _ejemplo.scss 1:1  root stylesheet
+Migration failed!