diff --git a/piptools/build.py b/piptools/build.py
index c19e206b..f6f8ff6f 100644
--- a/piptools/build.py
+++ b/piptools/build.py
@@ -2,6 +2,7 @@
 
 import collections
 import contextlib
+import os
 import pathlib
 import sys
 import tempfile
@@ -119,6 +120,7 @@ def build_project_metadata(
     src_file: pathlib.Path,
     build_targets: tuple[str, ...],
     *,
+    upgrade_packages: tuple[str, ...] | None = None,
     attempt_static_parse: bool,
     isolated: bool,
     quiet: bool,
@@ -159,7 +161,9 @@ def build_project_metadata(
             return project_metadata
 
     src_dir = src_file.parent
-    with _create_project_builder(src_dir, isolated=isolated, quiet=quiet) as builder:
+    with _create_project_builder(
+        src_dir, upgrade_packages=upgrade_packages, isolated=isolated, quiet=quiet
+    ) as builder:
         metadata = _build_project_wheel_metadata(builder)
         extras = tuple(metadata.get_all("Provides-Extra") or ())
         requirements = tuple(
@@ -182,7 +186,11 @@ def build_project_metadata(
 
 @contextlib.contextmanager
 def _create_project_builder(
-    src_dir: pathlib.Path, *, isolated: bool, quiet: bool
+    src_dir: pathlib.Path,
+    *,
+    upgrade_packages: tuple[str, ...] | None = None,
+    isolated: bool,
+    quiet: bool,
 ) -> Iterator[build.ProjectBuilder]:
     if quiet:
         runner = pyproject_hooks.quiet_subprocess_runner
@@ -193,6 +201,15 @@ def _create_project_builder(
         yield build.ProjectBuilder(src_dir, runner=runner)
         return
 
+    if upgrade_packages is not None:
+        # Write packages to upgrade to a temporary file to set as
+        # constraints for the installation to the builder environment,
+        # in case build requirements are among them
+        tmpfile = tempfile.NamedTemporaryFile(mode="w+t", delete=False)
+        tmpfile.write("\n".join(package for package in upgrade_packages))
+        tmpfile.flush()
+        os.environ["PIP_CONSTRAINT"] = tmpfile.name
+
     with build.env.DefaultIsolatedEnv() as env:
         builder = build.ProjectBuilder.from_isolated_env(env, src_dir, runner)
         env.install(builder.build_system_requires)
diff --git a/piptools/scripts/compile.py b/piptools/scripts/compile.py
index 96aa9fa9..2b4522eb 100755
--- a/piptools/scripts/compile.py
+++ b/piptools/scripts/compile.py
@@ -370,6 +370,7 @@ def cli(
                 metadata = build_project_metadata(
                     src_file=Path(src_file),
                     build_targets=build_deps_targets,
+                    upgrade_packages=upgrade_packages,
                     attempt_static_parse=not bool(build_deps_targets),
                     isolated=build_isolation,
                     quiet=log.verbosity <= 0,
diff --git a/tests/test_cli_compile.py b/tests/test_cli_compile.py
index c5031fc2..7e40ac0b 100644
--- a/tests/test_cli_compile.py
+++ b/tests/test_cli_compile.py
@@ -684,8 +684,8 @@ def test_url_package(runner, line, dependency, generate_hashes):
         ["-n", "--rebuild", "--no-build-isolation"]
         + (["--generate-hashes"] if generate_hashes else []),
     )
-    assert out.exit_code == 0
     assert dependency in out.stderr
+    assert out.exit_code == 0
 
 
 @pytest.mark.parametrize(
@@ -787,13 +787,13 @@ def test_direct_reference_with_extras(runner):
             "pip-tools[testing,coverage] @ git+https://github.com/jazzband/pip-tools@6.2.0"
         )
     out = runner.invoke(cli, ["-n", "--rebuild", "--no-build-isolation"])
-    assert out.exit_code == 0
     assert (
         "pip-tools[coverage,testing] @ git+https://github.com/jazzband/pip-tools@6.2.0"
         in out.stderr
     )
     assert "pytest==" in out.stderr
     assert "pytest-cov==" in out.stderr
+    assert out.exit_code == 0
 
 
 def test_input_file_without_extension(pip_conf, runner):
@@ -3431,7 +3431,6 @@ def test_compile_recursive_extras_build_targets(runner, tmp_path, current_resolv
             """
         )
     )
-    (tmp_path / "constraints.txt").write_text("wheel<0.43")
     out = runner.invoke(
         cli,
         [
@@ -3446,8 +3445,6 @@ def test_compile_recursive_extras_build_targets(runner, tmp_path, current_resolv
             "--find-links",
             os.fspath(MINIMAL_WHEELS_PATH),
             os.fspath(tmp_path / "pyproject.toml"),
-            "--constraint",
-            os.fspath(tmp_path / "constraints.txt"),
             "--output-file",
             "-",
         ],
@@ -3455,6 +3452,60 @@ def test_compile_recursive_extras_build_targets(runner, tmp_path, current_resolv
     expected = rf"""foo[footest] @ {tmp_path.as_uri()}
 small-fake-a==0.2
 small-fake-b==0.3
+
+# The following packages are considered to be unsafe in a requirements file:
+# setuptools
+"""
+    try:
+        assert out.exit_code == 0
+        assert expected == out.stdout
+    except Exception:  # pragma: no cover
+        print(out.stdout)
+        print(out.stderr)
+        raise
+
+
+@backtracking_resolver_only
+def test_compile_build_targets_setuptools_no_wheel_dep(
+    runner, tmp_path, current_resolver
+):
+    """
+    Regression test for https://github.com/jazzband/pip-tools/pull/1681#issuecomment-2212541289
+    """
+    (tmp_path / "pyproject.toml").write_text(
+        dedent(
+            """
+            [project]
+            name = "foo"
+            version = "0.0.1"
+            dependencies = ["small-fake-a"]
+            """
+        )
+    )
+    (tmp_path / "constraints.txt").write_text("wheel<0.43")
+    out = runner.invoke(
+        cli,
+        [
+            "--build-isolation",
+            "--no-header",
+            "--no-annotate",
+            "--no-emit-options",
+            "--extra",
+            "dev",
+            "--build-deps-for",
+            "wheel",
+            "--find-links",
+            os.fspath(MINIMAL_WHEELS_PATH),
+            os.fspath(tmp_path / "pyproject.toml"),
+            "--constraint",
+            os.fspath(tmp_path / "constraints.txt"),
+            "--upgrade-package",
+            "setuptools < 70.1.0",  # setuptools>=70.1.0 doesn't require wheel any more
+            "--output-file",
+            "-",
+        ],
+    )
+    expected = r"""small-fake-a==0.2
 wheel==0.42.0
 
 # The following packages are considered to be unsafe in a requirements file: