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For applications currently using Webpacker, the first recommendation is to switch to jsbundling-rails with Webpack (or another bundler). You can follow the switching guide, if you choose this option.
Secondly, you may want to try making the jump all the way to import maps. That's the default setup for new Rails 7 applications, but depending on your JavaScript use, it may be a substantial jump.
After removing webpacker, re-evaluate which dependencies are devDependencies (should just be types and dev CLIs)
From readme,