diff --git a/test/TEST-63-DRACUT-CPIO/Makefile b/test/TEST-63-DRACUT-CPIO/Makefile
new file mode 100644
index 00000000..2dcab816
--- /dev/null
+++ b/test/TEST-63-DRACUT-CPIO/Makefile
@@ -0,0 +1 @@
+-include ../Makefile.testdir
diff --git a/test/TEST-63-DRACUT-CPIO/test.sh b/test/TEST-63-DRACUT-CPIO/test.sh
new file mode 100755
index 00000000..8e319bf2
--- /dev/null
+++ b/test/TEST-63-DRACUT-CPIO/test.sh
@@ -0,0 +1,85 @@
+#!/bin/bash
+# This file is part of dracut.
+# SPDX-License-Identifier: GPL-2.0-or-later
+
+# shellcheck disable=SC2034
+TEST_DESCRIPTION="kernel cpio extraction tests for dracut-cpio"
+# see dracut-cpio source for unit tests
+
+test_check() {
+    if ! [[ -x $basedir/dracut-cpio ]]; then
+        echo "Test needs dracut-cpio... Skipping"
+        return 1
+    fi
+}
+
+test_dracut_cpio() {
+    local tdir="${CPIO_TESTDIR}/${1}"
+    shift
+    # --enhanced-cpio tells dracut to use dracut-cpio instead of GNU cpio
+    local dracut_cpio_params=("--enhanced-cpio" "$@")
+
+    mkdir -p "$tdir"
+
+    # VM script to print sentinel on boot
+    # write to kmsg so that sysrq messages don't race with console output
+    cat > "$tdir/init.sh" << EOF
+echo "Image with ${dracut_cpio_params[*]} booted successfully" > /dev/kmsg
+echo 1 > /proc/sys/kernel/sysrq
+echo o > /proc/sysrq-trigger
+sleep 20
+EOF
+
+    "$basedir"/dracut.sh -l --drivers "" \
+        "${dracut_cpio_params[@]}" \
+        --modules "bash base" \
+        --include "$tdir/init.sh" /lib/dracut/hooks/emergency/00-init.sh \
+        --no-hostonly --no-hostonly-cmdline \
+        "$tdir/initramfs" \
+        || return 1
+
+    "$testdir"/run-qemu \
+        -watchdog i6300esb -watchdog-action poweroff \
+        -daemonize -pidfile "$tdir/vm.pid" \
+        -serial "file:$tdir/console.out" \
+        -append "panic=1 oops=panic softlockup_panic=1 loglevel=7 console=ttyS0 rd.shell=1" \
+        -initrd "$tdir/initramfs" || return 1
+
+    timeout=120
+    while [[ -f $tdir/vm.pid ]] \
+        && ps -p "$(head -n1 "$tdir/vm.pid")" > /dev/null; do
+        echo "$timeout - awaiting VM shutdown"
+        sleep 1
+        [[ $((timeout--)) -le 0 ]] && return 1
+    done
+
+    cat "$tdir/console.out"
+    grep -q "Image with ${dracut_cpio_params[*]} booted successfully" \
+        "$tdir/console.out"
+}
+
+test_run() {
+    set -x
+
+    # dracut-cpio is typically used with compression and strip disabled, to
+    # increase the chance of (reflink) extent sharing.
+    test_dracut_cpio "simple" "--no-compress" "--nostrip" || return 1
+    # dracut-cpio should still work fine with compression and stripping enabled
+    test_dracut_cpio "compress" "--gzip" "--nostrip" || return 1
+    test_dracut_cpio "strip" "--gzip" "--strip" || return 1
+}
+
+test_setup() {
+    CPIO_TESTDIR=$(mktemp --directory -p "$TESTDIR" cpio-test.XXXXXXXXXX) \
+        || return 1
+    export CPIO_TESTDIR
+    return 0
+}
+
+test_cleanup() {
+    [ -d "$CPIO_TESTDIR" ] && rm -rf "$CPIO_TESTDIR"
+    return 0
+}
+
+# shellcheck disable=SC1090
+. "$testdir"/test-functions