diff --git a/packages/rust/src/graph.ts b/packages/rust/src/graph.ts
index 88b5e7e..a673c6b 100644
--- a/packages/rust/src/graph.ts
+++ b/packages/rust/src/graph.ts
@@ -35,8 +35,10 @@ export const createNodes: CreateNodes = [
     }, new Map<string, Package>());
 
     for (const pkg of cargoPackages) {
-      if (!isExternal(pkg)) {
-        const root = normalizePath(dirname(relative(ctx.workspaceRoot, pkg.manifest_path)));
+      if (!isExternal(pkg, ctx.workspaceRoot)) {
+        const root = normalizePath(
+          dirname(relative(ctx.workspaceRoot, pkg.manifest_path))
+        );
         projects[root] = {
           root,
           name: pkg.name,
@@ -45,7 +47,7 @@ export const createNodes: CreateNodes = [
         };
       }
       for (const dep of pkg.dependencies) {
-        if (isExternal(dep)) {
+        if (isExternal(dep, ctx.workspaceRoot)) {
           const externalDepName = `cargo:${dep.name}`;
           if (!externalNodes?.[externalDepName]) {
             externalNodes[externalDepName] = {
diff --git a/packages/rust/src/utils/cargo.ts b/packages/rust/src/utils/cargo.ts
index 0d24c57..d919b8e 100644
--- a/packages/rust/src/utils/cargo.ts
+++ b/packages/rust/src/utils/cargo.ts
@@ -1,4 +1,5 @@
 import chalk from 'chalk';
+import { relative } from 'path';
 import { ChildProcess, execSync, spawn, StdioOptions } from 'child_process';
 import { runProcess } from './run-process';
 import { CargoMetadata, Dependency, Package } from '../models/cargo-metadata';
@@ -75,7 +76,7 @@ export function cargoCommandSync(
         windowsHide: true,
         stdio: normalizedOptions.stdio,
         env: normalizedOptions.env,
-        maxBuffer: 1024 * 1024 * 10
+        maxBuffer: 1024 * 1024 * 10,
       }),
       success: true,
     };
@@ -99,6 +100,15 @@ export function cargoMetadata(): CargoMetadata | null {
   return JSON.parse(output.output) as CargoMetadata;
 }
 
-export function isExternal(packageOrDep: Package | Dependency) {
-  return packageOrDep.source?.startsWith('registry+') ?? false;
+export function isExternal(
+  packageOrDep: Package | Dependency,
+  workspaceRoot: string
+) {
+  const isRegistry = packageOrDep.source?.startsWith('registry+') ?? false;
+  const isGit = packageOrDep.source?.startsWith('git+') ?? false;
+  const isOutsideWorkspace =
+    'path' in packageOrDep &&
+    relative(workspaceRoot, packageOrDep.path).startsWith('..');
+
+  return isRegistry || isGit || isOutsideWorkspace;
 }