diff --git a/packages/gradle/migrations.json b/packages/gradle/migrations.json
index 5439fbbaab6ea6..57427b5653f6c5 100644
--- a/packages/gradle/migrations.json
+++ b/packages/gradle/migrations.json
@@ -5,6 +5,12 @@
       "cli": "nx",
       "description": "Add task projectReportAll to build.gradle file",
       "factory": "./src/migrations/19-4-0/add-project-report-all"
+    },
+    "change-regex-production-test": {
+      "version": "19.4.1-beta.0",
+      "cli": "nx",
+      "description": "This function changes !{projectRoot}/test/**/* in nx.json for production to !{projectRoot}/src/test/**/*",
+      "factory": "./src/migrations/19-4-1/change-regex-test-production"
     }
   },
   "packageJsonUpdates": {}
diff --git a/packages/gradle/src/generators/init/init.spec.ts b/packages/gradle/src/generators/init/init.spec.ts
index c1107825f4d512..09b6fbf2774e7d 100644
--- a/packages/gradle/src/generators/init/init.spec.ts
+++ b/packages/gradle/src/generators/init/init.spec.ts
@@ -81,16 +81,16 @@ describe('@nx/gradle:init', () => {
       });
       const nxJson = readNxJson(tree);
       expect(nxJson.namedInputs).toMatchInlineSnapshot(`
-              {
-                "default": [
-                  "{projectRoot}/**/*",
-                ],
-                "production": [
-                  "default",
-                  "!{projectRoot}/test/**/*",
-                ],
-              }
-          `);
+        {
+          "default": [
+            "{projectRoot}/**/*",
+          ],
+          "production": [
+            "default",
+            "!{projectRoot}/src/test/**/*",
+          ],
+        }
+      `);
     });
 
     it('should not overwrite existing namedInputs', async () => {
@@ -102,7 +102,7 @@ describe('@nx/gradle:init', () => {
             '!{projectRoot}/cypress/**/*',
             '!{projectRoot}/**/*.cy.[jt]s?(x)',
             '!{projectRoot}/cypress.config.[jt]s',
-            '!{projectRoot}/test/**/*',
+            '!{projectRoot}/src/test/**/*',
           ],
         },
       });
@@ -122,7 +122,7 @@ describe('@nx/gradle:init', () => {
             "!{projectRoot}/cypress/**/*",
             "!{projectRoot}/**/*.cy.[jt]s?(x)",
             "!{projectRoot}/cypress.config.[jt]s",
-            "!{projectRoot}/test/**/*",
+            "!{projectRoot}/src/test/**/*",
             "default",
           ],
         }
diff --git a/packages/gradle/src/generators/init/init.ts b/packages/gradle/src/generators/init/init.ts
index ae24c6831cfc1d..bf35ce4dcc48af 100644
--- a/packages/gradle/src/generators/init/init.ts
+++ b/packages/gradle/src/generators/init/init.ts
@@ -146,7 +146,7 @@ allprojects {
   }
 }
 
-function updateNxJsonConfiguration(tree: Tree) {
+export function updateNxJsonConfiguration(tree: Tree) {
   const nxJson = readNxJson(tree);
 
   if (!nxJson.namedInputs) {
@@ -158,7 +158,7 @@ function updateNxJsonConfiguration(tree: Tree) {
   );
   const productionFileSet = nxJson.namedInputs.production ?? [];
   nxJson.namedInputs.production = Array.from(
-    new Set([...productionFileSet, 'default', '!{projectRoot}/test/**/*'])
+    new Set([...productionFileSet, 'default', '!{projectRoot}/src/test/**/*'])
   );
   updateNxJson(tree, nxJson);
 }
diff --git a/packages/gradle/src/migrations/19-4-1/change-regex-test-production.spec.ts b/packages/gradle/src/migrations/19-4-1/change-regex-test-production.spec.ts
new file mode 100644
index 00000000000000..8cf742779fd8e9
--- /dev/null
+++ b/packages/gradle/src/migrations/19-4-1/change-regex-test-production.spec.ts
@@ -0,0 +1,71 @@
+import { Tree, readNxJson } from '@nx/devkit';
+import { createTreeWithEmptyWorkspace } from '@nx/devkit/testing';
+import update from './change-regex-test-production';
+
+describe('change-regex-test-production', () => {
+  let tree: Tree;
+
+  beforeAll(() => {
+    tree = createTreeWithEmptyWorkspace();
+  });
+
+  it('should not add to the namedInputs if it does not exist', async () => {
+    tree.write(
+      'nx.json',
+      JSON.stringify({ namedInputs: {}, plugins: ['@nx/gradle'] })
+    );
+    update(tree);
+    expect(readNxJson(tree)).toMatchInlineSnapshot(`
+      {
+        "namedInputs": {},
+        "plugins": [
+          "@nx/gradle",
+        ],
+      }
+    `);
+  });
+
+  it('should not add to the namedInputs production if it is empty', async () => {
+    tree.write(
+      'nx.json',
+      JSON.stringify({
+        namedInputs: { production: [] },
+        plugins: ['@nx/gradle'],
+      })
+    );
+    update(tree);
+    expect(readNxJson(tree)).toMatchInlineSnapshot(`
+      {
+        "namedInputs": {
+          "production": [],
+        },
+        "plugins": [
+          "@nx/gradle",
+        ],
+      }
+    `);
+  });
+
+  it('should remove !{projectRoot}/test/**/* from the namedInputs production', async () => {
+    tree.write(
+      'nx.json',
+      JSON.stringify({
+        namedInputs: { production: ['!{projectRoot}/test/**/*'] },
+        plugins: ['@nx/gradle'],
+      })
+    );
+    update(tree);
+    expect(readNxJson(tree)).toMatchInlineSnapshot(`
+      {
+        "namedInputs": {
+          "production": [
+            "!{projectRoot}/src/test/**/*",
+          ],
+        },
+        "plugins": [
+          "@nx/gradle",
+        ],
+      }
+    `);
+  });
+});
diff --git a/packages/gradle/src/migrations/19-4-1/change-regex-test-production.ts b/packages/gradle/src/migrations/19-4-1/change-regex-test-production.ts
new file mode 100644
index 00000000000000..c54401ebc29fd6
--- /dev/null
+++ b/packages/gradle/src/migrations/19-4-1/change-regex-test-production.ts
@@ -0,0 +1,19 @@
+import { Tree, readNxJson, updateNxJson } from '@nx/devkit';
+import { hasGradlePlugin } from '../../utils/has-gradle-plugin';
+
+// This function changes !{projectRoot}/test/**/* in nx.json for production to !{projectRoot}/src/test/**/*
+export default function update(tree: Tree) {
+  if (!hasGradlePlugin(tree)) {
+    return;
+  }
+  const nxJson = readNxJson(tree);
+  if (!nxJson) {
+    return;
+  }
+  const production = nxJson.namedInputs?.production;
+  if (production?.includes('!{projectRoot}/test/**/*')) {
+    production[production.indexOf('!{projectRoot}/test/**/*')] =
+      '!{projectRoot}/src/test/**/*';
+    updateNxJson(tree, nxJson);
+  }
+}