diff --git a/modules/ppcp-wc-gateway/resources/js/gateway-settings.js b/modules/ppcp-wc-gateway/resources/js/gateway-settings.js
index 6548412f8..01ac034c8 100644
--- a/modules/ppcp-wc-gateway/resources/js/gateway-settings.js
+++ b/modules/ppcp-wc-gateway/resources/js/gateway-settings.js
@@ -114,10 +114,13 @@ import {setVisibleByClass, isVisible} from "../../../ppcp-button/resources/js/mo
                 'integration-date': PayPalCommerceGatewaySettings.integration_date,
                 'components': ['buttons', 'funding-eligibility', 'messages'],
                 'enable-funding': ['venmo', 'paylater'],
-                'buyer-country': PayPalCommerceGatewaySettings.country,
             };
 
-            if(payLaterButtonPreview?.length) {
+            if (PayPalCommerceGatewaySettings.environment === 'sandbox') {
+                settings['buyer-country'] = PayPalCommerceGatewaySettings.country;
+            }
+
+            if (payLaterButtonPreview?.length) {
                 disabledSources = Object.keys(PayPalCommerceGatewaySettings.all_funding_sources);
             }
 
diff --git a/modules/ppcp-wc-gateway/src/Assets/SettingsPageAssets.php b/modules/ppcp-wc-gateway/src/Assets/SettingsPageAssets.php
index e772d9028..aa069a7e7 100644
--- a/modules/ppcp-wc-gateway/src/Assets/SettingsPageAssets.php
+++ b/modules/ppcp-wc-gateway/src/Assets/SettingsPageAssets.php
@@ -9,6 +9,7 @@ declare(strict_types=1);
 
 namespace WooCommerce\PayPalCommerce\WcGateway\Assets;
 
+use WooCommerce\PayPalCommerce\Onboarding\Environment;
 use WooCommerce\PayPalCommerce\Subscription\Helper\SubscriptionHelper;
 
 /**
@@ -58,6 +59,13 @@ class SettingsPageAssets {
 	 */
 	private $country;
 
+	/**
+	 * The environment object.
+	 *
+	 * @var Environment
+	 */
+	private $environment;
+
 	/**
 	 * Whether Pay Later button is enabled either for checkout, cart or product page.
 	 *
@@ -88,6 +96,7 @@ class SettingsPageAssets {
 	 * @param string             $client_id The PayPal SDK client ID.
 	 * @param string             $currency 3-letter currency code of the shop.
 	 * @param string             $country 2-letter country code of the shop.
+	 * @param Environment        $environment The environment object.
 	 * @param bool               $is_pay_later_button_enabled Whether Pay Later button is enabled either for checkout, cart or product page.
 	 * @param array              $disabled_sources The list of disabled funding sources.
 	 * @param array              $all_funding_sources The list of all existing funding sources.
@@ -99,6 +108,7 @@ class SettingsPageAssets {
 		string $client_id,
 		string $currency,
 		string $country,
+		Environment $environment,
 		bool $is_pay_later_button_enabled,
 		array $disabled_sources,
 		array $all_funding_sources
@@ -109,6 +119,7 @@ class SettingsPageAssets {
 		$this->client_id                   = $client_id;
 		$this->currency                    = $currency;
 		$this->country                     = $country;
+		$this->environment                 = $environment;
 		$this->is_pay_later_button_enabled = $is_pay_later_button_enabled;
 		$this->disabled_sources            = $disabled_sources;
 		$this->all_funding_sources         = $all_funding_sources;
@@ -191,6 +202,7 @@ class SettingsPageAssets {
 				'client_id'                      => $this->client_id,
 				'currency'                       => $this->currency,
 				'country'                        => $this->country,
+				'environment'                    => $this->environment->current_environment(),
 				'integration_date'               => PAYPAL_INTEGRATION_DATE,
 				'is_pay_later_button_enabled'    => $this->is_pay_later_button_enabled,
 				'disabled_sources'               => $this->disabled_sources,
diff --git a/modules/ppcp-wc-gateway/src/WCGatewayModule.php b/modules/ppcp-wc-gateway/src/WCGatewayModule.php
index b5d2939d0..436664078 100644
--- a/modules/ppcp-wc-gateway/src/WCGatewayModule.php
+++ b/modules/ppcp-wc-gateway/src/WCGatewayModule.php
@@ -174,6 +174,7 @@ class WCGatewayModule implements ModuleInterface {
 				$c->get( 'button.client_id_for_admin' ),
 				$c->get( 'api.shop.currency' ),
 				$c->get( 'api.shop.country' ),
+				$c->get( 'onboarding.environment' ),
 				$settings_status->is_pay_later_button_enabled(),
 				$settings->has( 'disable_funding' ) ? $settings->get( 'disable_funding' ) : array(),
 				$c->get( 'wcgateway.all-funding-sources' )
diff --git a/tests/PHPUnit/WcGateway/Assets/SettingsPagesAssetsTest.php b/tests/PHPUnit/WcGateway/Assets/SettingsPagesAssetsTest.php
index 259a25ebb..6bd2ca14f 100644
--- a/tests/PHPUnit/WcGateway/Assets/SettingsPagesAssetsTest.php
+++ b/tests/PHPUnit/WcGateway/Assets/SettingsPagesAssetsTest.php
@@ -3,6 +3,7 @@
 namespace WooCommerce\PayPalCommerce\WcGateway\Assets;
 
 use WooCommerce\PayPalCommerce\ApiClient\Authentication\Bearer;
+use WooCommerce\PayPalCommerce\Onboarding\Environment;
 use WooCommerce\PayPalCommerce\Subscription\Helper\SubscriptionHelper;
 use WooCommerce\PayPalCommerce\TestCase;
 use function Brain\Monkey\Functions\when;
@@ -23,6 +24,7 @@ class SettingsPagesAssetsTest extends TestCase
             '123',
             'EUR',
             'DE',
+			Mockery::mock(Environment::class),
             true,
             array(),
             array()