diff --git a/packages/playwright-core/src/client/browserType.ts b/packages/playwright-core/src/client/browserType.ts
index 27dd6aa5cf..d0c3e99d2a 100644
--- a/packages/playwright-core/src/client/browserType.ts
+++ b/packages/playwright-core/src/client/browserType.ts
@@ -69,7 +69,7 @@ export class BrowserType extends ChannelOwner<channels.BrowserTypeChannel> imple
 
   async launch(options: LaunchOptions = {}): Promise<Browser> {
     if (this._defaultConnectOptions)
-      return await this._connectInsteadOfLaunching();
+      return await this._connectInsteadOfLaunching(this._defaultConnectOptions);
 
     const logger = options.logger || this._defaultLaunchOptions?.logger;
     assert(!(options as any).userDataDir, 'userDataDir option is not supported in `browserType.launch`. Use `browserType.launchPersistentContext` instead');
@@ -89,14 +89,15 @@ export class BrowserType extends ChannelOwner<channels.BrowserTypeChannel> imple
     });
   }
 
-  private async _connectInsteadOfLaunching(): Promise<Browser> {
-    const connectOptions = this._defaultConnectOptions!;
-    return this._connect(connectOptions.wsEndpoint, {
+  private async _connectInsteadOfLaunching(connectOptions: ConnectOptions): Promise<Browser> {
+    return this._connect({
+      wsEndpoint: connectOptions.wsEndpoint,
       headers: {
-        'x-playwright-browser': this.name(),
         'x-playwright-launch-options': JSON.stringify(this._defaultLaunchOptions || {}),
         ...connectOptions.headers,
       },
+      _exposeNetwork: connectOptions._exposeNetwork,
+      slowMo: connectOptions.slowMo,
       timeout: connectOptions.timeout ?? 3 * 60 * 1000, // 3 minutes
     });
   }
@@ -132,22 +133,28 @@ export class BrowserType extends ChannelOwner<channels.BrowserTypeChannel> imple
     });
   }
 
-  connect(options: api.ConnectOptions & { wsEndpoint?: string }): Promise<api.Browser>;
+  connect(options: api.ConnectOptions & { wsEndpoint: string }): Promise<api.Browser>;
   connect(wsEndpoint: string, options?: api.ConnectOptions): Promise<api.Browser>;
-  async connect(optionsOrWsEndpoint: string|(api.ConnectOptions & { wsEndpoint?: string }), options?: api.ConnectOptions): Promise<Browser>{
+  async connect(optionsOrWsEndpoint: string | (api.ConnectOptions & { wsEndpoint: string }), options?: api.ConnectOptions): Promise<Browser>{
     if (typeof optionsOrWsEndpoint === 'string')
-      return this._connect(optionsOrWsEndpoint, options);
+      return this._connect({ ...options, wsEndpoint: optionsOrWsEndpoint });
     assert(optionsOrWsEndpoint.wsEndpoint, 'options.wsEndpoint is required');
-    return this._connect(optionsOrWsEndpoint.wsEndpoint, optionsOrWsEndpoint);
+    return this._connect(optionsOrWsEndpoint);
   }
 
-  async _connect(wsEndpoint: string, params: Partial<ConnectOptions> = {}): Promise<Browser> {
+  async _connect(params: ConnectOptions): Promise<Browser> {
     const logger = params.logger;
     return await this._wrapApiCall(async () => {
       const deadline = params.timeout ? monotonicTime() + params.timeout : 0;
       const headers = { 'x-playwright-browser': this.name(), ...params.headers };
       const localUtils = this._connection.localUtils();
-      const connectParams: channels.LocalUtilsConnectParams = { wsEndpoint, headers, slowMo: params.slowMo, timeout: params.timeout };
+      const connectParams: channels.LocalUtilsConnectParams = {
+        wsEndpoint: params.wsEndpoint,
+        headers,
+        exposeNetwork: params._exposeNetwork,
+        slowMo: params.slowMo,
+        timeout: params.timeout,
+      };
       if ((params as any).__testHookRedirectPortForwarding)
         connectParams.socksProxyRedirectPortForTest = (params as any).__testHookRedirectPortForwarding;
       const { pipe } = await localUtils._channel.connect(connectParams);
diff --git a/packages/playwright-core/src/client/types.ts b/packages/playwright-core/src/client/types.ts
index cfdcfa3030..e9fdb61c09 100644
--- a/packages/playwright-core/src/client/types.ts
+++ b/packages/playwright-core/src/client/types.ts
@@ -87,6 +87,7 @@ export type LaunchPersistentContextOptions = Omit<LaunchOptionsBase & BrowserCon
 export type ConnectOptions = {
   wsEndpoint: string,
   headers?: { [key: string]: string; };
+  _exposeNetwork?: string,
   slowMo?: number,
   timeout?: number,
   logger?: Logger,
diff --git a/packages/playwright-core/src/common/socksProxy.ts b/packages/playwright-core/src/common/socksProxy.ts
index 9a8e0c271c..013e6638e9 100644
--- a/packages/playwright-core/src/common/socksProxy.ts
+++ b/packages/playwright-core/src/common/socksProxy.ts
@@ -431,19 +431,31 @@ export class SocksProxyHandler extends EventEmitter {
   };
 
   private _sockets = new Map<string, net.Socket>();
+  private _pattern: string | undefined;
   private _redirectPortForTest: number | undefined;
 
-  constructor(redirectPortForTest?: number) {
+  constructor(pattern: string | undefined, redirectPortForTest?: number) {
     super();
+    this._pattern = pattern;
     this._redirectPortForTest = redirectPortForTest;
   }
 
+  private _matchesPattern(host: string, port: number) {
+    return this._pattern === '*' || (this._pattern === 'localhost' && host === 'localhost');
+  }
+
   cleanup() {
     for (const uid of this._sockets.keys())
       this.socketClosed({ uid });
   }
 
   async socketRequested({ uid, host, port }: SocksSocketRequestedPayload): Promise<void> {
+    if (!this._matchesPattern(host, port)) {
+      const payload: SocksSocketFailedPayload = { uid, errorCode: 'ECONNREFUSED' };
+      this.emit(SocksProxyHandler.Events.SocksFailed, payload);
+      return;
+    }
+
     if (host === 'local.playwright')
       host = '127.0.0.1';
     // Node.js 17 does resolve localhost to ipv6
diff --git a/packages/playwright-core/src/containers/docker.ts b/packages/playwright-core/src/containers/docker.ts
index de5ffdd0b6..79ffbe16da 100644
--- a/packages/playwright-core/src/containers/docker.ts
+++ b/packages/playwright-core/src/containers/docker.ts
@@ -288,7 +288,7 @@ async function tetherHostNetwork(endpoint: string) {
     'x-playwright-proxy': '*',
   };
   const transport = await WebSocketTransport.connect(undefined /* progress */, wsEndpoint, headers, true /* followRedirects */);
-  const socksInterceptor = new SocksInterceptor(transport, undefined);
+  const socksInterceptor = new SocksInterceptor(transport, '*', undefined);
   transport.onmessage = json => socksInterceptor.interceptMessage(json);
   transport.onclose = () => {
     socksInterceptor.cleanup();
@@ -387,7 +387,7 @@ export function addDockerCLI(program: Command) {
       .option('--browser <name>', 'browser to launch')
       .option('--endpoint <url>', 'server endpoint')
       .action(async function(options: { browser: string, endpoint: string }) {
-        let browserType: any;
+        let browserType: playwright.BrowserType | undefined;
         if (options.browser === 'chromium')
           browserType = playwright.chromium;
         else if (options.browser === 'firefox')
@@ -404,9 +404,9 @@ export function addDockerCLI(program: Command) {
               headless: false,
               viewport: null,
             }),
-            'x-playwright-proxy': '*',
           },
-        });
+          _exposeNetwork: '*',
+        } as any);
         const context = await browser.newContext();
         context.on('page', (page: playwright.Page) => {
           page.on('dialog', () => {});  // Prevent dialogs from being automatically dismissed.
diff --git a/packages/playwright-core/src/protocol/validator.ts b/packages/playwright-core/src/protocol/validator.ts
index 1781af6ae5..53ececed59 100644
--- a/packages/playwright-core/src/protocol/validator.ts
+++ b/packages/playwright-core/src/protocol/validator.ts
@@ -248,6 +248,7 @@ scheme.LocalUtilsHarUnzipResult = tOptional(tObject({}));
 scheme.LocalUtilsConnectParams = tObject({
   wsEndpoint: tString,
   headers: tOptional(tAny),
+  exposeNetwork: tOptional(tString),
   slowMo: tOptional(tNumber),
   timeout: tOptional(tNumber),
   socksProxyRedirectPortForTest: tOptional(tNumber),
diff --git a/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts b/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
index 007d46bd3a..3979847247 100644
--- a/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
+++ b/packages/playwright-core/src/server/dispatchers/localUtilsDispatcher.ts
@@ -156,11 +156,15 @@ export class LocalUtilsDispatcher extends Dispatcher<{ guid: string }, channels.
     const controller = new ProgressController(metadata, this._object as SdkObject);
     controller.setLogName('browser');
     return await controller.run(async progress => {
-      const paramsHeaders = Object.assign({ 'User-Agent': getUserAgent() }, params.headers || {});
+      const wsHeaders = {
+        'User-Agent': getUserAgent(),
+        'x-playwright-proxy': params.exposeNetwork ?? '',
+        ...params.headers,
+      };
       const wsEndpoint = await urlToWSEndpoint(progress, params.wsEndpoint);
 
-      const transport = await WebSocketTransport.connect(progress, wsEndpoint, paramsHeaders, true);
-      const socksInterceptor = new SocksInterceptor(transport, params.socksProxyRedirectPortForTest);
+      const transport = await WebSocketTransport.connect(progress, wsEndpoint, wsHeaders, true);
+      const socksInterceptor = new SocksInterceptor(transport, params.exposeNetwork, params.socksProxyRedirectPortForTest);
       const pipe = new JsonPipeDispatcher(this);
       transport.onmessage = json => {
         if (socksInterceptor.interceptMessage(json))
diff --git a/packages/playwright-core/src/server/socksInterceptor.ts b/packages/playwright-core/src/server/socksInterceptor.ts
index 2df184cfeb..0fd31645e5 100644
--- a/packages/playwright-core/src/server/socksInterceptor.ts
+++ b/packages/playwright-core/src/server/socksInterceptor.ts
@@ -27,8 +27,8 @@ export class SocksInterceptor {
   private _socksSupportObjectGuid?: string;
   private _ids = new Set<number>();
 
-  constructor(transport: WebSocketTransport, redirectPortForTest: number | undefined) {
-    this._handler = new socks.SocksProxyHandler(redirectPortForTest);
+  constructor(transport: WebSocketTransport, pattern: string | undefined, redirectPortForTest: number | undefined) {
+    this._handler = new socks.SocksProxyHandler(pattern,  redirectPortForTest);
 
     let lastId = -1;
     this._channel = new Proxy(new EventEmitter(), {
diff --git a/packages/playwright-test/src/index.ts b/packages/playwright-test/src/index.ts
index 8416ba556b..5efdcb7ac5 100644
--- a/packages/playwright-test/src/index.ts
+++ b/packages/playwright-test/src/index.ts
@@ -87,8 +87,9 @@ const playwrightFixtures: Fixtures<TestFixtures, WorkerFixtures> = ({
     }
     return use({
       wsEndpoint,
-      headers
-    });
+      headers,
+      _exposeNetwork: process.env.PW_TEST_CONNECT_EXPOSE_NETWORK,
+    } as any);
   }, { scope: 'worker', option: true }],
   screenshot: ['off', { scope: 'worker', option: true }],
   video: ['off', { scope: 'worker', option: true }],
diff --git a/packages/playwright-test/src/plugins/dockerPlugin.ts b/packages/playwright-test/src/plugins/dockerPlugin.ts
index 32d6e7fc15..a20b39e85e 100644
--- a/packages/playwright-test/src/plugins/dockerPlugin.ts
+++ b/packages/playwright-test/src/plugins/dockerPlugin.ts
@@ -35,9 +35,7 @@ export const dockerPlugin: TestRunnerPlugin = {
       throw new Error('ERROR: please launch docker container separately!');
     println('');
     process.env.PW_TEST_CONNECT_WS_ENDPOINT = info.httpEndpoint;
-    process.env.PW_TEST_CONNECT_HEADERS = JSON.stringify({
-      'x-playwright-proxy': '*',
-    });
+    process.env.PW_TEST_CONNECT_EXPOSE_NETWORK = '*';
   },
 };
 
diff --git a/packages/protocol/src/channels.ts b/packages/protocol/src/channels.ts
index d5b555c68a..010da28b8c 100644
--- a/packages/protocol/src/channels.ts
+++ b/packages/protocol/src/channels.ts
@@ -446,12 +446,14 @@ export type LocalUtilsHarUnzipResult = void;
 export type LocalUtilsConnectParams = {
   wsEndpoint: string,
   headers?: any,
+  exposeNetwork?: string,
   slowMo?: number,
   timeout?: number,
   socksProxyRedirectPortForTest?: number,
 };
 export type LocalUtilsConnectOptions = {
   headers?: any,
+  exposeNetwork?: string,
   slowMo?: number,
   timeout?: number,
   socksProxyRedirectPortForTest?: number,
diff --git a/packages/protocol/src/protocol.yml b/packages/protocol/src/protocol.yml
index 0c9e5daf47..bc29cb9674 100644
--- a/packages/protocol/src/protocol.yml
+++ b/packages/protocol/src/protocol.yml
@@ -535,6 +535,7 @@ LocalUtils:
       parameters:
         wsEndpoint: string
         headers: json?
+        exposeNetwork: string?
         slowMo: number?
         timeout: number?
         socksProxyRedirectPortForTest: number?
diff --git a/tests/config/remoteServer.ts b/tests/config/remoteServer.ts
index b0681f557c..50f9b9c1a9 100644
--- a/tests/config/remoteServer.ts
+++ b/tests/config/remoteServer.ts
@@ -15,7 +15,7 @@
  */
 
 import path from 'path';
-import type { BrowserType, Browser, LaunchOptions } from 'playwright-core';
+import type { BrowserType, Browser } from 'playwright-core';
 import type { CommonFixtures, TestChildProcess } from './commonFixtures';
 
 export interface PlaywrightServer {
@@ -79,7 +79,7 @@ export class RemoteServer implements PlaywrightServer {
     const browserOptions = (browserType as any)._defaultLaunchOptions;
     // Copy options to prevent a large JSON string when launching subprocess.
     // Otherwise, we get `Error: spawn ENAMETOOLONG` on Windows.
-    const launchOptions: LaunchOptions = {
+    const launchOptions: Parameters<BrowserType['launchServer']>[0] = {
       args: browserOptions.args,
       headless: browserOptions.headless,
       channel: browserOptions.channel,
diff --git a/tests/library/browsertype-connect.spec.ts b/tests/library/browsertype-connect.spec.ts
index 87713c87a4..c418912e26 100644
--- a/tests/library/browsertype-connect.spec.ts
+++ b/tests/library/browsertype-connect.spec.ts
@@ -679,7 +679,6 @@ for (const kind of ['launchServer', 'run-server'] as const) {
     test.describe('socks proxy', () => {
       test.fixme(({ platform, browserName }) => browserName === 'webkit' && platform === 'win32');
       test.skip(({ mode }) => mode !== 'default');
-      test.skip(kind === 'launchServer', 'This feature is not yet supported in launchServer');
 
       test('should forward non-forwarded requests', async ({ server, startRemoteServer, connect }) => {
         let reachedOriginalTarget = false;
@@ -688,9 +687,7 @@ for (const kind of ['launchServer', 'run-server'] as const) {
           res.end('<html><body>original-target</body></html>');
         });
         const remoteServer = await startRemoteServer(kind);
-        const browser = await connect(remoteServer.wsEndpoint(), {
-          headers: { 'x-playwright-proxy': '*' }
-        });
+        const browser = await connect(remoteServer.wsEndpoint(), { _exposeNetwork: '*' } as any);
         const page = await browser.newPage();
         await page.goto(server.PREFIX + '/foo.html');
         expect(await page.content()).toContain('original-target');
@@ -707,9 +704,7 @@ for (const kind of ['launchServer', 'run-server'] as const) {
         });
         const examplePort = 20_000 + testInfo.workerIndex * 3;
         const remoteServer = await startRemoteServer(kind);
-        const browser = await connect(remoteServer.wsEndpoint(), {
-          headers: { 'x-playwright-proxy': '*' }
-        }, dummyServerPort);
+        const browser = await connect(remoteServer.wsEndpoint(), { _exposeNetwork: '*' } as any, dummyServerPort);
         const page = await browser.newPage();
         await page.goto(`http://127.0.0.1:${examplePort}/foo.html`);
         expect(await page.content()).toContain('from-dummy-server');
@@ -726,9 +721,7 @@ for (const kind of ['launchServer', 'run-server'] as const) {
         });
         const examplePort = 20_000 + workerInfo.workerIndex * 3;
         const remoteServer = await startRemoteServer(kind);
-        const browser = await connect(remoteServer.wsEndpoint(), {
-          headers: { 'x-playwright-proxy': '*' }
-        }, dummyServerPort);
+        const browser = await connect(remoteServer.wsEndpoint(), { _exposeNetwork: '*' } as any, dummyServerPort);
         const page = await browser.newPage();
         const response = await page.request.get(`http://127.0.0.1:${examplePort}/foo.html`);
         expect(response.status()).toBe(200);
@@ -744,9 +737,7 @@ for (const kind of ['launchServer', 'run-server'] as const) {
         });
         const examplePort = 20_000 + workerInfo.workerIndex * 3;
         const remoteServer = await startRemoteServer(kind);
-        const browser = await connect(remoteServer.wsEndpoint(), {
-          headers: { 'x-playwright-proxy': '*' }
-        }, dummyServerPort);
+        const browser = await connect(remoteServer.wsEndpoint(), { _exposeNetwork: '*' } as any, dummyServerPort);
         const page = await browser.newPage();
         await page.goto(`http://local.playwright:${examplePort}/foo.html`);
         expect(await page.content()).toContain('from-dummy-server');
@@ -756,9 +747,7 @@ for (const kind of ['launchServer', 'run-server'] as const) {
       test('should lead to the error page for forwarded requests when the connection is refused', async ({ connect, startRemoteServer, browserName }, workerInfo) => {
         const examplePort = 20_000 + workerInfo.workerIndex * 3;
         const remoteServer = await startRemoteServer(kind);
-        const browser = await connect(remoteServer.wsEndpoint(), {
-          headers: { 'x-playwright-proxy': '*' }
-        });
+        const browser = await connect(remoteServer.wsEndpoint(), { _exposeNetwork: '*' } as any);
         const page = await browser.newPage();
         const error = await page.goto(`http://127.0.0.1:${examplePort}`).catch(e => e);
         if (browserName === 'chromium')
@@ -779,9 +768,7 @@ for (const kind of ['launchServer', 'run-server'] as const) {
         });
         const examplePort = 20_000 + workerInfo.workerIndex * 3;
         const remoteServer = await startRemoteServer(kind);
-        const browser = await connect(remoteServer.wsEndpoint(), {
-          headers: { 'x-playwright-proxy': 'localhost' }
-        }, dummyServerPort);
+        const browser = await connect(remoteServer.wsEndpoint(), { _exposeNetwork: 'localhost' } as any, dummyServerPort);
         const page = await browser.newPage();
 
         // localhost should be proxied.
@@ -801,6 +788,30 @@ for (const kind of ['launchServer', 'run-server'] as const) {
         });
         expect(failed).toBe(true);
       });
+
+      test('should check proxy pattern on the client', async ({ connect, startRemoteServer, server, browserName, platform, dummyServerPort }, workerInfo) => {
+        let reachedOriginalTarget = false;
+        server.setRoute('/foo.html', async (req, res) => {
+          reachedOriginalTarget = true;
+          res.end('<html><body>from-original-server</body></html>');
+        });
+        const remoteServer = await startRemoteServer(kind);
+        const browser = await connect(remoteServer.wsEndpoint(), {
+          _exposeNetwork: 'localhost',
+          headers: {
+            'x-playwright-proxy': '*',
+          },
+        } as any, dummyServerPort);
+        const page = await browser.newPage();
+
+        // 127.0.0.1 should fail on the client side.
+        let failed = false;
+        await page.goto(`http://127.0.0.1:${server.PORT}/foo.html`).catch(e => {
+          failed = true;
+        });
+        expect(failed).toBe(true);
+        expect(reachedOriginalTarget).toBe(false);
+      });
     });
   });
 }