diff --git a/packages/server/src/utils/builders/compose.ts b/packages/server/src/utils/builders/compose.ts
index 168de7fda..31e610847 100644
--- a/packages/server/src/utils/builders/compose.ts
+++ b/packages/server/src/utils/builders/compose.ts
@@ -7,6 +7,7 @@ import { writeDomainsToCompose } from "../docker/domain";
 import {
 	encodeBase64,
 	getEnvironmentVariablesObject,
+	prepareEnvironmentVariables,
 	prepareEnvironmentVariablesForFile,
 } from "../docker/utils";
 import { withResolvedVaultRefs } from "../vault";
@@ -157,10 +158,18 @@ export const getCreateEnvFileCommand = (compose: ComposeNested) => {
 		envContent += `\nCOMPOSE_PREFIX=${compose.suffix}`;
 	}
 
-	const envFileContent = prepareEnvironmentVariablesForFile(
-		envContent,
-		compose.environment.project.env,
-		compose.environment.env,
+	const envFileContent = (
+		compose.composeType === "stack"
+			? prepareEnvironmentVariables(
+					envContent,
+					compose.environment.project.env,
+					compose.environment.env,
+				)
+			: prepareEnvironmentVariablesForFile(
+					envContent,
+					compose.environment.project.env,
+					compose.environment.env,
+				)
 	).join("\n");
 
 	const encodedContent = encodeBase64(envFileContent);