diff --git a/Cargo.lock b/Cargo.lock
index 2c936c12c..5e255b308 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -118,9 +118,9 @@ dependencies = [
 
 [[package]]
 name = "allocator-api2"
-version = "0.2.19"
+version = "0.2.20"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "611cc2ae7d2e242c457e4be7f97036b8ad9ca152b499f53faf99b1ed8fc2553f"
+checksum = "45862d1c77f2228b9e10bc609d5bc203d86ebc9b87ad8d5d5167a6c9abf739d9"
 
 [[package]]
 name = "android-tzdata"
@@ -1740,7 +1740,7 @@ source = "registry+https://github.com/rust-lang/crates.io-index"
 checksum = "40723b8fb387abc38f4f4a37c09073622e41dd12327033091ef8950659e6dc0c"
 dependencies = [
  "memchr",
- "regex-automata 0.4.8",
+ "regex-automata 0.4.9",
  "serde",
 ]
 
@@ -2023,9 +2023,9 @@ dependencies = [
 
 [[package]]
 name = "cc"
-version = "1.1.37"
+version = "1.2.0"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "40545c26d092346d8a8dab71ee48e7685a7a9cba76e634790c215b41a4a7b4cf"
+checksum = "1aeb932158bd710538c73702db6945cb68a8fb08c519e6e12706b94263b36db8"
 dependencies = [
  "jobserver",
  "libc",
@@ -2295,7 +2295,7 @@ source = "registry+https://github.com/rust-lang/crates.io-index"
 checksum = "3538270d33cc669650c4b093848450d380def10c331d38c768e34cac80576e6e"
 dependencies = [
  "termcolor",
- "unicode-width",
+ "unicode-width 0.1.14",
 ]
 
 [[package]]
@@ -2362,7 +2362,7 @@ dependencies = [
  "encode_unicode",
  "lazy_static",
  "libc",
- "unicode-width",
+ "unicode-width 0.1.14",
  "windows-sys 0.52.0",
 ]
 
@@ -2599,9 +2599,9 @@ dependencies = [
 
 [[package]]
 name = "cpufeatures"
-version = "0.2.14"
+version = "0.2.15"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "608697df725056feaccfa42cffdaeeec3fccc4ffc38358ecd19b243e716a78e0"
+checksum = "0ca741a962e1b0bff6d724a1a0958b686406e853bb14061f218562e1896f95e6"
 dependencies = [
  "libc",
 ]
@@ -2905,9 +2905,9 @@ dependencies = [
 
 [[package]]
 name = "cxx"
-version = "1.0.129"
+version = "1.0.130"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "cbdc8cca144dce1c4981b5c9ab748761619979e515c3d53b5df385c677d1d007"
+checksum = "23c042a0ba58aaff55299632834d1ea53ceff73d62373f62c9ae60890ad1b942"
 dependencies = [
  "cc",
  "cxxbridge-flags",
@@ -2917,13 +2917,12 @@ dependencies = [
 
 [[package]]
 name = "cxx-build"
-version = "1.0.129"
+version = "1.0.130"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "c5764c3142ab44fcf857101d12c0ddf09c34499900557c764f5ad0597159d1fc"
+checksum = "45dc1c88d0fdac57518a9b1f6c4f4fb2aca8f3c30c0d03d7d8518b47ca0bcea6"
 dependencies = [
  "cc",
  "codespan-reporting",
- "once_cell",
  "proc-macro2",
  "quote",
  "scratch",
@@ -2932,18 +2931,19 @@ dependencies = [
 
 [[package]]
 name = "cxxbridge-flags"
-version = "1.0.129"
+version = "1.0.130"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "d422aff542b4fa28c2ce8e5cc202d42dbf24702345c1fba3087b2d3f8a1b90ff"
+checksum = "aa7ed7d30b289e2592cc55bc2ccd89803a63c913e008e6eb59f06cddf45bb52f"
 
 [[package]]
 name = "cxxbridge-macro"
-version = "1.0.129"
+version = "1.0.130"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "a1719100f31492cd6adeeab9a0f46cdbc846e615fdb66d7b398aa46ec7fdd06f"
+checksum = "0b8c465d22de46b851c04630a5fc749a26005b263632ed2e0d9cc81518ead78d"
 dependencies = [
  "proc-macro2",
  "quote",
+ "rustversion",
  "syn 2.0.87",
 ]
 
@@ -3236,6 +3236,7 @@ dependencies = [
  "dioxus-rsx-rosetta",
  "dirs",
  "env_logger 0.11.5",
+ "escargot",
  "futures-channel",
  "futures-util",
  "handlebars",
@@ -3254,6 +3255,7 @@ dependencies = [
  "object 0.36.5",
  "once_cell",
  "open",
+ "path-absolutize",
  "prettyplease",
  "proc-macro2",
  "ratatui",
@@ -4322,6 +4324,18 @@ dependencies = [
  "windows-sys 0.52.0",
 ]
 
+[[package]]
+name = "escargot"
+version = "0.5.13"
+source = "registry+https://github.com/rust-lang/crates.io-index"
+checksum = "05a3ac187a16b5382fef8c69fd1bad123c67b7cf3932240a2d43dcdd32cded88"
+dependencies = [
+ "log",
+ "once_cell",
+ "serde",
+ "serde_json",
+]
+
 [[package]]
 name = "etcetera"
 version = "0.8.0"
@@ -5434,7 +5448,7 @@ dependencies = [
  "aho-corasick",
  "bstr",
  "log",
- "regex-automata 0.4.8",
+ "regex-automata 0.4.9",
  "regex-syntax 0.8.5",
 ]
 
@@ -6250,7 +6264,7 @@ dependencies = [
  "globset",
  "log",
  "memchr",
- "regex-automata 0.4.8",
+ "regex-automata 0.4.9",
  "same-file",
  "walkdir",
  "winapi-util",
@@ -6338,15 +6352,15 @@ dependencies = [
 
 [[package]]
 name = "indicatif"
-version = "0.17.8"
+version = "0.17.9"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "763a5a8f45087d6bcea4222e7b72c291a054edf80e4ef6efd2a4979878c7bea3"
+checksum = "cbf675b85ed934d3c67b5c5469701eec7db22689d0a2139d856e0925fa28b281"
 dependencies = [
  "console",
- "instant",
  "number_prefix",
  "portable-atomic",
- "unicode-width",
+ "unicode-width 0.2.0",
+ "web-time",
 ]
 
 [[package]]
@@ -6411,10 +6425,14 @@ dependencies = [
 
 [[package]]
 name = "instability"
-version = "0.3.2"
+version = "0.3.3"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "b23a0c8dfe501baac4adf6ebbfa6eddf8f0c07f56b058cc1288017e32397846c"
+checksum = "b829f37dead9dc39df40c2d3376c179fdfd2ac771f53f55d3c30dc096a3c0c6e"
 dependencies = [
+ "darling",
+ "indoc",
+ "pretty_assertions",
+ "proc-macro2",
  "quote",
  "syn 2.0.87",
 ]
@@ -6774,9 +6792,9 @@ dependencies = [
 
 [[package]]
 name = "krates"
-version = "0.17.2"
+version = "0.17.3"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "50ac9a4a6857b3732e7504712e2d41d5edaad70424d3dcb7166868e57094f06c"
+checksum = "e34c533fa7eee6063e640fd1cb059add729588f28f22f3b2a5650275e20f3ee3"
 dependencies = [
  "camino",
  "cfg-expr 0.17.0",
@@ -9168,7 +9186,7 @@ dependencies = [
  "strum_macros 0.26.4",
  "unicode-segmentation",
  "unicode-truncate",
- "unicode-width",
+ "unicode-width 0.1.14",
 ]
 
 [[package]]
@@ -9290,7 +9308,7 @@ checksum = "4219d74c6b67a3654a9fbebc4b419e22126d13d2f3c4a07ee0cb61ff79a79619"
 dependencies = [
  "aho-corasick",
  "memchr",
- "regex-automata 0.4.8",
+ "regex-automata 0.4.9",
  "regex-syntax 0.8.5",
 ]
 
@@ -9305,9 +9323,9 @@ dependencies = [
 
 [[package]]
 name = "regex-automata"
-version = "0.4.8"
+version = "0.4.9"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "368758f23274712b504848e9d5a6f010445cc8b87a7cdb4d7cbee666c1288da3"
+checksum = "809e8dc61f6de73b46c85f4c96486310fe304c434cfa43669d7b40f711150908"
 dependencies = [
  "aho-corasick",
  "memchr",
@@ -10032,9 +10050,9 @@ checksum = "f97841a747eef040fcd2e7b3b9a220a7205926e60488e673d9e4926d27772ce5"
 
 [[package]]
 name = "serde"
-version = "1.0.214"
+version = "1.0.215"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "f55c3193aca71c12ad7890f1785d2b73e1b9f63a0bbc353c08ef26fe03fc56b5"
+checksum = "6513c1ad0b11a9376da888e3e0baa0077f1aed55c17f50e7b2397136129fb88f"
 dependencies = [
  "serde_derive",
 ]
@@ -10075,9 +10093,9 @@ dependencies = [
 
 [[package]]
 name = "serde_derive"
-version = "1.0.214"
+version = "1.0.215"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "de523f781f095e28fa605cdce0f8307e451cc0fd14e2eb4cd2e98a355b147766"
+checksum = "ad1e866f866923f252f05c889987993144fb74e722403468a4ebd70c3cd756c0"
 dependencies = [
  "proc-macro2",
  "quote",
@@ -12156,7 +12174,7 @@ checksum = "b3644627a5af5fa321c95b9b235a72fd24cd29c648c2c379431e6628655627bf"
 dependencies = [
  "itertools 0.13.0",
  "unicode-segmentation",
- "unicode-width",
+ "unicode-width 0.1.14",
 ]
 
 [[package]]
@@ -12165,6 +12183,12 @@ version = "0.1.14"
 source = "registry+https://github.com/rust-lang/crates.io-index"
 checksum = "7dd6e30e90baa6f72411720665d41d89b9a3d039dc45b8faea1ddd07f617f6af"
 
+[[package]]
+name = "unicode-width"
+version = "0.2.0"
+source = "registry+https://github.com/rust-lang/crates.io-index"
+checksum = "1fc81956842c57dac11422a97c3b8195a1ff727f06e85c84ed2e8aa277c9a0fd"
+
 [[package]]
 name = "unicode-xid"
 version = "0.2.6"
diff --git a/packages/cli/Cargo.toml b/packages/cli/Cargo.toml
index 9ca1ac79a..4174fdded 100644
--- a/packages/cli/Cargo.toml
+++ b/packages/cli/Cargo.toml
@@ -96,6 +96,7 @@ wasm-opt = { version = "0.116.1", optional = true }
 crossterm = { version = "0.28.0", features = ["event-stream"] }
 ansi-to-tui = "6.0"
 ansi-to-html = "0.2.1"
+path-absolutize = "3.1"
 ratatui = { version = "0.28.0", features = ["crossterm", "unstable"] }
 
 # disable `log` entirely since `walrus` uses it and is *much* slower with it enableda
@@ -138,6 +139,9 @@ wasm-opt = ["dep:wasm-opt"]
 path = "src/main.rs"
 name = "dx"
 
+[dev-dependencies]
+escargot = "0.5"
+
 [package.metadata.binstall]
 pkg-url = "{ repo }/releases/download/v{ version }/dx-{ target }-v{ version }{ archive-suffix }"
 pkg-fmt = "tgz"
diff --git a/packages/cli/src/cli/create.rs b/packages/cli/src/cli/create.rs
index a4a3f63bc..5fccffbb0 100644
--- a/packages/cli/src/cli/create.rs
+++ b/packages/cli/src/cli/create.rs
@@ -1,36 +1,47 @@
 use super::*;
 use crate::TraceSrc;
 use cargo_generate::{GenerateArgs, TemplatePath};
-use cargo_metadata::Metadata;
 use std::path::Path;
 
 pub(crate) static DEFAULT_TEMPLATE: &str = "gh:dioxuslabs/dioxus-template";
 
 #[derive(Clone, Debug, Default, Deserialize, Parser)]
-pub(crate) struct Create {
-    /// Project name (required when `--yes` is used)
+#[clap(name = "new")]
+pub struct Create {
+    /// Create a new Dioxus project at PATH
+    path: PathBuf,
+
+    /// Project name. Defaults to directory name
+    #[arg(short, long)]
     name: Option<String>,
 
-    /// Generate the template directly at the given path.
-    #[arg(long, value_parser)]
-    destination: Option<PathBuf>,
-
-    /// Generate the template directly into the current dir. No subfolder will be created and no vcs is initialized.
-    #[arg(long, action)]
-    init: bool,
-
     /// Template path
     #[clap(default_value = DEFAULT_TEMPLATE, short, long)]
     template: String,
 
-    /// Pass <option>=<value> for the used template (e.g., `foo=bar`)
-    #[clap(short, long)]
-    option: Vec<String>,
+    /// Branch to select when using `template` from a git repository.
+    /// Mutually exclusive with: `--revision`, `--tag`.
+    #[clap(long, conflicts_with_all(["revision", "tag"]))]
+    branch: Option<String>,
+
+    /// A commit hash to select when using `template` from a git repository.
+    /// Mutually exclusive with: `--branch`, `--tag`.
+    #[clap(long, conflicts_with_all(["branch", "tag"]))]
+    revision: Option<String>,
+
+    /// Tag to select when using `template` from a git repository.
+    /// Mutually exclusive with: `--branch`, `--revision`.
+    #[clap(long, conflicts_with_all(["branch", "revision"]))]
+    tag: Option<String>,
 
     /// Specify a sub-template within the template repository to be used as the actual template
     #[clap(long)]
     subtemplate: Option<String>,
 
+    /// Pass <option>=<value> for the used template (e.g., `foo=bar`)
+    #[clap(short, long)]
+    option: Vec<String>,
+
     /// Skip user interaction by using the default values for the used template.
     /// Default values can be overridden with `--option`
     #[clap(short, long)]
@@ -38,82 +49,90 @@ pub(crate) struct Create {
 }
 
 impl Create {
-    pub(crate) fn create(mut self) -> Result<StructuredOutput> {
-        let metadata = cargo_metadata::MetadataCommand::new().exec().ok();
-
-        // If we're getting pass a `.` name, that's actually a path
-        // We're actually running an init - we should clear the name
-        if self.name.as_deref() == Some(".") {
-            self.name = None;
-            self.init = true;
-        }
-
-        // A default destination is set for nameless projects
+    pub fn create(mut self) -> Result<StructuredOutput> {
+        // Project name defaults to directory name.
         if self.name.is_none() {
-            self.destination = Some(PathBuf::from("."));
+            self.name = Some(create::name_from_path(&self.path)?);
         }
 
-        // Split the name into path components
-        // such that dx new packages/app will create a directory called packages/app
-        let destination = self.destination.unwrap_or_else(|| {
-            let mut path = PathBuf::from(self.name.as_deref().unwrap());
-
-            if path.is_relative() {
-                path = std::env::current_dir().unwrap().join(path);
-            }
-
-            // split the path into the parent and the name
-            let parent = path.parent().unwrap();
-            let name = path.file_name().unwrap();
-            self.name = Some(name.to_str().unwrap().to_string());
-
-            // create the parent directory if it doesn't exist
-            std::fs::create_dir_all(parent).unwrap();
-
-            // And then the "destination" is the parent directory
-            parent.to_path_buf()
-        });
-
         let args = GenerateArgs {
             define: self.option,
+            destination: Some(self.path),
+            // NOTE: destination without init means base_dir + name, with —
+            // means dest_dir. So use `init: true` and always handle
+            // the dest_dir manually and carefully.
+            // Cargo never adds name to the path. Name is solely for project name.
+            // https://github.com/cargo-generate/cargo-generate/issues/1250
+            init: true,
             name: self.name,
             silent: self.yes,
             template_path: TemplatePath {
                 auto_path: Some(self.template),
+                branch: self.branch,
+                revision: self.revision,
                 subfolder: self.subtemplate,
+                tag: self.tag,
                 ..Default::default()
             },
-            init: self.init,
-            destination: Some(destination),
-            vcs: if metadata.is_some() {
-                Some(cargo_generate::Vcs::None)
-            } else {
-                None
-            },
             ..Default::default()
         };
-
-        if self.yes && args.name.is_none() {
-            return Err("You have to provide the project's name when using `--yes` option.".into());
-        }
-
-        // https://github.com/console-rs/dialoguer/issues/294
-        ctrlc::set_handler(move || {
-            let _ = console::Term::stdout().show_cursor();
-            std::process::exit(0);
-        })
-        .expect("ctrlc::set_handler");
+        restore_cursor_on_sigint();
         let path = cargo_generate::generate(args)?;
-
-        post_create(&path, metadata)?;
-
+        post_create(&path)?;
         Ok(StructuredOutput::Success)
     }
 }
 
+/// Prevent hidden cursor if Ctrl+C is pressed when interacting
+/// with cargo-generate's prompts.
+///
+/// See https://github.com/DioxusLabs/dioxus/pull/2603.
+pub(crate) fn restore_cursor_on_sigint() {
+    ctrlc::set_handler(move || {
+        if let Err(err) = console::Term::stdout().show_cursor() {
+            eprintln!("Error showing the cursor again: {err}");
+        }
+        std::process::exit(1); // Ideally should mimic the INT signal.
+    })
+    .expect("ctrlc::set_handler");
+}
+
+/// Extracts the last directory name from the `path`.
+pub(crate) fn name_from_path(path: &Path) -> Result<String> {
+    use path_absolutize::Absolutize;
+
+    Ok(path
+        .absolutize()?
+        .to_path_buf()
+        .file_name()
+        .ok_or("Current path does not include directory name".to_string())?
+        .to_str()
+        .ok_or("Current directory name is not a valid UTF-8 string".to_string())?
+        .to_string())
+}
+
 /// Post-creation actions for newly setup crates.
-// Also used by `init`.
-pub(crate) fn post_create(path: &Path, metadata: Option<Metadata>) -> Result<()> {
+pub(crate) fn post_create(path: &Path) -> Result<()> {
+    let parent_dir = path.parent();
+    let metadata = if parent_dir.is_none() {
+        None
+    } else {
+        match cargo_metadata::MetadataCommand::new()
+            .current_dir(parent_dir.unwrap())
+            .exec()
+        {
+            Ok(v) => Some(v),
+            // Only 1 error means that CWD isn't a cargo project.
+            Err(cargo_metadata::Error::CargoMetadata { .. }) => None,
+            Err(err) => {
+                return Err(Error::Other(anyhow::anyhow!(
+                    "Couldn't retrieve cargo metadata: {:?}",
+                    err
+                )));
+            }
+        }
+    };
+
     // 1. Add the new project to the workspace, if it exists.
     //    This must be executed first in order to run `cargo fmt` on the new project.
     metadata.and_then(|metadata| {
@@ -183,3 +202,199 @@ fn remove_triple_newlines(string: &str) -> String {
     }
     new_string
 }
+
+#[cfg(test)]
+pub(crate) mod tests {
+    use escargot::{CargoBuild, CargoRun};
+    use once_cell::sync::Lazy;
+    use std::fs::{create_dir_all, read_to_string};
+    use std::path::{Path, PathBuf};
+    use std::process::Command;
+    use tempfile::tempdir;
+    use toml::Value;
+
+    static BINARY: Lazy<CargoRun> = Lazy::new(|| {
+        CargoBuild::new()
+            .bin(env!("CARGO_BIN_NAME"))
+            .current_release()
+            .run()
+            .expect("Couldn't build the binary for tests.")
+    });
+
+    // Note: tests below (at least 6 of them) were written to mainly test
+    // correctness of project's directory and its name, because previously it
+    // was broken and tests bring a peace of mind. And also so that I don't have
+    // to run my local hand-made tests every time.
+
+    pub(crate) type Result<T> = std::result::Result<T, Box<dyn std::error::Error>>;
+
+    pub(crate) fn subcommand(name: &str) -> Command {
+        let mut command = BINARY.command();
+        command
+            .arg(name)
+            .arg("--yes") // Skip any questions by choosing default answers.
+            .arg("--subtemplate")
+            // Probably should use some template that doesn't require specifying
+            // either `--subtemplate` or `--option`.
+            // Maybe a simple template in tests/ dir?
+            .arg("Fullstack");
+        command
+    }
+
+    pub(crate) fn get_cargo_toml_path(project_path: &Path) -> PathBuf {
+        project_path.join("Cargo.toml")
+    }
+
+    pub(crate) fn get_project_name(cargo_toml_path: &Path) -> Result<String> {
+        Ok(toml::from_str::<Value>(&read_to_string(cargo_toml_path)?)?
+            .get("package")
+            .unwrap()
+            .get("name")
+            .unwrap()
+            .as_str()
+            .unwrap()
+            .to_string())
+    }
+
+    fn subcommand_new() -> Command {
+        subcommand("new")
+    }
+
+    #[test]
+    fn test_subcommand_new_with_dot_path() -> Result<()> {
+        let project_dir = "dir";
+        let project_name = project_dir;
+
+        let temp_dir = tempdir()?;
+        // Make current dir's name deterministic.
+        let current_dir = temp_dir.path().join(project_dir);
+        create_dir_all(&current_dir)?;
+        let project_path = &current_dir;
+        assert!(project_path.exists());
+
+        assert!(subcommand_new()
+            .arg(".")
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let cargo_toml_path = get_cargo_toml_path(project_path);
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_new_with_1_dir_path() -> Result<()> {
+        let project_dir = "dir";
+        let project_name = project_dir;
+
+        let current_dir = tempdir()?;
+
+        assert!(subcommand_new()
+            .arg(project_dir)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let project_path = current_dir.path().join(project_dir);
+        let cargo_toml_path = get_cargo_toml_path(&project_path);
+        assert!(project_path.exists());
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_new_with_2_dir_path() -> Result<()> {
+        let project_dir = "a/b";
+        let project_name = "b";
+
+        let current_dir = tempdir()?;
+
+        assert!(subcommand_new()
+            .arg(project_dir)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let project_path = current_dir.path().join(project_dir);
+        let cargo_toml_path = get_cargo_toml_path(&project_path);
+        assert!(project_path.exists());
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_new_with_dot_path_and_custom_name() -> Result<()> {
+        let project_dir = "dir";
+        let project_name = "project";
+
+        let temp_dir = tempdir()?;
+        // Make current dir's name deterministic.
+        let current_dir = temp_dir.path().join(project_dir);
+        create_dir_all(&current_dir)?;
+        let project_path = &current_dir;
+        assert!(project_path.exists());
+
+        assert!(subcommand_new()
+            .arg("--name")
+            .arg(project_name)
+            .arg(".")
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let cargo_toml_path = get_cargo_toml_path(project_path);
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_new_with_1_dir_path_and_custom_name() -> Result<()> {
+        let project_dir = "dir";
+        let project_name = "project";
+
+        let current_dir = tempdir()?;
+
+        assert!(subcommand_new()
+            .arg(project_dir)
+            .arg("--name")
+            .arg(project_name)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let project_path = current_dir.path().join(project_dir);
+        let cargo_toml_path = get_cargo_toml_path(&project_path);
+        assert!(project_path.exists());
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_new_with_2_dir_path_and_custom_name() -> Result<()> {
+        let project_dir = "a/b";
+        let project_name = "project";
+
+        let current_dir = tempdir()?;
+
+        assert!(subcommand_new()
+            .arg(project_dir)
+            .arg("--name")
+            .arg(project_name)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let project_path = current_dir.path().join(project_dir);
+        let cargo_toml_path = get_cargo_toml_path(&project_path);
+        assert!(project_path.exists());
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+}
diff --git a/packages/cli/src/cli/init.rs b/packages/cli/src/cli/init.rs
index 8d399a37a..0a1693843 100644
--- a/packages/cli/src/cli/init.rs
+++ b/packages/cli/src/cli/init.rs
@@ -3,19 +3,43 @@ use crate::cli::create::DEFAULT_TEMPLATE;
 use cargo_generate::{GenerateArgs, TemplatePath};
 
 #[derive(Clone, Debug, Default, Deserialize, Parser)]
-pub(crate) struct Init {
+#[clap(name = "init")]
+pub struct Init {
+    /// Create a new Dioxus project at PATH
+    #[arg(default_value = ".")]
+    path: PathBuf,
+
+    /// Project name. Defaults to directory name
+    #[arg(short, long)]
+    name: Option<String>,
+
     /// Template path
     #[clap(default_value = DEFAULT_TEMPLATE, short, long)]
     template: String,
 
-    /// Pass <option>=<value> for the used template (e.g., `foo=bar`)
-    #[clap(short, long)]
-    option: Vec<String>,
+    /// Branch to select when using `template` from a git repository.
+    /// Mutually exclusive with: `--revision`, `--tag`.
+    #[clap(long, conflicts_with_all(["revision", "tag"]))]
+    branch: Option<String>,
+
+    /// A commit hash to select when using `template` from a git repository.
+    /// Mutually exclusive with: `--branch`, `--tag`.
+    #[clap(long, conflicts_with_all(["branch", "tag"]))]
+    revision: Option<String>,
+
+    /// Tag to select when using `template` from a git repository.
+    /// Mutually exclusive with: `--branch`, `--revision`.
+    #[clap(long, conflicts_with_all(["branch", "revision"]))]
+    tag: Option<String>,
 
     /// Specify a sub-template within the template repository to be used as the actual template
     #[clap(long)]
     subtemplate: Option<String>,
 
+    /// Pass <option>=<value> for the used template (e.g., `foo=bar`)
+    #[clap(short, long)]
+    option: Vec<String>,
+
     /// Skip user interaction by using the default values for the used template.
     /// Default values can be overridden with `--option`
     #[clap(short, long)]
@@ -23,41 +47,181 @@ pub(crate) struct Init {
 }
 
 impl Init {
-    pub(crate) fn init(self) -> Result<StructuredOutput> {
-        let metadata = cargo_metadata::MetadataCommand::new().exec().ok();
-
-        // Get directory name.
-        let name = std::env::current_dir()?
-            .file_name()
-            .map(|f| f.to_str().unwrap().to_string());
-
-        // https://github.com/console-rs/dialoguer/issues/294
-        ctrlc::set_handler(move || {
-            let _ = console::Term::stdout().show_cursor();
-            std::process::exit(0);
-        })
-        .expect("ctrlc::set_handler");
+    pub fn init(mut self) -> Result<StructuredOutput> {
+        // Project name defaults to directory name.
+        if self.name.is_none() {
+            self.name = Some(create::name_from_path(&self.path)?);
+        }
 
         let args = GenerateArgs {
             define: self.option,
+            destination: Some(self.path),
             init: true,
-            name,
+            name: self.name,
             silent: self.yes,
             template_path: TemplatePath {
                 auto_path: Some(self.template),
+                branch: self.branch,
+                revision: self.revision,
                 subfolder: self.subtemplate,
+                tag: self.tag,
                 ..Default::default()
             },
-            vcs: if metadata.is_some() {
-                Some(cargo_generate::Vcs::None)
-            } else {
-                None
-            },
             ..Default::default()
         };
+        create::restore_cursor_on_sigint();
         let path = cargo_generate::generate(args)?;
-        create::post_create(&path, metadata)?;
-
+        create::post_create(&path)?;
         Ok(StructuredOutput::Success)
     }
 }
+
+#[cfg(test)]
+mod tests {
+    use std::{fs::create_dir_all, process::Command};
+    use tempfile::tempdir;
+
+    use super::create::tests::*;
+
+    // Note: tests below (at least 6 of them) were written to mainly test
+    // correctness of project's directory and its name, because previously it
+    // was broken and tests bring a peace of mind. And also so that I don't have
+    // to run my local hand-made tests every time.
+
+    fn subcommand_init() -> Command {
+        subcommand("init")
+    }
+
+    #[test]
+    fn test_subcommand_init_with_default_path() -> Result<()> {
+        let project_dir = "dir";
+        let project_name = project_dir;
+
+        let temp_dir = tempdir()?;
+        // Make current dir's name deterministic.
+        let current_dir = temp_dir.path().join(project_dir);
+        create_dir_all(&current_dir)?;
+        let project_path = &current_dir;
+        assert!(project_path.exists());
+
+        assert!(subcommand_init().current_dir(&current_dir).status().is_ok());
+
+        let cargo_toml_path = get_cargo_toml_path(project_path);
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_init_with_1_dir_path() -> Result<()> {
+        let project_dir = "dir";
+        let project_name = project_dir;
+
+        let current_dir = tempdir()?;
+
+        assert!(subcommand_init()
+            .arg(project_dir)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let project_path = current_dir.path().join(project_dir);
+        let cargo_toml_path = get_cargo_toml_path(&project_path);
+        assert!(project_path.exists());
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_init_with_2_dir_path() -> Result<()> {
+        let project_dir = "a/b";
+        let project_name = "b";
+
+        let current_dir = tempdir()?;
+
+        assert!(subcommand_init()
+            .arg(project_dir)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let project_path = current_dir.path().join(project_dir);
+        let cargo_toml_path = get_cargo_toml_path(&project_path);
+        assert!(project_path.exists());
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_init_with_default_path_and_custom_name() -> Result<()> {
+        let project_dir = "dir";
+        let project_name = "project";
+
+        let temp_dir = tempdir()?;
+        // Make current dir's name deterministic.
+        let current_dir = temp_dir.path().join(project_dir);
+        create_dir_all(&current_dir)?;
+        let project_path = &current_dir;
+        assert!(project_path.exists());
+
+        assert!(subcommand_init()
+            .arg("--name")
+            .arg(project_name)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let cargo_toml_path = get_cargo_toml_path(project_path);
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_init_with_1_dir_path_and_custom_name() -> Result<()> {
+        let project_dir = "dir";
+        let project_name = "project";
+
+        let current_dir = tempdir()?;
+
+        assert!(subcommand_init()
+            .arg(project_dir)
+            .arg("--name")
+            .arg(project_name)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let project_path = current_dir.path().join(project_dir);
+        let cargo_toml_path = get_cargo_toml_path(&project_path);
+        assert!(project_path.exists());
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+
+    #[test]
+    fn test_subcommand_init_with_2_dir_path_and_custom_name() -> Result<()> {
+        let project_dir = "a/b";
+        let project_name = "project";
+
+        let current_dir = tempdir()?;
+
+        assert!(subcommand_init()
+            .arg(project_dir)
+            .arg("--name")
+            .arg(project_name)
+            .current_dir(&current_dir)
+            .status()
+            .is_ok());
+
+        let project_path = current_dir.path().join(project_dir);
+        let cargo_toml_path = get_cargo_toml_path(&project_path);
+        assert!(project_path.exists());
+        assert!(cargo_toml_path.exists());
+        assert_eq!(get_project_name(&cargo_toml_path)?, project_name);
+        Ok(())
+    }
+}
diff --git a/packages/cli/src/cli/mod.rs b/packages/cli/src/cli/mod.rs
index 781d371dc..1c3844e10 100644
--- a/packages/cli/src/cli/mod.rs
+++ b/packages/cli/src/cli/mod.rs
@@ -62,7 +62,7 @@ pub(crate) enum Commands {
     #[clap(name = "new")]
     New(create::Create),
 
-    /// Init a new project for Dioxus in an existing directory.
+    /// Init a new project for Dioxus in the current directory (by default).
     /// Will attempt to keep your project in a good state.
     #[clap(name = "init")]
     Init(init::Init),