diff --git a/.ado/jobs/cli-init-windows.yml b/.ado/jobs/cli-init-windows.yml
index c0d060d9162..f124b154578 100644
--- a/.ado/jobs/cli-init-windows.yml
+++ b/.ado/jobs/cli-init-windows.yml
@@ -39,19 +39,19 @@ parameters:
             template: cpp-lib
             configuration: Release
             platform: x64
-            additionalRunArguments: --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments:
             useNuGet: true
           - Name: FabricLibX86Debug
             template: cpp-lib
             configuration: Debug
             platform: x86
-            additionalRunArguments: --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments:
             useNuGet: true
           - Name: FabricLibArm64Release
             template: cpp-lib
             configuration: Release
             platform: ARM64
-            additionalRunArguments: --no-deploy --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments: --no-deploy
             useNuGet: true
       - BuildEnvironment: SecurePullRequest
         Matrix:
@@ -107,37 +107,37 @@ parameters:
             template: cpp-lib
             configuration: Debug
             platform: x64
-            additionalRunArguments: --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments:
             useNuGet: true
           - Name: FabricLibX64Release
             template: cpp-lib
             configuration: Release
             platform: x64
-            additionalRunArguments: --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments:
             useNuGet: true
           - Name: FabricLibX86Debug
             template: cpp-lib
             configuration: Debug
             platform: x86
-            additionalRunArguments: --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments:
             useNuGet: true
           - Name: FabricLibX86Release
             template: cpp-lib
             configuration: Release
             platform: x86
-            additionalRunArguments: --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments:
             useNuGet: true
           - Name: FabricLibArm64Debug
             template: cpp-lib
             configuration: Debug
             platform: ARM64
-            additionalRunArguments: --no-deploy --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments: --no-deploy
             useNuGet: true
           - Name: FabricLibArm64Release
             template: cpp-lib
             configuration: Release
             platform: ARM64
-            additionalRunArguments: --no-deploy --singleproc # --singleproc required to workaround issue #13599
+            additionalRunArguments: --no-deploy
             useNuGet: true
 jobs:
   - ${{ each config in parameters.buildMatrix }}:
diff --git a/change/react-native-windows-11d17e38-1d0e-4ba7-b807-02f7bf4e0da9.json b/change/react-native-windows-11d17e38-1d0e-4ba7-b807-02f7bf4e0da9.json
new file mode 100644
index 00000000000..f8245f7fe7b
--- /dev/null
+++ b/change/react-native-windows-11d17e38-1d0e-4ba7-b807-02f7bf4e0da9.json
@@ -0,0 +1,7 @@
+{
+  "type": "prerelease",
+  "comment": "Try fixing the circular dependency error",
+  "packageName": "react-native-windows",
+  "email": "66076509+vineethkuttan@users.noreply.github.com",
+  "dependentChangeType": "patch"
+}
diff --git a/packages/playground/windows/playground-composition.sln b/packages/playground/windows/playground-composition.sln
index 9622d6c9fe4..75a2659521f 100644
--- a/packages/playground/windows/playground-composition.sln
+++ b/packages/playground/windows/playground-composition.sln
@@ -72,23 +72,11 @@ EndProject
 		{10DADE6A-A98D-45D4-9CCB-0C6E82227CDC}.Release|ARM64.Build.0 = Release|ARM64
 		{10DADE6A-A98D-45D4-9CCB-0C6E82227CDC}.Release|ARM64.Deploy.0 = Release|ARM64
 		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|x64.ActiveCfg = Debug|x64
-		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|x64.Build.0 = Debug|x64
-		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|x64.Deploy.0 = Debug|x64
 		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|x86.ActiveCfg = Debug|Win32
-		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|x86.Build.0 = Debug|Win32
-		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|x86.Deploy.0 = Debug|Win32
 		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|ARM64.ActiveCfg = Debug|ARM64
-		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|ARM64.Build.0 = Debug|ARM64
-		{F54A991F-5535-43DF-AE79-85821E001675}.Debug|ARM64.Deploy.0 = Debug|ARM64
 		{F54A991F-5535-43DF-AE79-85821E001675}.Release|x64.ActiveCfg = Release|x64
-		{F54A991F-5535-43DF-AE79-85821E001675}.Release|x64.Build.0 = Release|x64
-		{F54A991F-5535-43DF-AE79-85821E001675}.Release|x64.Deploy.0 = Release|x64
 		{F54A991F-5535-43DF-AE79-85821E001675}.Release|x86.ActiveCfg = Release|Win32
-		{F54A991F-5535-43DF-AE79-85821E001675}.Release|x86.Build.0 = Release|Win32
-		{F54A991F-5535-43DF-AE79-85821E001675}.Release|x86.Deploy.0 = Release|Win32
 		{F54A991F-5535-43DF-AE79-85821E001675}.Release|ARM64.ActiveCfg = Release|ARM64
-		{F54A991F-5535-43DF-AE79-85821E001675}.Release|ARM64.Build.0 = Release|ARM64
-		{F54A991F-5535-43DF-AE79-85821E001675}.Release|ARM64.Deploy.0 = Release|ARM64
 		{A990658C-CE31-4BCC-976F-0FC6B1AF693D}.Debug|ARM64.ActiveCfg = Debug|ARM64
 		{A990658C-CE31-4BCC-976F-0FC6B1AF693D}.Debug|ARM64.Build.0 = Debug|ARM64
 		{A990658C-CE31-4BCC-976F-0FC6B1AF693D}.Debug|x64.ActiveCfg = Debug|x64
diff --git a/packages/playground/windows/playground-composition/Playground-Composition.vcxproj b/packages/playground/windows/playground-composition/Playground-Composition.vcxproj
index 741b3367c7e..0deea107e69 100644
--- a/packages/playground/windows/playground-composition/Playground-Composition.vcxproj
+++ b/packages/playground/windows/playground-composition/Playground-Composition.vcxproj
@@ -82,7 +82,7 @@
       <PrecompiledHeaderOutputFile>$(IntDir)pch.pch</PrecompiledHeaderOutputFile>
       <WarningLevel>Level4</WarningLevel>
       <SDLCheck>true</SDLCheck>
-      <AdditionalOptions>%(AdditionalOptions) /bigobj</AdditionalOptions>
+      <AdditionalOptions>%(AdditionalOptions) /bigobj /FS</AdditionalOptions>
       <DisableSpecificWarnings>4453;28204</DisableSpecificWarnings>
     </ClCompile>
     <Link>
diff --git a/vnext/PropertySheets/External/Microsoft.ReactNative.Composition.CppLib.props b/vnext/PropertySheets/External/Microsoft.ReactNative.Composition.CppLib.props
index ba683e758fd..8c64b20a240 100644
--- a/vnext/PropertySheets/External/Microsoft.ReactNative.Composition.CppLib.props
+++ b/vnext/PropertySheets/External/Microsoft.ReactNative.Composition.CppLib.props
@@ -13,6 +13,16 @@
     <Warning Text="Property `RnwSdkDefaultsSet` was not set. Please ensure your project imports 'Microsoft.ReactNative.WindowsSdk.Default.props' before importing this prop sheet." />
   </Target>
 
+  <!--
+    Lib/module projects generate Windows Metadata. Explicitly set this to
+    prevent the CppWinRT NuGet target CppWinRTComputeGetResolvedWinMD from
+    trying to compute it, which can cause MSB4006 circular dependency errors
+    during parallel builds (see https://github.com/microsoft/cppwinrt/issues/950).
+  -->
+  <PropertyGroup Label="CppWinRT">
+    <CppWinRTGenerateWindowsMetadata Condition="'$(CppWinRTGenerateWindowsMetadata)' == ''">true</CppWinRTGenerateWindowsMetadata>
+  </PropertyGroup>
+
   <!-- Import common props sheets common to all Composition projects. -->
   <Import Project="$(MSBuildThisFileDirectory)Microsoft.ReactNative.Composition.Common.props" />
 
diff --git a/vnext/PropertySheets/External/Microsoft.ReactNative.Uwp.CppLib.props b/vnext/PropertySheets/External/Microsoft.ReactNative.Uwp.CppLib.props
index 0b4020a1ad8..acac08e6633 100644
--- a/vnext/PropertySheets/External/Microsoft.ReactNative.Uwp.CppLib.props
+++ b/vnext/PropertySheets/External/Microsoft.ReactNative.Uwp.CppLib.props
@@ -14,6 +14,16 @@
     <Warning Text="Property `RnwSdkDefaultsSet` was not set. Please ensure your project imports 'Microsoft.ReactNative.WindowsSdk.Default.props' before importing this prop sheet." />
   </Target>
 
+  <!--
+    Lib/module projects generate Windows Metadata. Explicitly set this to
+    prevent the CppWinRT NuGet target CppWinRTComputeGetResolvedWinMD from
+    trying to compute it, which can cause MSB4006 circular dependency errors
+    during parallel builds (see https://github.com/microsoft/cppwinrt/issues/950).
+  -->
+  <PropertyGroup Label="CppWinRT">
+    <CppWinRTGenerateWindowsMetadata Condition="'$(CppWinRTGenerateWindowsMetadata)' == ''">true</CppWinRTGenerateWindowsMetadata>
+  </PropertyGroup>
+
   <!-- Import common props sheets common to all UWP projects. -->
   <Import Project="$(MSBuildThisFileDirectory)Microsoft.ReactNative.Uwp.Common.props" />
 
diff --git a/vnext/templates/cpp-app/windows/MyApp/MyApp.vcxproj b/vnext/templates/cpp-app/windows/MyApp/MyApp.vcxproj
index 399bdd213b0..f0a3399164c 100644
--- a/vnext/templates/cpp-app/windows/MyApp/MyApp.vcxproj
+++ b/vnext/templates/cpp-app/windows/MyApp/MyApp.vcxproj
@@ -4,6 +4,8 @@
   <Import Project="$(SolutionDir)\ExperimentalFeatures.props" Condition="Exists('$(SolutionDir)\ExperimentalFeatures.props')" />
   <PropertyGroup Label="Globals">
     <CppWinRTOptimized>true</CppWinRTOptimized>
+    <!-- Prevent MSB4006 circular dependency in CppWinRT during parallel builds (https://github.com/microsoft/cppwinrt/issues/950) -->
+    <CppWinRTGenerateWindowsMetadata>true</CppWinRTGenerateWindowsMetadata>
     <MinimalCoreWin>true</MinimalCoreWin>
     <ProjectGuid>{{ projectGuidUpper }}</ProjectGuid>
     <ProjectName>{{ name }}</ProjectName>