diff --git a/plugins/woocommerce/changelog/add-rest-api-products-featured-image b/plugins/woocommerce/changelog/add-rest-api-products-featured-image
new file mode 100644
index 00000000000..0592a983c8f
--- /dev/null
+++ b/plugins/woocommerce/changelog/add-rest-api-products-featured-image
@@ -0,0 +1,4 @@
+Significance: minor
+Type: enhancement
+
+Add `featured` field to the images array for Product REST API
diff --git a/plugins/woocommerce/includes/rest-api/Controllers/Version3/class-wc-rest-products-controller.php b/plugins/woocommerce/includes/rest-api/Controllers/Version3/class-wc-rest-products-controller.php
index 1a61edd6c4d..ce0ba6bb95d 100644
--- a/plugins/woocommerce/includes/rest-api/Controllers/Version3/class-wc-rest-products-controller.php
+++ b/plugins/woocommerce/includes/rest-api/Controllers/Version3/class-wc-rest-products-controller.php
@@ -45,9 +45,11 @@ class WC_REST_Products_Controller extends WC_REST_Products_V2_Controller {
 	protected function get_images( $product ) {
 		$images         = array();
 		$attachment_ids = array();
+		$featured_id    = null;
 
 		// Add featured image.
 		if ( $product->get_image_id() ) {
+			$featured_id      = $product->get_image_id();
 			$attachment_ids[] = $product->get_image_id();
 		}
 
@@ -68,6 +70,7 @@ class WC_REST_Products_Controller extends WC_REST_Products_V2_Controller {
 
 			$images[] = array(
 				'id'                => (int) $attachment_id,
+				'featured'          => (int) $featured_id === (int) $attachment_id,
 				'date_created'      => wc_rest_prepare_date_response( $attachment_post->post_date, false ),
 				'date_created_gmt'  => wc_rest_prepare_date_response( strtotime( $attachment_post->post_date_gmt ) ),
 				'date_modified'     => wc_rest_prepare_date_response( $attachment_post->post_modified, false ),
@@ -305,6 +308,31 @@ class WC_REST_Products_Controller extends WC_REST_Products_V2_Controller {
 		$images = is_array( $images ) ? array_filter( $images ) : array();
 
 		if ( ! empty( $images ) ) {
+			$featured_image_index = 0;
+			$featured_image_count = 0;
+
+			// Collect featured field usage.
+			foreach ( $images as $index => $image ) {
+				if ( isset( $image['featured'] ) && $image['featured'] ) {
+					$featured_image_index = $index;
+					$featured_image_count++;
+				}
+			}
+
+			// Handle multiple featured images.
+			if ( $featured_image_count > 1 ) {
+				throw new WC_REST_Exception(
+					'woocommerce_rest_product_featured_image_count',
+					__( 'Only one featured image is allowed.', 'woocommerce' ),
+					400
+				);
+			}
+
+			// If no featured image is set, and the first image explicitly set to false do not set featured at all.
+			if ( 0 === $featured_image_count && isset( $images[0]['featured'] ) && false === $images[0]['featured'] ) {
+				$featured_image_index = null;
+			}
+
 			$gallery = array();
 
 			foreach ( $images as $index => $image ) {
@@ -329,9 +357,7 @@ class WC_REST_Products_Controller extends WC_REST_Products_V2_Controller {
 					throw new WC_REST_Exception( 'woocommerce_product_invalid_image_id', sprintf( __( '#%s is an invalid image ID.', 'woocommerce' ), $attachment_id ), 400 );
 				}
 
-				$featured_image = $product->get_image_id();
-
-				if ( 0 === $index ) {
+				if ( $featured_image_index === $index ) {
 					$product->set_image_id( $attachment_id );
 				} else {
 					$gallery[] = $attachment_id;
@@ -1253,6 +1279,12 @@ class WC_REST_Products_Controller extends WC_REST_Products_V2_Controller {
 								'type'        => 'integer',
 								'context'     => array( 'view', 'edit' ),
 							),
+							'featured'          => array(
+								'description' => __( 'Featured image.', 'woocommerce' ),
+								'type'        => 'boolean',
+								'default'     => false,
+								'context'     => array( 'view', 'edit' ),
+							),
 							'date_created'      => array(
 								'description' => __( "The date the image was created, in the site's timezone.", 'woocommerce' ),
 								'type'        => 'date-time',
diff --git a/plugins/woocommerce/tests/api-core-tests/tests/products/products-crud.test.js b/plugins/woocommerce/tests/api-core-tests/tests/products/products-crud.test.js
index 9ab7a6163e1..00fcd5b58d7 100644
--- a/plugins/woocommerce/tests/api-core-tests/tests/products/products-crud.test.js
+++ b/plugins/woocommerce/tests/api-core-tests/tests/products/products-crud.test.js
@@ -265,7 +265,7 @@ test.describe('Products API tests: CRUD', () => {
 			expect(responseJSON.type).toEqual('select');
 			expect(responseJSON.order_by).toEqual('name');
 			// the below has_archives test is currently not working as expected
-			// an issue (https://github.com/woocommerce/woocommerce/issues/34991) 
+			// an issue (https://github.com/woocommerce/woocommerce/issues/34991)
 			// has been raised and this test can be
 			// updated as appropriate after triage
 			// expect(responseJSON.has_archives).toEqual(true);
@@ -913,7 +913,6 @@ test.describe('Products API tests: CRUD', () => {
 		});
 	});
 
-
 	test.describe('Product tags tests: CRUD', () => {
 		let productTagId;
 
@@ -1074,6 +1073,235 @@ test.describe('Products API tests: CRUD', () => {
 		});
 	});
 
+	test.describe( 'Product images tests: CRUD', () => {
+		let productId;
+		let images;
+
+		test( 'can add product with an image', async ( { request } ) => {
+			const response = await request.post( 'wp-json/wc/v3/products', {
+				data: {
+					images: [ { src: 'https://cldup.com/6L9h56D9Bw.jpg' } ],
+				},
+			} );
+			const responseJSON = await response.json();
+
+			expect( response.status() ).toEqual( 201 );
+			expect( responseJSON.images ).toHaveLength( 1 );
+			expect( responseJSON.images[ 0 ].name ).toContain( '6L9h56D9Bw' );
+			expect( responseJSON.images[ 0 ].featured ).toBeTruthy();
+			expect( responseJSON.images[ 0 ].alt ).toEqual( '' );
+			expect( responseJSON.images[ 0 ].src ).toContain( '6L9h56D9Bw' );
+
+			// Cleanup: Delete the used product
+			await request.delete(
+				`wp-json/wc/v3/products/${ responseJSON.id }`,
+				{
+					data: {
+						force: true,
+					},
+				}
+			);
+		} );
+
+		test( 'can add product with multiple images (backward compatible)', async ( {
+			request,
+		} ) => {
+			const response = await request.post( 'wp-json/wc/v3/products', {
+				data: {
+					images: [
+						{ src: 'https://cldup.com/6L9h56D9Bw.jpg' },
+						{ src: 'https://cldup.com/Dr1Bczxq4q.png' },
+					],
+				},
+			} );
+			const responseJSON = await response.json();
+			productId = responseJSON.id;
+			images = responseJSON.images.map( ( image ) => image.id );
+
+			expect( response.status() ).toEqual( 201 );
+			expect( responseJSON.images ).toHaveLength( 2 );
+			expect( responseJSON.images[ 0 ].name ).toContain( '6L9h56D9Bw' );
+			expect( responseJSON.images[ 0 ].featured ).toBeTruthy();
+			expect( responseJSON.images[ 1 ].name ).toContain( 'Dr1Bczxq4q' );
+			expect( responseJSON.images[ 1 ].featured ).toBeFalsy();
+		} );
+
+		test( 'can add product with multiple images (explicit featured)', async ( {
+			request,
+		} ) => {
+			const response = await request.post( 'wp-json/wc/v3/products', {
+				data: {
+					images: [
+						{
+							src: 'https://cldup.com/6L9h56D9Bw.jpg',
+							featured: false,
+						},
+						{
+							src: 'https://cldup.com/Dr1Bczxq4q.png',
+							featured: true,
+						},
+					],
+				},
+			} );
+			const responseJSON = await response.json();
+
+			expect( response.status() ).toEqual( 201 );
+			expect( responseJSON.images ).toHaveLength( 2 );
+			// When retrieving, the featured image is always the first one.
+			expect( responseJSON.images[ 0 ].name ).toContain( 'Dr1Bczxq4q' );
+			expect( responseJSON.images[ 0 ].featured ).toBeTruthy();
+			expect( responseJSON.images[ 1 ].name ).toContain( '6L9h56D9Bw' );
+			expect( responseJSON.images[ 1 ].featured ).toBeFalsy();
+
+			// Cleanup: Delete the used product
+			await request.delete(
+				`wp-json/wc/v3/products/${ responseJSON.id }`,
+				{
+					data: {
+						force: true,
+					},
+				}
+			);
+		} );
+
+		test( 'can add product with multiple images (no featured)', async ( {
+			request,
+		} ) => {
+			const response = await request.post( 'wp-json/wc/v3/products', {
+				data: {
+					images: [
+						{
+							src: 'https://cldup.com/6L9h56D9Bw.jpg',
+							featured: false,
+						},
+						{
+							src: 'https://cldup.com/Dr1Bczxq4q.png',
+							featured: false,
+						},
+					],
+				},
+			} );
+			const responseJSON = await response.json();
+
+			expect( response.status() ).toEqual( 201 );
+			expect( responseJSON.images ).toHaveLength( 2 );
+			expect( responseJSON.images[ 0 ].name ).toContain( '6L9h56D9Bw' );
+			expect( responseJSON.images[ 0 ].alt ).toEqual( '' );
+			expect( responseJSON.images[ 0 ].featured ).toBeFalsy();
+			expect( responseJSON.images[ 1 ].name ).toContain( 'Dr1Bczxq4q' );
+			expect( responseJSON.images[ 1 ].alt ).toEqual( '' );
+			expect( responseJSON.images[ 1 ].featured ).toBeFalsy();
+
+			// Cleanup: Delete the used product
+			await request.delete(
+				`wp-json/wc/v3/products/${ responseJSON.id }`,
+				{
+					data: {
+						force: true,
+					},
+				}
+			);
+		} );
+
+		test( 'cannot add product with multiple images (all featured)', async ( {
+			request,
+		} ) => {
+			const response = await request.post( 'wp-json/wc/v3/products', {
+				data: {
+					images: [
+						{
+							src: 'https://cldup.com/6L9h56D9Bw.jpg',
+							featured: true,
+						},
+						{
+							src: 'https://cldup.com/Dr1Bczxq4q.png',
+							featured: true,
+						},
+					],
+				},
+			} );
+			const responseJSON = await response.json();
+
+			expect( response.status() ).toEqual( 400 );
+			expect( responseJSON.code ).toEqual(
+				'woocommerce_rest_product_featured_image_count'
+			);
+			expect( responseJSON.message ).toEqual(
+				'Only one featured image is allowed.'
+			);
+			expect( responseJSON.data ).toEqual( { status: 400 } );
+		} );
+
+		test( 'can retrieve product images', async ( { request } ) => {
+			const response = await request.get(
+				`wp-json/wc/v3/products/${ productId }`
+			);
+			const responseJSON = await response.json();
+
+			expect( response.status() ).toEqual( 200 );
+			expect( responseJSON.images ).toHaveLength( 2 );
+			expect( responseJSON.images[ 0 ].id ).toEqual( images[ 0 ] );
+			expect( responseJSON.images[ 0 ].name ).toContain( '6L9h56D9Bw' );
+			expect( responseJSON.images[ 0 ].alt ).toEqual( '' );
+			expect( responseJSON.images[ 0 ].featured ).toBeTruthy();
+		} );
+
+		test( 'can update a product images', async ( { request } ) => {
+			// call API to update a product
+			const response = await request.put(
+				`wp-json/wc/v3/products/${ productId }`,
+				{
+					data: {
+						images: [
+							{ id: images[ 0 ], featured: false },
+							{ id: images[ 1 ], featured: true },
+						],
+					},
+				}
+			);
+			const responseJSON = await response.json();
+
+			expect( response.status() ).toEqual( 200 );
+			expect( responseJSON.images ).toHaveLength( 2 );
+			// When retrieving, the featured image is always the first one.
+			expect( responseJSON.images[ 0 ].id ).toEqual( images[ 1 ] );
+			expect( responseJSON.images[ 0 ].name ).toContain( 'Dr1Bczxq4q' );
+			expect( responseJSON.images[ 0 ].alt ).toEqual( '' );
+			expect( responseJSON.images[ 0 ].featured ).toBeTruthy();
+			expect( responseJSON.images[ 1 ].id ).toEqual( images[ 0 ] );
+			expect( responseJSON.images[ 1 ].name ).toContain( '6L9h56D9Bw' );
+			expect( responseJSON.images[ 1 ].alt ).toEqual( '' );
+			expect( responseJSON.images[ 1 ].featured ).toBeFalsy();
+		} );
+
+		test( 'can remove an image from a product', async ( { request } ) => {
+			// Delete the product attribute.
+			const response = await request.put(
+				`wp-json/wc/v3/products/${ productId }`,
+				{
+					data: {
+						images: [ { id: images[ 1 ] } ],
+					},
+				}
+			);
+			const responseJSON = await response.json();
+
+			expect( response.status() ).toEqual( 200 );
+			expect( responseJSON.images ).toHaveLength( 1 );
+			expect( responseJSON.images[ 0 ].id ).toEqual( images[ 1 ] );
+			expect( responseJSON.images[ 0 ].name ).toContain( 'Dr1Bczxq4q' );
+			expect( responseJSON.images[ 0 ].alt ).toEqual( '' );
+			expect( responseJSON.images[ 0 ].featured ).toBeTruthy();
+
+			// Cleanup: Delete the used product
+			await request.delete( `wp-json/wc/v3/products/${ productId }`, {
+				data: {
+					force: true,
+				},
+			} );
+		} );
+	} );
+
 	test('can add a virtual product', async ({
 		request
 	}) => {
diff --git a/plugins/woocommerce/tests/php/includes/rest-api/Controllers/Version3/class-wc-rest-products-controller-tests.php b/plugins/woocommerce/tests/php/includes/rest-api/Controllers/Version3/class-wc-rest-products-controller-tests.php
index c4419b92499..71569ba483b 100644
--- a/plugins/woocommerce/tests/php/includes/rest-api/Controllers/Version3/class-wc-rest-products-controller-tests.php
+++ b/plugins/woocommerce/tests/php/includes/rest-api/Controllers/Version3/class-wc-rest-products-controller-tests.php
@@ -204,6 +204,84 @@ class WC_REST_Products_Controller_Tests extends WC_REST_Unit_Test_Case {
 		}
 	}
 
+	/**
+	 * Test that featured field exists under images in product argument.
+	 */
+	public function test_products_args_includes_featured_field() {
+		$request = new WP_REST_Request( 'OPTIONS', '/wc/v3/products' );
+		$request->set_param( '_fields', 'endpoints.1.args.images.items.properties' );
+		$response  = $this->server->dispatch( $request );
+		$image_arg = $response->get_data()['endpoints'][1]['args']['images']['items']['properties'];
+		$this->assertArrayHasKey( 'featured', $image_arg );
+		$this->assertEquals(
+			array(
+				'description' => 'Featured image.',
+				'type'        => 'boolean',
+				'default'     => false,
+				'context'     =>
+				array(
+					0 => 'view',
+					1 => 'edit',
+				),
+			),
+			$image_arg['featured']
+		);
+	}
+
+	/**
+	 * Test that featured field exists under images in product schema.
+	 */
+	public function test_products_schema_includes_featured_field() {
+		$request = new WP_REST_Request( 'OPTIONS', '/wc/v3/products' );
+		$request->set_param( '_fields', 'schema.properties.images.items.properties' );
+		$response     = $this->server->dispatch( $request );
+		$image_schema = $response->get_data()['schema']['properties']['images']['items']['properties'];
+		$this->assertArrayHasKey( 'featured', $image_schema );
+		$this->assertEquals(
+			array(
+				'description' => 'Featured image.',
+				'type'        => 'boolean',
+				'default'     => false,
+				'context'     =>
+				array(
+					0 => 'view',
+					1 => 'edit',
+				),
+			),
+			$image_schema['featured']
+		);
+	}
+
+	/**
+	 * Test that feature field is returned inside images.
+	 */
+	public function test_products_get_images_array_contains_featured() {
+		global $wpdb;
+
+		$product     = \Automattic\WooCommerce\RestApi\UnitTests\Helpers\ProductHelper::create_simple_product();
+		$gallery_url = media_sideload_image( 'https://cldup.com/6L9h56D9Bw.jpg', $product->get_id(), 'gallery', 'src' );
+		$this->assertNotWPError( $gallery_url );
+		$gallery_id = $wpdb->get_col( $wpdb->prepare( "SELECT ID FROM {$wpdb->posts} WHERE guid = %s", $gallery_url ) );
+
+		$featured_url = media_sideload_image( 'https://cldup.com/Dr1Bczxq4q.png', $product->get_id(), 'featured', 'src' );
+		$this->assertNotWPError( $featured_url );
+		$featured_id = $wpdb->get_col( $wpdb->prepare( "SELECT ID FROM {$wpdb->posts} WHERE guid = %s", $featured_url ) );
+
+		$product->set_image_id( $featured_id[0] );
+		$product->set_gallery_image_ids( $gallery_id[0] );
+		$product->save();
+
+		$request = new WP_REST_Request( 'GET', '/wc/v3/products/' . $product->get_id() );
+		$request->set_param( '_fields', 'images' );
+		$response     = $this->server->dispatch( $request );
+		$images_array = $response->get_data()['images'];
+		$this->assertEquals( 200, $response->get_status() );
+		$this->assertTrue( $images_array[0]['featured'] );
+		$this->assertEquals( 'featured', $images_array[0]['name'] );
+		$this->assertFalse( $images_array[1]['featured'] );
+		$this->assertEquals( 'gallery', $images_array[1]['name'] );
+	}
+
 	/**
 	 * Test that the `search` parameter does partial matching in the product name, but not the SKU.
 	 *