diff --git a/src/AsyncSelect/AsyncSelect.tsx b/src/AsyncSelect/AsyncSelect.tsx
index d94251773..11942a9ac 100644
--- a/src/AsyncSelect/AsyncSelect.tsx
+++ b/src/AsyncSelect/AsyncSelect.tsx
@@ -1,65 +1,49 @@
-import React, { useContext, forwardRef } from "react";
+import React, { forwardRef, ReactNode, MutableRefObject } from "react";
+import Select from "react-select/base";
 import AsyncReactSelect from "react-select/async";
+import { AsyncProps } from "react-select/async";
+import { GroupBase } from "react-select";
 import { useTranslation } from "react-i18next";
-import { ThemeContext } from "styled-components";
+import { useTheme } from "styled-components";
 import propTypes from "@styled-system/prop-types";
 import { Field } from "../Form";
 import { MaybeFieldLabel } from "../FieldLabel";
 import { InlineValidation } from "../Validation";
 import customStyles from "../Select/customReactSelectStyles";
 import { SelectOption } from "../Select/SelectOption";
+import { getSubset } from "../utils/subset";
 import {
   SelectControl,
   SelectMultiValue,
   SelectClearIndicator,
   SelectContainer,
-  SelectMenu,
   SelectInput,
   SelectDropdownIndicator,
-} from "../Select";
-import { getSubset } from "../utils/subset";
+  SelectMenu,
+} from "./AsyncSelectComponents";
 
-type AsyncSelectProps = {
-  windowThreshold?: number;
-  isClearable?: boolean;
-  filterOption?: (...args: any[]) => any;
-  autocomplete?: boolean;
-  disabled?: boolean;
-  error?: boolean;
-  errorMessage?: string;
-  errorList?: string[];
+type AsyncCustomProps<Option, IsMulti extends boolean, Group extends GroupBase<Option>> = {
+  autocomplete?: AsyncProps<Option, IsMulti, Group>["isSearchable"];
   labelText?: string;
-  helpText?: any;
-  noOptionsMessage?: string;
   requirementText?: string;
-  id?: string;
-  initialIsOpen?: boolean;
-  menuPosition?: string;
+  helpText?: ReactNode;
+  disabled?: AsyncProps<Option, IsMulti, Group>["isDisabled"];
+  errorMessage?: string;
+  errorList?: string[];
+  initialIsOpen?: AsyncProps<Option, IsMulti, Group>["defaultMenuIsOpen"];
+  multiselect?: AsyncProps<Option, IsMulti, Group>["isMulti"];
   maxHeight?: string;
-  multiselect?: boolean;
-  name?: string;
-  onBlur?: (...args: any[]) => any;
-  onChange?: (...args: any[]) => any;
-  placeholder?: string;
-  required?: boolean;
-  value?: any;
-  defaultValue?: any;
-  className?: string;
-  classNamePrefix?: string;
-  menuIsOpen?: boolean;
-  onMenuOpen?: (...args: any[]) => any;
-  onMenuClose?: (...args: any[]) => any;
-  onInputChange?: (...args: any[]) => any;
-  components?: any;
-  closeMenuOnSelect?: boolean;
-  "aria-label"?: string;
-  cacheOptions?: boolean;
-  defaultOptions?: Array<any>;
-  loadOptions: any;
+  defaultValue?: AsyncProps<Option, IsMulti, Group>["defaultInputValue"];
 };
 
+type AsyncSelectProps<Option, IsMulti extends boolean, Group extends GroupBase<Option>> = Omit<
+  AsyncProps<Option, IsMulti, Group>,
+  "isSearchable" | "isDisabled" | "isMulti" | "defaultMenuIsOpen" | "defaultInputValue"
+> &
+  AsyncCustomProps<Option, IsMulti, Group>;
+
 const AsyncSelect = forwardRef(
-  (
+  <Option, IsMulti extends boolean, Group extends GroupBase<Option>>(
     {
       autocomplete,
       labelText,
@@ -70,7 +54,6 @@ const AsyncSelect = forwardRef(
       disabled,
       errorMessage,
       errorList,
-      error = !!(errorMessage || errorList),
       id,
       initialIsOpen,
       maxHeight,
@@ -95,12 +78,17 @@ const AsyncSelect = forwardRef(
       loadOptions,
       isClearable,
       ...props
-    }: AsyncSelectProps,
-    ref
+    }: AsyncSelectProps<Option, IsMulti, Group>,
+    ref:
+      | ((instance: Select<Option, IsMulti, Group> | null) => void)
+      | MutableRefObject<Select<Option, IsMulti, Group> | null>
+      | null
   ) => {
     const { t } = useTranslation();
-    const themeContext = useContext(ThemeContext);
+    const theme = useTheme();
     const spaceProps = getSubset(props, propTypes.space);
+    const error = !!(errorMessage || errorList);
+
     return (
       <Field {...spaceProps}>
         <MaybeFieldLabel labelText={labelText} requirementText={requirementText} helpText={helpText}>
@@ -112,14 +100,15 @@ const AsyncSelect = forwardRef(
             ref={ref}
             defaultInputValue={defaultValue}
             placeholder={placeholder || t("start typing")}
-            labelText={labelText}
-            styles={customStyles({
-              theme: themeContext,
-              error,
-              maxHeight,
-              windowed: false,
-              hasDefaultOptions: Boolean(defaultOptions),
-            })}
+            styles={
+              customStyles({
+                theme,
+                error,
+                maxHeight,
+                windowed: false,
+                hasDefaultOptions: Boolean(defaultOptions),
+              }) as any
+            }
             isDisabled={disabled}
             isSearchable={autocomplete}
             aria-required={required}
@@ -136,7 +125,7 @@ const AsyncSelect = forwardRef(
             onMenuClose={onMenuClose}
             menuPosition={menuPosition}
             onInputChange={onInputChange}
-            theme={themeContext}
+            theme={theme as any}
             components={{
               Option: SelectOption,
               Control: SelectControl,
diff --git a/src/AsyncSelect/AsyncSelectComponents.tsx b/src/AsyncSelect/AsyncSelectComponents.tsx
new file mode 100644
index 000000000..d73eb8cc4
--- /dev/null
+++ b/src/AsyncSelect/AsyncSelectComponents.tsx
@@ -0,0 +1,92 @@
+import React from "react";
+import {
+  ClearIndicatorProps,
+  components as selectComponents,
+  ContainerProps,
+  ControlProps,
+  DropdownIndicatorProps,
+  InputProps,
+  MenuProps,
+  MultiValueProps,
+} from "react-select";
+import { components, GroupBase } from "react-select";
+
+export const SelectControl = <Option, IsMulti extends boolean, Group extends GroupBase<Option>>(
+  props: ControlProps<Option, IsMulti, Group>
+) => {
+  // eslint-disable-next-line react/prop-types
+  const { isFocused } = props;
+  return (
+    <div data-testid="select-control">
+      <selectComponents.Control
+        className={isFocused ? "nds-select--is-focused" : null}
+        isFocused={isFocused}
+        {...props}
+      />
+    </div>
+  );
+};
+
+export const SelectMultiValue = <Option, IsMulti extends boolean, Group extends GroupBase<Option>>(
+  props: MultiValueProps<Option, IsMulti, Group>
+) => {
+  return (
+    <div data-testid="select-multivalue">
+      <selectComponents.MultiValue {...props} />
+    </div>
+  );
+};
+
+export const SelectClearIndicator = <Option, IsMulti extends boolean, Group extends GroupBase<Option>>(
+  props: ClearIndicatorProps<Option, IsMulti, Group>
+) => {
+  return (
+    <div data-testid="select-clear">
+      <selectComponents.ClearIndicator {...props} />
+    </div>
+  );
+};
+
+export const SelectDropdownIndicator = <Option, IsMulti extends boolean, Group extends GroupBase<Option>>(
+  props: DropdownIndicatorProps<Option, IsMulti, Group>
+) => {
+  return (
+    <div data-testid="select-arrow">
+      <selectComponents.DropdownIndicator {...props} />
+    </div>
+  );
+};
+
+export const SelectContainer = <Option, IsMulti extends boolean, Group extends GroupBase<Option>>(
+  props: ContainerProps<Option, IsMulti, Group>
+) => {
+  return (
+    <div data-testid="select-container">
+      <selectComponents.SelectContainer {...props} />
+    </div>
+  );
+};
+
+export const SelectInput = <Option, IsMulti extends boolean, Group extends GroupBase<Option>>(
+  props: InputProps<Option, IsMulti, Group>
+) => {
+  return (
+    <div data-testid="select-input">
+      <selectComponents.Input {...props} />
+    </div>
+  );
+};
+
+export const SelectMenu = <Option, IsMulti extends boolean, Group extends GroupBase<Option>>(
+  props: MenuProps<Option, IsMulti, Group>
+) => {
+  if (!props.selectProps.inputValue && props.options.length === 0) {
+    return null;
+  }
+
+  return (
+    <div data-testid="select-dropdown">
+      <components.Menu {...props} />
+    </div>
+  );
+};
diff --git a/src/Select/customReactSelectStyles.tsx b/src/Select/customReactSelectStyles.tsx
index 9e07762e3..a94460fba 100644
--- a/src/Select/customReactSelectStyles.tsx
+++ b/src/Select/customReactSelectStyles.tsx
@@ -83,6 +83,7 @@ const customStyles = ({
       height: 38,
     }),
     control: (provided, state) => ({
+      ...provided,
       display: "flex",
       minHeight: theme.space.x5,
       paddingLeft: theme.space.x1,
@@ -156,9 +157,18 @@ const customStyles = ({
       ...provided,
       color: theme.colors.grey,
     }),
+    singleValue: (provided) => ({
+      ...provided,
+      marginLeft: 2,
+      marginRight: 2,
+      position: "absolute",
+      top: "50%",
+      transform: "translateY(-50%)",
+    }),
     input: () => ({}),
     valueContainer: (provided, state) => ({
       ...provided,
+      display: "flex",
       padding: 0,
       overflow: "auto",
       maxHeight: "150px",
@@ -299,10 +309,17 @@ const customStyles = ({
         : "none",
       borderLeft: `1px solid ${theme.colors.grey}`,
     }),
-    placeholder: (provided, state) => ({
-      ...provided,
-      color: state.isDisabled ? transparentize(0.6667, theme.colors.black) : "hsl(0,0%,50%)",
-    }),
+    placeholder: (state) => {
+      return {
+        label: "placeholder",
+        marginLeft: 2,
+        marginRight: 2,
+        position: "absolute",
+        top: "50%",
+        transform: "translateY(-50%)",
+        color: state.isDisabled ? transparentize(0.6667, theme.colors.black) : "hsl(0,0%,50%)",
+      };
+    },
   };
 };
 
diff --git a/src/utils/story/simulatedAPIRequest.ts b/src/utils/story/simulatedAPIRequest.ts
index 87e673b34..d044f6694 100644
--- a/src/utils/story/simulatedAPIRequest.ts
+++ b/src/utils/story/simulatedAPIRequest.ts
@@ -4,7 +4,7 @@ const simulatedAPIRequest = async (
   milliseconds = 450
 ): Promise<Response> => {
   const country = data.find((country) => {
-    return country.value.toLowerCase().startsWith(inputValue);
+    return country.value.toLowerCase().startsWith(inputValue.toLowerCase());
   });
 
   const responseBody = JSON.stringify([{ name: country.value }]);