diff --git a/iconv/Makefile b/iconv/Makefile
index 9a94a41ba4..672126d452 100644
--- a/iconv/Makefile
+++ b/iconv/Makefile
@@ -85,6 +85,7 @@ tests-special += \
 	$(objpfx)tst-iconv_prog-buffer-tiny.out \
 	$(objpfx)tst-iconv_prog-buffer.out \
 	$(objpfx)tst-iconv_prog.out \
+	$(objpfx)tst-iconvconfig.out \
 	$(objpfx)tst-translit-mchar.out \
 	# tests-special
 endif
@@ -164,3 +165,8 @@ $(objpfx)tst-iconv_prog-buffer-large.out: \
   tst-iconv_prog-buffer.sh $(objpfx)iconv_prog
 	$(BASH) $< $(common-objdir) '$(run-program-prefix)' '' '22' > $@; \
 	$(evaluate-test)
+
+$(objpfx)tst-iconvconfig.out: tst-iconvconfig.sh $(objpfx)iconvconfig
+	$(BASH) $< $(common-objdir) '$(test-wrapper-env)' \
+		'$(run-program-env)' > $@; \
+    $(evaluate-test)
diff --git a/iconv/gconv_parseconfdir.h b/iconv/gconv_parseconfdir.h
index a7ebfd80cc..31f8f1c421 100644
--- a/iconv/gconv_parseconfdir.h
+++ b/iconv/gconv_parseconfdir.h
@@ -33,9 +33,10 @@
 # define closedir __closedir
 # define mempcpy __mempcpy
 # define struct_stat64 struct __stat64_t64
-# define lstat64 __lstat64_time64
+# define stat64_impl __stat64_time64
 # define feof_unlocked __feof_unlocked
 #else
+# define stat64_impl stat64
 # define struct_stat64 struct stat64
 #endif
 
@@ -151,7 +152,8 @@ gconv_parseconfdir (const char *prefix, const char *dir, size_t dir_len)
       struct dirent64 *ent;
       while ((ent = readdir64 (confdir)) != NULL)
 	{
-	  if (ent->d_type != DT_REG && ent->d_type != DT_UNKNOWN)
+	  if (ent->d_type != DT_REG && ent->d_type != DT_UNKNOWN
+	      && ent->d_type != DT_LNK)
 	    continue;
 
 	  size_t len = strlen (ent->d_name);
@@ -166,7 +168,7 @@ gconv_parseconfdir (const char *prefix, const char *dir, size_t dir_len)
 		continue;
 
 	      if (ent->d_type != DT_UNKNOWN
-		  || (lstat64 (conf, &st) != -1 && S_ISREG (st.st_mode)))
+		  || (stat64_impl (conf, &st) != -1 && S_ISREG (st.st_mode)))
 		found |= read_conf_file (conf, dir, dir_len);
 
 	      free (conf);
diff --git a/iconv/tst-iconvconfig.sh b/iconv/tst-iconvconfig.sh
new file mode 100755
index 0000000000..0b16b17f0d
--- /dev/null
+++ b/iconv/tst-iconvconfig.sh
@@ -0,0 +1,48 @@
+#!/bin/bash
+# Check if iconvconfig correctly handle config links (BZ 32339)
+# Copyright (C) 2025 Free Software Foundation, Inc.
+# This file is part of the GNU C Library.
+
+# The GNU C Library is free software; you can redistribute it and/or
+# modify it under the terms of the GNU Lesser General Public
+# License as published by the Free Software Foundation; either
+# version 2.1 of the License, or (at your option) any later version.
+
+# The GNU C Library is distributed in the hope that it will be useful,
+# but WITHOUT ANY WARRANTY; without even the implied warranty of
+# MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the GNU
+# Lesser General Public License for more details.
+
+# You should have received a copy of the GNU Lesser General Public
+# License along with the GNU C Library; if not, see
+# <https://www.gnu.org/licenses/>.
+
+set -e
+
+build_dir=$1
+test_wrapper_env="$2"
+run_program_env="$3"
+
+# We have to have some directories in the library path.
+LIBPATH=$build_dir:$build_dir/iconvdata
+
+ICONVCONFIG="
+$build_dir/elf/ld.so --library-path $LIBPATH $build_dir/iconv/iconvconfig
+"
+
+ICONVCONFIG="$test_wrapper_env $run_program_env $ICONVCONFIG"
+
+TIMEOUTFACTOR=${TIMEOUTFACTOR:-1}
+
+tmpdir=$(mktemp -d $build_dir/iconv/tst-iconvconfig.XXXXXX)
+#trap 'rm -fr $tmpdir' 0 1 2 3 15 EXIT
+
+touch $tmpdir/gconv-modules-extra.conf
+mkdir $tmpdir/gconv-modules.d
+cd $tmpdir/gconv-modules.d && ln -s ../gconv-modules-extra.conf . && cd -
+
+$ICONVCONFIG --nostdlib $tmpdir -o $tmpdir/gconv-modules.cache
+
+[ ! -e $tmpdir/tmpdir/gconv-modules.cache ] || exit 1
+
+exit 0