diff --git a/repos/base-pistachio/src/kernel/pistachio/target.mk b/repos/base-pistachio/src/kernel/pistachio/target.mk
index 064034247a..30e8d89d1d 100644
--- a/repos/base-pistachio/src/kernel/pistachio/target.mk
+++ b/repos/base-pistachio/src/kernel/pistachio/target.mk
@@ -18,6 +18,11 @@ $(KERNEL_BUILD_DIR)/Makefile:
 	$(VERBOSE_MK) MAKEFLAGS= $(MAKE) $(VERBOSE_DIR) -C $(KERNEL_SRC) BUILDDIR=$(dir $@)
 	$(VERBOSE)cp $(REP_DIR)/config/kernel $(KERNEL_BUILD_DIR)/config/config.out
 
+#
+# Prevent passing 'CCACHE=yes'. The environment variable is evaluated by the
+# kernel's build system, which expects it to be empty or set to 'ccache'.
+#
+unexport CCACHE
 
 #
 # How to pass custom compiler flags to the Pistachio build system
diff --git a/tool/builddir/build.conf/ccache b/tool/builddir/build.conf/ccache
new file mode 100644
index 0000000000..d74373014b
--- /dev/null
+++ b/tool/builddir/build.conf/ccache
@@ -0,0 +1,3 @@
+# enable use of compiler cache
+#CCACHE := yes
+
diff --git a/tool/builddir/build.mk b/tool/builddir/build.mk
index a793c75baa..9ac5c6c97f 100644
--- a/tool/builddir/build.mk
+++ b/tool/builddir/build.mk
@@ -85,6 +85,13 @@ BASE_DIR     := $(realpath $(shell echo $(BASE_DIR)))
 #
 export SHELL := $(shell which bash)
 
+#
+# Discharge variables evaluated by ccache mechanism that may be inherited when
+# using the build system in a nested fashion.
+#
+undefine CUSTOM_CXX
+undefine CUSTOM_CC
+
 #
 # Fetch SPECS configuration from all source repositories and the build directory
 #
@@ -118,7 +125,7 @@ export SPECS
 
 include $(BASE_DIR)/mk/global.mk
 
-export LIBGCC_INC_DIR = $(shell dirname `$(CUSTOM_CXX_LIB) -print-libgcc-file-name`)/include
+export LIBGCC_INC_DIR := $(shell dirname `$(CUSTOM_CXX_LIB) -print-libgcc-file-name`)/include
 
 #
 # Find out about the target directories to build
@@ -129,6 +136,11 @@ ifeq ($(MAKECMDGOALS),)
 DST_DIRS := *
 endif
 
+#
+# Helper function to check if a needed tool is installed
+#
+check_tool = $(if $(shell which $(1)),,$(error Need to have '$(1)' installed.))
+
 #
 # Tool chain version check
 #
@@ -143,7 +155,6 @@ endif
 endif
 
 ifneq ($(STATIC_ANALYZE),)
-check_tool = $(if $(shell which $(1)),,$(error Need to have '$(1)' installed.))
 $(call check_tool,scan-build)
 
 MAKE := scan-build --use-c++=$(CUSTOM_CXX) --use-cc=$(CUSTOM_CC) $(MAKE)
@@ -310,6 +321,64 @@ gen_deps_and_build_targets: $(INSTALL_DIR) $(DEBUG_DIR) $(LIB_DEP_FILE)
 again: $(INSTALL_DIR) $(DEBUG_DIR)
 	@$(VERBOSE_MK)$(MAKE) $(VERBOSE_DIR) -f $(LIB_DEP_FILE) all
 
+#
+# Read tools configuration to obtain the cross-compiler prefix passed
+# to the run script.
+#
+-include $(call select_from_repositories,etc/tools.conf)
+
+
+##
+## Compiler-cache support
+##
+
+#
+# To hook the ccache into the build process, the compiler executables are
+# shadowed by symlinks named after the compiler but pointing to the ccache
+# program. When invoked, the ccache program uses argv0 to query the real
+# compiler executable.
+#
+# If the configured tool-chain path is absolute, we assume that it is not
+# already part of the PATH variable. In this (default) case, we supplement the
+# tool-chain path to the CCACHE_PATH as evaluated by the ccache program.
+#
+# Should the tool-chain path not be absolute, the tool-chain executables must
+# already be reachable via the regular PATH variable. Otherwise, the build
+# would not work without ccache either.
+#
+
+ifeq ($(CCACHE),yes)
+
+$(call check_tool,ccache)
+
+ifneq ($(dir $(CUSTOM_CXX)),$(dir $(CUSTOM_CC)))
+$(error ccache enabled but the compilers $(CUSTOM_CXX) and $(CUSTOM_CC)\
+        reside in different directories)
+endif
+
+CCACHE_TOOL_DIR    := $(addsuffix /var/tool/ccache,$(BUILD_BASE_DIR))
+CCACHED_CUSTOM_CC  := $(CCACHE_TOOL_DIR)/$(notdir $(CUSTOM_CC))
+CCACHED_CUSTOM_CXX := $(CCACHE_TOOL_DIR)/$(notdir $(CUSTOM_CXX))
+
+gen_deps_and_build_targets: $(CCACHED_CUSTOM_CC) $(CCACHED_CUSTOM_CXX)
+
+# create ccache symlinks at var/tool/ccache/
+$(CCACHED_CUSTOM_CC) $(CCACHED_CUSTOM_CXX):
+	$(VERBOSE_MK)mkdir -p $(dir $@)
+	$(VERBOSE_MK)ln -sf `which ccache` $@
+
+# supplement tool-chain directory to the search-path variable used by ccache
+ifneq ($(filter /%,$(CUSTOM_CXX)),)
+export CCACHE_PATH := $(dir $(CUSTOM_CXX)):$(PATH)
+endif
+
+# override CUSTOM_CC and CUSTOM_CXX to point to the ccache symlinks
+export CUSTOM_CC  := $(CCACHED_CUSTOM_CC)
+export CUSTOM_CXX := $(CCACHED_CUSTOM_CXX)
+
+endif
+
+
 ##
 ## Rules for running automated test cases
 ##
@@ -319,12 +388,6 @@ RUN_OPT ?=
 # helper for run/% rule
 RUN_SCRIPT = $(call select_from_repositories,run/$*.run)
 
-#
-# Read tools configuration to obtain the cross-compiler prefix passed
-# to the run script.
-#
--include $(call select_from_repositories,etc/tools.conf)
-
 run/%: $(call select_from_repositories,run/%.run) $(RUN_ENV)
 	$(VERBOSE)test -f "$(RUN_SCRIPT)" || (echo "Error: No run script for $*"; exit -1)
 	$(VERBOSE)$(GENODE_DIR)/tool/run/run --genode-dir $(GENODE_DIR) \
diff --git a/tool/create_builddir b/tool/create_builddir
index be357f1749..cbff207612 100755
--- a/tool/create_builddir
+++ b/tool/create_builddir
@@ -102,7 +102,7 @@ $(BUILD_DIR)/etc/build.conf:
 	@echo 'BASE_DIR    := $$(GENODE_DIR)/repos/base' >> $@
 	@echo 'CONTRIB_DIR := $(CONTRIB_ABS_DIR)' >> $@
 	@echo >> $@
-	@for i in make_j run; do \
+	@for i in make_j ccache run; do \
 		cat $(GENODE_DIR)/tool/builddir/build.conf/$$i; done >> $@
 	@for i in ${BUILD_CONF(${PLATFORM})}; do \
 		cat $(GENODE_DIR)/tool/builddir/build.conf/$$i; done >> $@