diff --git a/__tests__/commands/add.js b/__tests__/commands/add.js
index 26890aec45..6ddee8784f 100644
--- a/__tests__/commands/add.js
+++ b/__tests__/commands/add.js
@@ -986,3 +986,41 @@ test.concurrent('preserves unaffected bin links after adding to workspace packag
     expect(await fs.exists(`${config.cwd}/packages/workspace-2/node_modules/.bin/workspace-1`)).toEqual(true);
   });
 });
+
+test.concurrent('installs "latest" instead of maxSatisfying if it satisfies requested pattern', (): Promise<void> => {
+  // Scenario:
+  // If a registry contains versions [1.0.0, 1.0.1, 1.0.2] and latest:1.0.1
+  // (note that "latest" is not the "newest" version)
+  // If yarn add ^1.0.0 is run, it should choose `1.0.1` because it is "latest" and satisfies the range,
+  // not `1.0.2` even though it is newer.
+  // This is behavior defined by the NPM implementation. See:
+  //  * https://github.com/yarnpkg/yarn/issues/3560
+  //  * https://git.io/vFmau
+  //
+  // In this test, `ui-select` has a max version of `0.20.0` but a `latest:0.19.8`
+  return runAdd(['ui-select@^0.X'], {}, 'latest-version-in-package', async (config, reporter, previousAdd) => {
+    const lockfile = explodeLockfile(await fs.readFile(path.join(config.cwd, 'yarn.lock')));
+    const patternIndex = lockfile.indexOf('ui-select@^0.X:');
+    const versionIndex = patternIndex + 1;
+    const actualVersion = lockfile[versionIndex];
+
+    expect(actualVersion).toContain('0.19.8');
+  });
+});
+
+test.concurrent('installs "latest" instead of maxSatisfying if no requested pattern', (): Promise<void> => {
+  // Scenario:
+  // If a registry contains versions [1.0.0, 1.0.1, 1.0.2] and latest:1.0.1
+  // If `yarn add` is run, it should choose `1.0.1` because it is "latest", not `1.0.2` even though it is newer.
+  // In other words, when no range is explicitely given, Yarn should choose "latest".
+  //
+  // In this test, `ui-select` has a max version of `0.20.0` but a `latest:0.19.8`
+  return runAdd(['ui-select'], {}, 'latest-version-in-package', async (config, reporter, previousAdd) => {
+    const lockfile = explodeLockfile(await fs.readFile(path.join(config.cwd, 'yarn.lock')));
+    const patternIndex = lockfile.indexOf('ui-select@^0.19.8:');
+    const versionIndex = patternIndex + 1;
+    const actualVersion = lockfile[versionIndex];
+
+    expect(actualVersion).toContain('0.19.8');
+  });
+});
diff --git a/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select.bin b/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select.bin
new file mode 100644
index 0000000000..12d49f7b91
Binary files /dev/null and b/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select.bin differ
diff --git a/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select/-/ui-select-0.19.8.tgz.bin b/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select/-/ui-select-0.19.8.tgz.bin
new file mode 100644
index 0000000000..0d28de6e5c
Binary files /dev/null and b/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select/-/ui-select-0.19.8.tgz.bin differ
diff --git a/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select/-/ui-select-0.20.0.tgz.bin b/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select/-/ui-select-0.20.0.tgz.bin
new file mode 100644
index 0000000000..fc9052b7c5
Binary files /dev/null and b/__tests__/fixtures/request-cache/GET/registry.yarnpkg.com/ui-select/-/ui-select-0.20.0.tgz.bin differ
diff --git a/src/resolvers/registries/npm-resolver.js b/src/resolvers/registries/npm-resolver.js
index b17fa7c9e7..a2ed0651e7 100644
--- a/src/resolvers/registries/npm-resolver.js
+++ b/src/resolvers/registries/npm-resolver.js
@@ -14,6 +14,7 @@ const inquirer = require('inquirer');
 const tty = require('tty');
 const invariant = require('invariant');
 const path = require('path');
+const semver = require('semver');
 
 const NPM_REGISTRY = /http[s]:\/\/registry.npmjs.org/g;
 const NPM_REGISTRY_ID = 'npm';
@@ -41,6 +42,14 @@ export default class NpmResolver extends RegistryResolver {
       range = body['dist-tags'][range];
     }
 
+    // If the latest tag in the registry satisfies the requested range, then use that.
+    // Otherwise we will fall back to semver maxSatisfying.
+    // This mimics logic in NPM. See issue #3560
+    const latestVersion = body['dist-tags'] ? body['dist-tags'].latest : undefined;
+    if (latestVersion && semver.satisfies(latestVersion, range)) {
+      return body.versions[latestVersion];
+    }
+
     const satisfied = await config.resolveConstraints(Object.keys(body.versions), range);
     if (satisfied) {
       return body.versions[satisfied];