diff --git a/CHANGES.md b/CHANGES.md
index e1028c17681..460f9c95114 100644
--- a/CHANGES.md
+++ b/CHANGES.md
@@ -33,6 +33,8 @@
 
 <!-- Changes to how Black is packaged, such as dependency requirements -->
 
+- Upgrade mypyc from 0.991 to 1.3 (#3697)
+
 ### Parser
 
 <!-- Changes to the parser or to version autodetection -->
diff --git a/pyproject.toml b/pyproject.toml
index 6803a627e9a..d44623fdbd3 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -119,8 +119,8 @@ sources = ["src"]
 [tool.hatch.build.targets.wheel.hooks.mypyc]
 enable-by-default = false
 dependencies = [
-  "hatch-mypyc>=0.13.0",
-  "mypy==0.991",
+  "hatch-mypyc>=0.16.0",
+  "mypy==1.3",
   # Required stubs to be removed when the packages support PEP 561 themselves
   "types-typed-ast>=1.4.2",
 ]