diff --git a/mercurial/configitems.py b/mercurial/configitems.py
index be61ef405c..21f61ee22b 100644
--- a/mercurial/configitems.py
+++ b/mercurial/configitems.py
@@ -290,7 +290,7 @@ coreconfigitem(
     "format", "cgdeltabase", default="default"  # changegroup.CFG_CGDELTA_DEFAULT
 )
 coreconfigitem("format", "chunkcachesize", default=None)
-coreconfigitem("format", "dirstate", default=1)
+coreconfigitem("format", "dirstate", default=2)
 coreconfigitem("format", "dotencode", default=True)
 coreconfigitem("format", "generaldelta", default=False)
 coreconfigitem("format", "manifestcachesize", default=None)
diff --git a/tests/test-addremove-similar.t b/tests/test-addremove-similar.t
index 73d3b077cf..75d8ba7083 100644
--- a/tests/test-addremove-similar.t
+++ b/tests/test-addremove-similar.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ hg init rep; cd rep
 
   $ touch empty-file
diff --git a/tests/test-backout.t b/tests/test-backout.t
index 8543093874..d4aebec811 100644
--- a/tests/test-backout.t
+++ b/tests/test-backout.t
@@ -1,5 +1,4 @@
   $ . helpers-usechg.sh
-  $ setconfig format.dirstate=2
 
   $ hg init basic
   $ cd basic
diff --git a/tests/test-bundle.t b/tests/test-bundle.t
index 51f5e467a7..4a3d3a24d8 100644
--- a/tests/test-bundle.t
+++ b/tests/test-bundle.t
@@ -215,6 +215,7 @@ Make sure bundlerepo doesn't leak tempfiles (issue2491)
   cache
   requires
   store
+  treestate
 
 Pull ../full.hg into empty (with hook)
 
diff --git a/tests/test-commit-amend.t b/tests/test-commit-amend.t
index 176b7229ad..c100766f1c 100644
--- a/tests/test-commit-amend.t
+++ b/tests/test-commit-amend.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ . helpers-usechg.sh
 
   $ cat << EOF >> $HGRCPATH
diff --git a/tests/test-empty.t b/tests/test-empty.t
index 4b7fd1fb2b..c853f2a559 100644
--- a/tests/test-empty.t
+++ b/tests/test-empty.t
@@ -22,6 +22,7 @@ Check the basic files created:
   00changelog.i
   requires
   store
+  treestate
 
 Should be empty:
 
@@ -45,6 +46,7 @@ Poke at a clone:
   hgrc
   requires
   store
+  treestate
 
 Should be empty:
 
diff --git a/tests/test-fb-hgext-perftweaks.t b/tests/test-fb-hgext-perftweaks.t
index e7a5088a0e..b6154ec42f 100644
--- a/tests/test-fb-hgext-perftweaks.t
+++ b/tests/test-fb-hgext-perftweaks.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
 
   $ cat >> $HGRCPATH << EOF
   > [extensions]
diff --git a/tests/test-fb-hgext-remotefilelog-clone-tree.t b/tests/test-fb-hgext-remotefilelog-clone-tree.t
index 7e9a8adae4..868eb48b6c 100644
--- a/tests/test-fb-hgext-remotefilelog-clone-tree.t
+++ b/tests/test-fb-hgext-remotefilelog-clone-tree.t
@@ -31,8 +31,8 @@
   remotefilelog
   revlogv1
   store
-  treedirstate
   treemanifest
+  treestate
   $ find .hg/store/meta | sort
   .hg/store/meta
   .hg/store/meta/_a
@@ -72,8 +72,8 @@
   remotefilelog
   revlogv1
   store
-  treedirstate
   treemanifest
+  treestate
   $ ls .hg/store/data
   ca31988f085bfb945cb8115b78fabdee40f741aa
 
@@ -115,5 +115,5 @@
   remotefilelog
   revlogv1
   store
-  treedirstate
   treemanifest
+  treestate
diff --git a/tests/test-fb-hgext-remotefilelog-clone.t b/tests/test-fb-hgext-remotefilelog-clone.t
index 9911972943..0fc2041e23 100644
--- a/tests/test-fb-hgext-remotefilelog-clone.t
+++ b/tests/test-fb-hgext-remotefilelog-clone.t
@@ -28,7 +28,7 @@
   remotefilelog
   revlogv1
   store
-  treedirstate
+  treestate
 
   $ hg update
   1 files updated, 0 files merged, 0 files removed, 0 files unresolved
@@ -62,7 +62,7 @@
   remotefilelog
   revlogv1
   store
-  treedirstate
+  treestate
   $ ls .hg/store/data
   4a0a19218e082a343a1b17e5333409af9d98f0f5
 
@@ -112,4 +112,4 @@ check its contents separately.
   remotefilelog
   revlogv1
   store
-  treedirstate
+  treestate
diff --git a/tests/test-fb-hgext-remotefilelog-log.t b/tests/test-fb-hgext-remotefilelog-log.t
index 127e092b87..b2d4f7e92b 100644
--- a/tests/test-fb-hgext-remotefilelog-log.t
+++ b/tests/test-fb-hgext-remotefilelog-log.t
@@ -31,7 +31,7 @@ Shallow clone from full
   remotefilelog
   revlogv1
   store
-  treedirstate
+  treestate
 
   $ hg update
   2 files updated, 0 files merged, 0 files removed, 0 files unresolved
diff --git a/tests/test-fb-hgext-sparse-extensions.t b/tests/test-fb-hgext-sparse-extensions.t
index 659a2973d5..f31c5571fb 100644
--- a/tests/test-fb-hgext-sparse-extensions.t
+++ b/tests/test-fb-hgext-sparse-extensions.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
 
 test sparse interaction with other extensions
 
diff --git a/tests/test-fb-hgext-sparse.t b/tests/test-fb-hgext-sparse.t
index ab943aa16c..a65c1d36d0 100644
--- a/tests/test-fb-hgext-sparse.t
+++ b/tests/test-fb-hgext-sparse.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
 test sparse
 
   $ hg init myrepo
diff --git a/tests/test-fb-hgext-treedirstate.t b/tests/test-fb-hgext-treedirstate.t
index f715a3e890..1a1ef734c0 100644
--- a/tests/test-fb-hgext-treedirstate.t
+++ b/tests/test-fb-hgext-treedirstate.t
@@ -1,5 +1,6 @@
 Setup
 
+  $ setconfig format.dirstate=1
   $ hg init repo
   $ cd repo
   $ echo base > base
diff --git a/tests/test-fncache.t b/tests/test-fncache.t
index ebd72ce720..6fa3015c56 100644
--- a/tests/test-fncache.t
+++ b/tests/test-fncache.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
 
 Init repo1:
 
diff --git a/tests/test-graft.t b/tests/test-graft.t
index a9124d3123..f9dc21f96c 100644
--- a/tests/test-graft.t
+++ b/tests/test-graft.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ . helpers-usechg.sh
 
   $ cat >> $HGRCPATH <<EOF
diff --git a/tests/test-hardlinks.t b/tests/test-hardlinks.t
index 69b8f564ae..351337114a 100644
--- a/tests/test-hardlinks.t
+++ b/tests/test-hardlinks.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
 
 #require hardlink
 
diff --git a/tests/test-hgext-repogenerator.t b/tests/test-hgext-repogenerator.t
index bd1e54c9c6..6a02934f4c 100644
--- a/tests/test-hgext-repogenerator.t
+++ b/tests/test-hgext-repogenerator.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ newrepo
   $ setconfig repogenerator.filenamedircount=2
   $ setconfig repogenerator.filenameleaflength=1
diff --git a/tests/test-hgignore.t b/tests/test-hgignore.t
index fc7aa5a07d..48018387e3 100644
--- a/tests/test-hgignore.t
+++ b/tests/test-hgignore.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ hg init ignorerepo
   $ cd ignorerepo
 
diff --git a/tests/test-import.t b/tests/test-import.t
index 91375befd0..c6585e04fe 100644
--- a/tests/test-import.t
+++ b/tests/test-import.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ . helpers-usechg.sh
 
   $ hg init a
diff --git a/tests/test-inherit-mode.t b/tests/test-inherit-mode.t
index a40ba3cdab..0f74903de3 100644
--- a/tests/test-inherit-mode.t
+++ b/tests/test-inherit-mode.t
@@ -72,8 +72,6 @@ new directories are setgid
   00660 ./.hg/cache/rbc-names-v1
   00660 ./.hg/cache/rbc-revs-v1
   00660 ./.hg/dirstate
-  00600 ./.hg/dirstate.tree.* (glob)
-  00660 ./.hg/fsmonitor.state (fsmonitor !)
   00660 ./.hg/last-message.txt
   00600 ./.hg/requires
   00770 ./.hg/store/
@@ -88,6 +86,8 @@ new directories are setgid
   00660 ./.hg/store/undo
   00660 ./.hg/store/undo.backupfiles
   00660 ./.hg/store/undo.phaseroots
+  00700 ./.hg/treestate/
+  00600 ./.hg/treestate/* (glob)
   00660 ./.hg/undo.backup.dirstate
   00660 ./.hg/undo.bookmarks
   00660 ./.hg/undo.branch
@@ -121,7 +121,6 @@ group can still write everything
   00770 ../push/.hg/cache/
   00660 ../push/.hg/cache/branch2-base
   00660 ../push/.hg/dirstate
-  00600 ../push/.hg/dirstate.tree.* (glob)
   00660 ../push/.hg/requires
   00770 ../push/.hg/store/
   00660 ../push/.hg/store/00changelog.i
@@ -134,6 +133,8 @@ group can still write everything
   00660 ../push/.hg/store/undo
   00660 ../push/.hg/store/undo.backupfiles
   00660 ../push/.hg/store/undo.phaseroots
+  00700 ../push/.hg/treestate/
+  00600 ../push/.hg/treestate/* (glob)
   00660 ../push/.hg/undo.bookmarks
   00660 ../push/.hg/undo.branch
   00660 ../push/.hg/undo.desc
diff --git a/tests/test-init.t b/tests/test-init.t
index 25665a6080..9ead685795 100644
--- a/tests/test-init.t
+++ b/tests/test-init.t
@@ -30,7 +30,7 @@ creating 'local'
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
   $ echo this > local/foo
   $ hg ci --cwd local -A -m "init"
   adding foo
@@ -66,7 +66,7 @@ creating repo with format.usestore=false
   $ checknewrepo old
   generaldelta
   revlogv1
-  treedirstate
+  treestate
 
 creating repo with format.usefncache=false
 
@@ -77,7 +77,7 @@ creating repo with format.usefncache=false
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
 creating repo with format.dotencode=false
 
@@ -89,7 +89,7 @@ creating repo with format.dotencode=false
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
 creating repo with format.dotencode=false
 
@@ -101,7 +101,7 @@ creating repo with format.dotencode=false
   fncache
   revlogv1
   store
-  treedirstate
+  treestate
 
 test failure
 
@@ -215,7 +215,7 @@ creating 'local/sub/repo'
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
 prepare test of init of url configured from paths
 
@@ -234,7 +234,7 @@ init should (for consistency with clone) expand the url
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
 verify that clone also expand urls
 
@@ -249,7 +249,7 @@ verify that clone also expand urls
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
 clone bookmarks
 
diff --git a/tests/test-issue660.t b/tests/test-issue660.t
index 9ed3083e89..bed54f4c4f 100644
--- a/tests/test-issue660.t
+++ b/tests/test-issue660.t
@@ -1,5 +1,4 @@
 
-  $ setconfig format.dirstate=2
 
 https://bz.mercurial-scm.org/660 and:
 https://bz.mercurial-scm.org/322
diff --git a/tests/test-locate.t b/tests/test-locate.t
index 7c67bd68d1..8058cd523e 100644
--- a/tests/test-locate.t
+++ b/tests/test-locate.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ hg init repo
   $ cd repo
   $ echo 0 > a
diff --git a/tests/test-lz4revlog.t b/tests/test-lz4revlog.t
index 8f596667cf..6de63ccd9e 100644
--- a/tests/test-lz4revlog.t
+++ b/tests/test-lz4revlog.t
@@ -29,7 +29,7 @@ regular clone of an existing zlib repo should still use zlib
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
 pulled clone of zlib should use lz4
 
@@ -41,7 +41,7 @@ pulled clone of zlib should use lz4
   lz4revlog
   revlogv1
   store
-  treedirstate
+  treestate
 
 disable lz4, then clone
 
@@ -60,7 +60,7 @@ disable lz4, then clone
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
 attempt to disable lz4 should be ignored for hardlinked clone
 
@@ -74,7 +74,7 @@ attempt to disable lz4 should be ignored for hardlinked clone
   lz4revlog
   revlogv1
   store
-  treedirstate
+  treestate
 
 a new repo should use lz4 by default
 
@@ -102,7 +102,7 @@ a new repo should use lz4 by default
   lz4revlog
   revlogv1
   store
-  treedirstate
+  treestate
 
 vanilla hg should bail in an lz4 repo
 
diff --git a/tests/test-merge-force.t b/tests/test-merge-force.t
index ed79493308..e4f3765600 100644
--- a/tests/test-merge-force.t
+++ b/tests/test-merge-force.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ . helpers-usechg.sh
 
 Set up a base, local, and remote changeset, as well as the working copy state.
diff --git a/tests/test-merge-remove.t b/tests/test-merge-remove.t
index 343cd79fbb..0e6f324ed2 100644
--- a/tests/test-merge-remove.t
+++ b/tests/test-merge-remove.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ . helpers-usechg.sh
 
   $ hg init
diff --git a/tests/test-merge1.t b/tests/test-merge1.t
index 3215d2c1dd..96d779a75a 100644
--- a/tests/test-merge1.t
+++ b/tests/test-merge1.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
   $ . helpers-usechg.sh
 
   $ cat <<EOF > merge
diff --git a/tests/test-mq.t b/tests/test-mq.t
index fabec51bc9..ee1e2c8337 100644
--- a/tests/test-mq.t
+++ b/tests/test-mq.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
 
   $ checkundo()
   > {
diff --git a/tests/test-pathconflicts-basic.t b/tests/test-pathconflicts-basic.t
index 9b3a166872..562cb2464b 100644
--- a/tests/test-pathconflicts-basic.t
+++ b/tests/test-pathconflicts-basic.t
@@ -1,6 +1,5 @@
 Turn on treestate
 
-  $ setconfig format.dirstate=2
 
 Path conflict checking is currently disabled by default because of issue5716.
 Turn it on for this test.
diff --git a/tests/test-phases-exchange.t b/tests/test-phases-exchange.t
index 8a47fc0fcc..ffc15670fe 100644
--- a/tests/test-phases-exchange.t
+++ b/tests/test-phases-exchange.t
@@ -1,6 +1,5 @@
 #require killdaemons
 
-  $ setconfig format.dirstate=2
 
   $ cat >> $HGRCPATH << EOF
   > [extensions]
diff --git a/tests/test-rebase-collapse.t b/tests/test-rebase-collapse.t
index 86017082f6..335a851bbd 100644
--- a/tests/test-rebase-collapse.t
+++ b/tests/test-rebase-collapse.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
 
   $ cat >> $HGRCPATH <<EOF
   > [extensions]
diff --git a/tests/test-rebuildstate.t b/tests/test-rebuildstate.t
index e695e4cc71..ca31565536 100644
--- a/tests/test-rebuildstate.t
+++ b/tests/test-rebuildstate.t
@@ -1,4 +1,3 @@
-  $ setconfig format.dirstate=2
 
   $ cat > adddrop.py <<EOF
   > from mercurial import registrar
diff --git a/tests/test-repo-compengines.t b/tests/test-repo-compengines.t
index 7e2abcf277..1f0aa75eed 100644
--- a/tests/test-repo-compengines.t
+++ b/tests/test-repo-compengines.t
@@ -8,7 +8,7 @@ A new repository uses zlib storage, which doesn't need a requirement
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
   $ touch foo
   $ hg -q commit -A -m 'initial commit with a lot of repeated repeated repeated text to trigger compression'
@@ -48,7 +48,7 @@ A requirement specifying an unknown compression engine results in bail
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
   $ touch foo
   $ hg -q commit -A -m 'initial commit with a lot of repeated repeated repeated text'
@@ -72,7 +72,7 @@ with that engine or a requirement
   generaldelta
   revlogv1
   store
-  treedirstate
+  treestate
 
   $ hg debugrevlog -c | grep 0x78
       0x78 (x)  :   2 (100.00%)
diff --git a/tests/test-revlog-v2.t b/tests/test-revlog-v2.t
index d9d3c25421..9eb103b121 100644
--- a/tests/test-revlog-v2.t
+++ b/tests/test-revlog-v2.t
@@ -23,7 +23,7 @@ Can create and open repo with revlog v2 requirement
   exp-revlogv2.0
   fncache
   store
-  treedirstate
+  treestate
 
   $ hg log
 
diff --git a/tests/test-static-http.t b/tests/test-static-http.t
index a0a19c1cff..b57b0178c4 100644
--- a/tests/test-static-http.t
+++ b/tests/test-static-http.t
@@ -1,6 +1,5 @@
 #require killdaemons
 
-  $ setconfig format.dirstate=2
   $ hg clone http://localhost:$HGPORT/ copy
   abort: * (glob)
   [255]
diff --git a/tests/test-subrepo.t b/tests/test-subrepo.t
index 3e67de7ba1..1d39e360d6 100644
--- a/tests/test-subrepo.t
+++ b/tests/test-subrepo.t
@@ -1242,6 +1242,8 @@ Check that share works with subrepo
   ../shared/subrepo-1/.hg/hgrc
   ../shared/subrepo-1/.hg/requires
   ../shared/subrepo-1/.hg/sharedpath
+  ../shared/subrepo-1/.hg/treestate
+  ../shared/subrepo-1/.hg/treestate/* (glob)
   ../shared/subrepo-2
   ../shared/subrepo-2/.hg
   ../shared/subrepo-2/.hg/branch
@@ -1252,10 +1254,11 @@ Check that share works with subrepo
   ../shared/subrepo-2/.hg/cache/storehash
   ../shared/subrepo-2/.hg/cache/storehash/* (glob)
   ../shared/subrepo-2/.hg/dirstate
-  ../shared/subrepo-2/.hg/dirstate.tree* (glob)
   ../shared/subrepo-2/.hg/hgrc
   ../shared/subrepo-2/.hg/requires
   ../shared/subrepo-2/.hg/sharedpath
+  ../shared/subrepo-2/.hg/treestate
+  ../shared/subrepo-2/.hg/treestate/* (glob)
   ../shared/subrepo-2/file
   $ hg -R ../shared in
   abort: repository default not found!