diff --git a/HISTORY.rst b/HISTORY.rst
index 7f606cf5..21c44eb6 100644
--- a/HISTORY.rst
+++ b/HISTORY.rst
@@ -9,7 +9,8 @@ PlatformIO Core 4
 4.3.1 (2020-??-??)
 ~~~~~~~~~~~~~~~~~~
 
-* Fixed a "SyntaxError: 'return' with argument inside generator" for PIO Unified Debugger when Python 2.7 is used
+* Fixed an error "SyntaxError: 'return' with argument inside generator" for PIO Unified Debugger when Python 2.7 is used
+* Fixed an issue when ``lib_archive = no`` was not honored in `"platformio.ini" <https://docs.platformio.org/page/projectconf.html>`__
 
 4.3.0 (2020-03-19)
 ~~~~~~~~~~~~~~~~~~
diff --git a/platformio/builder/tools/piolib.py b/platformio/builder/tools/piolib.py
index c9c97e28..5e61abff 100644
--- a/platformio/builder/tools/piolib.py
+++ b/platformio/builder/tools/piolib.py
@@ -723,7 +723,9 @@ class PlatformIOLibBuilder(LibBuilderBase):
             "env:" + self.env["PIOENV"], "lib_archive", missing
         )
         if global_value != missing:
-            return global_value
+            return self.env.GetProjectConfig().get(
+                "env:" + self.env["PIOENV"], "lib_archive"
+            )
         return self._manifest.get("build", {}).get(
             "libArchive", LibBuilderBase.lib_archive.fget(self)
         )