It has all the bones, and it would be great if it did, as its extremely powerful at manipulating the AST as part of the process etc so you could do some neat optimizations, but it won't output to a standard format, even with experimental ESM output feature enabled, that makes the library reasonably consumable.
Rollup / Vite really excel here but I love competition pushing things forward, meaning webpack having a better library building experience would be a good thing.