importing modules from node_modules not working properly

Question

I am using next.js 13.4 where I am getting error on directly importing any module from node_modules.

This is not working:-

import Link from "next/link"

if I do this then its working:

import Link from "@/next/link" // or import Link from "../../../node_modules/next/link

I am having this issue with all the modules I import. Does anyone know what's the issue I even changed node version from 16 to 18.

I tried changing path from tsconfig.json but then it's working with @/next/link not like next/link. I also changed node.js version from 16 to 18

my tsconfig.json

{
    "compilerOptions": {
        "target": "es5",
        "lib": ["dom", "dom.iterable", "esnext"],
        "allowJs": true,
        "skipLibCheck": true,
        "strict": true,
        "forceConsistentCasingInFileNames": true,
        "noEmit": true,
        "esModuleInterop": true,
        "module": "esnext",
        "moduleResolution": "bundler",
        "resolveJsonModule": true,
        "isolatedModules": true,
        "jsx": "preserve",
        "incremental": true,
        "plugins": [
            {
                "name": "next"
            }
        ],
        "paths": {
            "@/*": ["./src/*"]
        }
    },
    "include": ["next-env.d.ts", "**/*.ts", "**/*.tsx", ".next/types/**/*.ts"],
    "exclude": ["node_modules"]
}