diff --git a/bin/compile b/bin/compile
index 4553b44f3addfa4034b418f5d05da8e65e89cb5c..12d7abace61dd19749b9c93baf0383268a113b54 100755
--- a/bin/compile
+++ b/bin/compile
@@ -32,7 +32,7 @@ DEFAULT_PYTHON_VERSION="python-2.7.10"
 DEFAULT_PYTHON_STACK="cedar"
 PYTHON_EXE="/app/.heroku/python/bin/python"
 PIP_VERSION="7.0.3"
-SETUPTOOLS_VERSION="17.0"
+SETUPTOOLS_VERSION="18.0.1"
 
 # Setup bpwatch
 export PATH=$PATH:$ROOT_DIR/vendor/bpwatch
diff --git a/vendor/setuptools-17.0.tar.gz b/vendor/setuptools-17.0.tar.gz
deleted file mode 100644
index d04d209e241b8de3567ddd8118cef692f5ef3f0f..0000000000000000000000000000000000000000
Binary files a/vendor/setuptools-17.0.tar.gz and /dev/null differ
diff --git a/vendor/setuptools-18.0.1.tar.gz b/vendor/setuptools-18.0.1.tar.gz
new file mode 100644
index 0000000000000000000000000000000000000000..2ef9e3741994939ca76ed51edfec95d0a2b73711
Binary files /dev/null and b/vendor/setuptools-18.0.1.tar.gz differ