diff --git a/packages/core/src/render3/instructions.ts b/packages/core/src/render3/instructions.ts
index 3a9d315d0e8..705cded3df4 100644
--- a/packages/core/src/render3/instructions.ts
+++ b/packages/core/src/render3/instructions.ts
@@ -706,7 +706,7 @@ export function element(
  * @param attrs Set of attributes to be used when matching directives.
  * @param localRefs A set of local reference bindings on the element.
  *
- * Even if this instruction accepts a set of attributes no actual attribute values are propoagted to
+ * Even if this instruction accepts a set of attributes no actual attribute values are propagated to
  * the DOM (as a comment node can't have attributes). Attributes are here only for directive
  * matching purposes and setting initial inputs of directives.
  */
diff --git a/packages/core/src/render3/node_manipulation.ts b/packages/core/src/render3/node_manipulation.ts
index 24234f14255..17f28171f02 100644
--- a/packages/core/src/render3/node_manipulation.ts
+++ b/packages/core/src/render3/node_manipulation.ts
@@ -56,6 +56,15 @@ export function getParentLNode(node: LNode): LElementNode|LElementContainerNode|
   return readElementValue(parent ? node.view[parent.index] : node.view[HOST_NODE]);
 }
 
+/**
+ * Retrieves render parent LElementNode for a given view.
+ * Might be null if a view is not yet attatched to any container.
+ */
+function getRenderParent(viewNode: LViewNode): LElementNode|null {
+  const container = getParentLNode(viewNode);
+  return container ? container.data[RENDER_PARENT] : null;
+}
+
 const enum WalkLNodeTreeAction {
   /** node insert in the native environment */
   Insert = 0,
@@ -565,6 +574,20 @@ export function canInsertNativeNode(parent: LNode, currentView: LViewData): bool
   }
 }
 
+/**
+ * Inserts a native node before another native node for a given parent using {@link Renderer3}.
+ * This is a utility function that can be used when native nodes were determined - it abstracts an
+ * actual renderer being used.
+ */
+function nativeInsertBefore(
+    renderer: Renderer3, parent: RElement, child: RNode, beforeNode: RNode | null): void {
+  if (isProceduralRenderer(renderer)) {
+    renderer.insertBefore(parent, child, beforeNode);
+  } else {
+    parent.insertBefore(child, beforeNode, true);
+  }
+}
+
 /**
  * Appends the `child` element to the `parent`.
  *
@@ -585,15 +608,16 @@ export function appendChild(parent: LNode, child: RNode | null, currentView: LVi
       const index = views.indexOf(parent as LViewNode);
       const beforeNode =
           index + 1 < views.length ? (getChildLNode(views[index + 1]) !).native : container.native;
-      isProceduralRenderer(renderer) ?
-          renderer.insertBefore(renderParent !.native, child, beforeNode) :
-          renderParent !.native.insertBefore(child, beforeNode, true);
+      nativeInsertBefore(renderer, renderParent !.native, child, beforeNode);
     } else if (parent.tNode.type === TNodeType.ElementContainer) {
       const beforeNode = parent.native;
-      const renderParent = getParentLNode(parent) as LElementNode;
-      isProceduralRenderer(renderer) ?
-          renderer.insertBefore(renderParent !.native, child, beforeNode) :
-          renderParent !.native.insertBefore(child, beforeNode, true);
+      const grandParent = getParentLNode(parent) as LElementNode | LViewNode;
+      if (grandParent.tNode.type === TNodeType.View) {
+        const renderParent = getRenderParent(grandParent as LViewNode);
+        nativeInsertBefore(renderer, renderParent !.native, child, beforeNode);
+      } else {
+        nativeInsertBefore(renderer, (grandParent as LElementNode).native, child, beforeNode);
+      }
     } else {
       isProceduralRenderer(renderer) ? renderer.appendChild(parent.native !as RElement, child) :
                                        parent.native !.appendChild(child);
diff --git a/packages/core/test/bundling/hello_world/bundle.golden_symbols.json b/packages/core/test/bundling/hello_world/bundle.golden_symbols.json
index d4d1870f4cb..0188508d67d 100644
--- a/packages/core/test/bundling/hello_world/bundle.golden_symbols.json
+++ b/packages/core/test/bundling/hello_world/bundle.golden_symbols.json
@@ -176,6 +176,9 @@
   {
     "name": "getRenderFlags"
   },
+  {
+    "name": "getRenderParent"
+  },
   {
     "name": "getRootView"
   },
@@ -200,6 +203,9 @@
   {
     "name": "namespaceHTML"
   },
+  {
+    "name": "nativeInsertBefore"
+  },
   {
     "name": "readElementValue"
   },
diff --git a/packages/core/test/bundling/todo/bundle.golden_symbols.json b/packages/core/test/bundling/todo/bundle.golden_symbols.json
index 2f713715326..757637d08bf 100644
--- a/packages/core/test/bundling/todo/bundle.golden_symbols.json
+++ b/packages/core/test/bundling/todo/bundle.golden_symbols.json
@@ -590,6 +590,9 @@
   {
     "name": "getRenderFlags"
   },
+  {
+    "name": "getRenderParent"
+  },
   {
     "name": "getRenderer"
   },
@@ -728,6 +731,9 @@
   {
     "name": "namespaceHTML"
   },
+  {
+    "name": "nativeInsertBefore"
+  },
   {
     "name": "nextContext"
   },
diff --git a/packages/core/test/render3/integration_spec.ts b/packages/core/test/render3/integration_spec.ts
index 7d2669b3238..66e9ce7dcd7 100644
--- a/packages/core/test/render3/integration_spec.ts
+++ b/packages/core/test/render3/integration_spec.ts
@@ -16,7 +16,8 @@ import {HEADER_OFFSET} from '../../src/render3/interfaces/view';
 import {sanitizeUrl} from '../../src/sanitization/sanitization';
 import {Sanitizer, SecurityContext} from '../../src/sanitization/security';
 
-import {ComponentFixture, TemplateFixture, containerEl, renderToHtml} from './render_util';
+import {NgIf} from './common_with_def';
+import {ComponentFixture, TemplateFixture, containerEl, createComponent, renderToHtml} from './render_util';
 
 describe('render3 integration test', () => {
 
@@ -445,6 +446,154 @@ describe('render3 integration test', () => {
       expect(fixture.html).toEqual('<div>before|Greetings<span></span>|after</div>');
     });
 
+    it('should add and remove DOM nodes when ng-container is a child of a regular element', () => {
+      /**
+       * {% if (value) { %}
+       * <div>
+       *  <ng-container>content</ng-container>
+       * </div>
+       * {% } %}
+       */
+      const TestCmpt = createComponent('test-cmpt', function(rf: RenderFlags, ctx: {value: any}) {
+        if (rf & RenderFlags.Create) {
+          container(0);
+        }
+        if (rf & RenderFlags.Update) {
+          containerRefreshStart(0);
+          if (ctx.value) {
+            let rf1 = embeddedViewStart(0);
+            {
+              if (rf1 & RenderFlags.Create) {
+                elementStart(0, 'div');
+                {
+                  elementContainerStart(1);
+                  { text(2, 'content'); }
+                  elementContainerEnd();
+                }
+                elementEnd();
+              }
+            }
+            embeddedViewEnd();
+          }
+          containerRefreshEnd();
+        }
+      });
+
+      const fixture = new ComponentFixture(TestCmpt);
+      expect(fixture.html).toEqual('');
+
+      fixture.component.value = true;
+      fixture.update();
+      expect(fixture.html).toEqual('<div>content</div>');
+
+      fixture.component.value = false;
+      fixture.update();
+      expect(fixture.html).toEqual('');
+    });
+
+    it('should add and remove DOM nodes when ng-container is a child of an embedded view (JS block)',
+       () => {
+         /**
+          * {% if (value) { %}
+          *  <ng-container>content</ng-container>
+          * {% } %}
+          */
+         const TestCmpt =
+             createComponent('test-cmpt', function(rf: RenderFlags, ctx: {value: any}) {
+               if (rf & RenderFlags.Create) {
+                 container(0);
+               }
+               if (rf & RenderFlags.Update) {
+                 containerRefreshStart(0);
+                 if (ctx.value) {
+                   let rf1 = embeddedViewStart(0);
+                   {
+                     if (rf1 & RenderFlags.Create) {
+                       elementContainerStart(0);
+                       { text(1, 'content'); }
+                       elementContainerEnd();
+                     }
+                   }
+                   embeddedViewEnd();
+                 }
+                 containerRefreshEnd();
+               }
+             });
+
+         const fixture = new ComponentFixture(TestCmpt);
+         expect(fixture.html).toEqual('');
+
+         fixture.component.value = true;
+         fixture.update();
+         expect(fixture.html).toEqual('content');
+
+         fixture.component.value = false;
+         fixture.update();
+         expect(fixture.html).toEqual('');
+       });
+
+    it('should add and remove DOM nodes when ng-container is a child of an embedded view (ViewContainerRef)',
+       () => {
+
+         function ngIfTemplate(rf: RenderFlags, ctx: any) {
+           if (rf & RenderFlags.Create) {
+             elementContainerStart(0);
+             { text(1, 'content'); }
+             elementContainerEnd();
+           }
+         }
+
+         /**
+          * <ng-container *ngIf="value">content</ng-container>
+          */
+         // equivalent to:
+         /**
+          * <ng-template [ngIf]="value">
+          *  <ng-container>
+          *    content
+          *  </ng-container>
+          * </ng-template>
+          */
+         const TestCmpt =
+             createComponent('test-cmpt', function(rf: RenderFlags, ctx: {value: any}) {
+               if (rf & RenderFlags.Create) {
+                 container(0, ngIfTemplate, null, [AttributeMarker.SelectOnly, 'ngIf']);
+               }
+               if (rf & RenderFlags.Update) {
+                 elementProperty(0, 'ngIf', bind(ctx.value));
+               }
+             }, [NgIf]);
+
+         const fixture = new ComponentFixture(TestCmpt);
+         expect(fixture.html).toEqual('');
+
+         fixture.component.value = true;
+         fixture.update();
+         expect(fixture.html).toEqual('content');
+
+         fixture.component.value = false;
+         fixture.update();
+         expect(fixture.html).toEqual('');
+       });
+
+    it('should render at the component view root', () => {
+      /**
+       * <ng-container>component template</ng-container>
+       */
+      const TestCmpt = createComponent('test-cmpt', function(rf: RenderFlags) {
+        if (rf & RenderFlags.Create) {
+          elementContainerStart(0);
+          { text(1, 'component template'); }
+          elementContainerEnd();
+        }
+      });
+
+      function App() { element(0, 'test-cmpt'); }
+
+      const fixture = new TemplateFixture(App, () => {}, [TestCmpt]);
+      expect(fixture.html).toEqual('<test-cmpt>component template</test-cmpt>');
+    });
+
     it('should support directives and inject ElementRef', () => {
 
       class Directive {