diff --git a/bin/compile b/bin/compile
index 4553b44..12d7aba 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 d04d209..0000000
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 0000000..2ef9e37
Binary files /dev/null and b/vendor/setuptools-18.0.1.tar.gz differ