diff --git a/test/system/220-environment-variables.bats b/test/system/220-environment-variables.bats
new file mode 100644
index 0000000..0e13566
--- /dev/null
+++ b/test/system/220-environment-variables.bats
@@ -0,0 +1,441 @@
+# shellcheck shell=bats
+#
+# Copyright © 2023 Red Hat, Inc.
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+#     http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+#
+
+load 'libs/bats-support/load'
+load 'libs/bats-assert/load'
+load 'libs/helpers'
+
+setup() {
+  bats_require_minimum_version 1.7.0
+  _setup_environment
+  cleanup_containers
+}
+
+teardown() {
+  cleanup_containers
+}
+
+@test "environment variables: HISTFILESIZE inside the default container" {
+  create_default_container
+
+  if [ "$HISTFILESIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTFILESIZE=1001
+  else
+    ((HISTFILESIZE++))
+  fi
+
+  export HISTFILESIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run bash -c 'echo "$HISTFILESIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTFILESIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTSIZE inside the default container" {
+  skip "https://pagure.io/setup/pull-request/48"
+
+  create_default_container
+
+  if [ "$HISTSIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTSIZE=1001
+  else
+    ((HISTSIZE++))
+  fi
+
+  export HISTSIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run bash -c 'echo "$HISTSIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTSIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTFILESIZE inside Arch Linux" {
+  create_distro_container arch latest arch-toolbox-latest
+
+  # shellcheck disable=SC2031
+  if [ "$HISTFILESIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTFILESIZE=1001
+  else
+    ((HISTFILESIZE++))
+  fi
+
+  export HISTFILESIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro arch bash -c 'echo "$HISTFILESIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTFILESIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTSIZE inside Arch Linux" {
+  create_distro_container arch latest arch-toolbox-latest
+
+  # shellcheck disable=SC2031
+  if [ "$HISTSIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTSIZE=1001
+  else
+    ((HISTSIZE++))
+  fi
+
+  export HISTSIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro arch bash -c 'echo "$HISTSIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTSIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTFILESIZE inside Fedora 34" {
+  create_distro_container fedora 34 fedora-toolbox-34
+
+  # shellcheck disable=SC2031
+  if [ "$HISTFILESIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTFILESIZE=1001
+  else
+    ((HISTFILESIZE++))
+  fi
+
+  export HISTFILESIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro fedora --release 34 bash -c 'echo "$HISTFILESIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTFILESIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTSIZE inside Fedora 34" {
+  skip "https://pagure.io/setup/pull-request/48"
+
+  create_distro_container fedora 34 fedora-toolbox-34
+
+  # shellcheck disable=SC2031
+  if [ "$HISTSIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTSIZE=1001
+  else
+    ((HISTSIZE++))
+  fi
+
+  export HISTSIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro fedora --release 34 bash -c 'echo "$HISTSIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTSIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTFILESIZE inside RHEL 8.7" {
+  create_distro_container rhel 8.7 rhel-toolbox-8.7
+
+  # shellcheck disable=SC2031
+  if [ "$HISTFILESIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTFILESIZE=1001
+  else
+    ((HISTFILESIZE++))
+  fi
+
+  export HISTFILESIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro rhel --release 8.7 bash -c 'echo "$HISTFILESIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTFILESIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTSIZE inside RHEL 8.7" {
+  skip "https://pagure.io/setup/pull-request/48"
+
+  create_distro_container rhel 8.7 rhel-toolbox-8.7
+
+  # shellcheck disable=SC2031
+  if [ "$HISTSIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTSIZE=1001
+  else
+    ((HISTSIZE++))
+  fi
+
+  export HISTSIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro rhel --release 8.7 bash -c 'echo "$HISTSIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTSIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTFILESIZE inside Ubuntu 16.04" {
+  create_distro_container ubuntu 16.04 ubuntu-toolbox-16.04
+
+  # shellcheck disable=SC2031
+  if [ "$HISTFILESIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTFILESIZE=1001
+  else
+    ((HISTFILESIZE++))
+  fi
+
+  export HISTFILESIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro ubuntu --release 16.04 \
+                                             bash -c 'echo "$HISTFILESIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTFILESIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTSIZE inside Ubuntu 16.04" {
+  create_distro_container ubuntu 16.04 ubuntu-toolbox-16.04
+
+  # shellcheck disable=SC2031
+  if [ "$HISTSIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTSIZE=1001
+  else
+    ((HISTSIZE++))
+  fi
+
+  export HISTSIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro ubuntu --release 16.04 bash -c 'echo "$HISTSIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTSIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTFILESIZE inside Ubuntu 18.04" {
+  create_distro_container ubuntu 18.04 ubuntu-toolbox-18.04
+
+  # shellcheck disable=SC2031
+  if [ "$HISTFILESIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTFILESIZE=1001
+  else
+    ((HISTFILESIZE++))
+  fi
+
+  export HISTFILESIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro ubuntu --release 18.04 \
+                                             bash -c 'echo "$HISTFILESIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTFILESIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTSIZE inside Ubuntu 18.04" {
+  create_distro_container ubuntu 18.04 ubuntu-toolbox-18.04
+
+  # shellcheck disable=SC2031
+  if [ "$HISTSIZE" = "" ]; then
+    # shellcheck disable=SC2030
+    HISTSIZE=1001
+  else
+    ((HISTSIZE++))
+  fi
+
+  export HISTSIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro ubuntu --release 18.04 bash -c 'echo "$HISTSIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTSIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTFILESIZE inside Ubuntu 20.04" {
+  create_distro_container ubuntu 20.04 ubuntu-toolbox-20.04
+
+  # shellcheck disable=SC2031
+  if [ "$HISTFILESIZE" = "" ]; then
+    HISTFILESIZE=1001
+  else
+    ((HISTFILESIZE++))
+  fi
+
+  export HISTFILESIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro ubuntu --release 20.04 \
+                                             bash -c 'echo "$HISTFILESIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTFILESIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
+
+@test "environment variables: HISTSIZE inside Ubuntu 20.04" {
+  create_distro_container ubuntu 20.04 ubuntu-toolbox-20.04
+
+  # shellcheck disable=SC2031
+  if [ "$HISTSIZE" = "" ]; then
+    HISTSIZE=1001
+  else
+    ((HISTSIZE++))
+  fi
+
+  export HISTSIZE
+
+  # shellcheck disable=SC2016
+  run --keep-empty-lines --separate-stderr "$TOOLBOX" run --distro ubuntu --release 20.04 bash -c 'echo "$HISTSIZE"'
+
+  assert_success
+  assert_line --index 0 "$HISTSIZE"
+
+  if check_bats_version 1.10.0; then
+    assert [ ${#lines[@]} -eq 1 ]
+  else
+    assert [ ${#lines[@]} -eq 2 ]
+  fi
+
+  # shellcheck disable=SC2154
+  assert [ ${#stderr_lines[@]} -eq 0 ]
+}
diff --git a/test/system/meson.build b/test/system/meson.build
index 9546ef7..1f32ad5 100644
--- a/test/system/meson.build
+++ b/test/system/meson.build
@@ -14,6 +14,7 @@ test_system = files(
   '206-user.bats',
   '210-ulimit.bats',
   '211-dbus.bats',
+  '220-environment-variables.bats',
   'setup_suite.bash',
   'libs/helpers.bash',
 )