Dark mode of Tailwind CSS does not work with Next.js and styled-jsx

[FSaldanha]

(Cross-posting from StackOverflow)

My site is built with Next.js and Tailwind CSS. I followed the default instructions to install them. Since I wanted to customize the appearance of my links without applying inline classes to each one, I also installed styled-jsx-plugin-postcss so that I could use styled-jsx already bundled in Next.js.

It worked almost perfectly, but for some reason the dark mode styles applied in the <style jsx> tag are ignored. I'm using the class strategy as documented. How can I make these styles work?

Below is a sample code from index.js. I also uploaded it to Codesandbox.

import { useState, useEffect } from "react";

export default function IndexPage() {
  const [mounted, setMounted] = useState(false);

  const handleThemeChange = (newTheme) => {
    const bodyClasses = document.body.classList;
    newTheme === "dark" ? bodyClasses.add("dark") : bodyClasses.remove("dark");
    localStorage.theme = newTheme;
  };

  useEffect(() => {
    const defaultTheme =
      localStorage.theme ||
      (window.matchMedia("(prefers-color-scheme: dark)").matches
        ? "dark"
        : "light");
    handleThemeChange(defaultTheme);
    setMounted(true);
  }, []);

  if (!mounted) return null;

  return (
    <div className="dark:bg-black dark:text-white text-xl">
      <ul className="cursor-pointer mb-6">
        <li
          onClick={() => handleThemeChange("dark")}
          className="block dark:hidden"
        >
          Click to activate dark mode
        </li>
        <li
          onClick={() => handleThemeChange("light")}
          className="hidden dark:block"
        >
          Click to activate light mode
        </li>
      </ul>
      <p>
        <a href="#">This link</a> should be red in dark mode.
      </p>
      <style jsx>{`
        a {
          @apply text-green-500 dark:text-red-500;
        }
      `}</style>
    </div>
  );
}