diff --git a/tools/lib/traceevent/Makefile b/tools/lib/traceevent/Makefile
index 83446fe2cf01..c5a03356a999 100644
--- a/tools/lib/traceevent/Makefile
+++ b/tools/lib/traceevent/Makefile
@@ -208,10 +208,11 @@ define do_install
 	$(INSTALL) $(if $3,-m $3,) $1 '$(DESTDIR_SQ)$2'
 endef
 
-PKG_CONFIG_FILE = libtraceevent.pc
+PKG_CONFIG_SOURCE_FILE = libtraceevent.pc
+PKG_CONFIG_FILE := $(addprefix $(OUTPUT),$(PKG_CONFIG_SOURCE_FILE))
 define do_install_pkgconfig_file
 	if [ -n "${pkgconfig_dir}" ]; then 					\
-		cp -f ${PKG_CONFIG_FILE}.template ${PKG_CONFIG_FILE}; 		\
+		cp -f ${PKG_CONFIG_SOURCE_FILE}.template ${PKG_CONFIG_FILE};	\
 		sed -i "s|INSTALL_PREFIX|${1}|g" ${PKG_CONFIG_FILE}; 		\
 		sed -i "s|LIB_VERSION|${EVENT_PARSE_VERSION}|g" ${PKG_CONFIG_FILE}; \
 		sed -i "s|LIB_DIR|${libdir}|g" ${PKG_CONFIG_FILE}; \