Set up testing-library/react with mocha got SyntaxError: Unexpected token

I am setting up testing-library/react with mocha. Faced a lot of problems on the setup that were resolved by installing babel libraries and configuring them in .babelrc file as explained on the bottom most part of this question. Now, I am stuck on this error:

> mocha --exit --require @babel/register --require jsdom-global/register
D:\projects\demo_app\node_modules\antd\es\row\index.js:1
(function (exports, require, module, __filename, __dirname) { import { Row } from '../grid';
                                                                     ^

SyntaxError: Unexpected token {
    at new Script (vm.js:79:7)
    at createScript (vm.js:251:10)
    at Object.runInThisContext (vm.js:303:10)
    at Module._compile (internal/modules/cjs/loader.js:657:28)

This comes from ant.design component which uses the syntax above. I have tried to test a dummy component like below:

const component = () => (<div>hello</div>)

And it has no problem. But whenever I import my real component that I need to test that is using ant design, I get the error above. Is it setup part for babel not configured properly? I have no idea how to fix the error. Somehow have a guess that it might be related to babel presets or plugins.

P.S. My project is using Create React App, the exact same test runs smoothly with Jest, but for some reason I don't want to use jest.

Below is .babelrc

{
  "presets": [
    ["@babel/preset-env",
      {
        "targets": {
          "esmodules": true,
          "node": "current"
        }
      }
    ],
    ["@babel/preset-react"]
  ],
  "plugins": [
    ["@babel/plugin-proposal-class-properties"],
    ["module-resolver", {
      "root": ["./src"],
      "alias": {
        "underscore": "lodash"
      }
    }]
  ]
}

Below is package.json

{
  "dependencies": {
    "antd": "^4.4.2",
    "axios": "^0.19.2",
    "react": "^16.12.0",
    "react-dom": "^16.12.0",
    "react-google-oauth": "^1.0.0",
    "react-icons": "^3.10.0",
    "react-redux": "^7.1.3",
    "react-router-dom": "^5.1.2",
    "react-scripts": "3.3.1",
    "recompose": "^0.30.0",
    "redux": "^4.0.5",
    "redux-thunk": "^2.3.0",
    "styled-components": "^5.0.1",
    "validator": "^13.1.17"
  },
  "scripts": {
    "start": "react-scripts start",
    "build": "react-scripts build",
    "test": "mocha --exit --require @babel/register --require jsdom-global/register",
    "test:jest": "react-scripts test",
    "eject": "react-scripts eject"
  },
  "eslintConfig": {
    "extends": "react-app"
  },
  "browserslist": {
    "production": [
      ">0.2%",
      "not dead",
      "not op_mini all"
    ],
    "development": [
      "last 1 chrome version",
      "last 1 firefox version",
      "last 1 safari version"
    ]
  },
  "devDependencies": {
    "@babel/core": "7.12.9",
    "@babel/plugin-proposal-class-properties": "7.12.1",
    "@babel/preset-env": "^7.12.7",
    "@babel/preset-react": "7.12.7",
    "@babel/register": "7.12.1",
    "@testing-library/jest-dom": "^4.2.4",
    "@testing-library/react": "^9.5.0",
    "@testing-library/user-event": "^7.2.1",
    "babel-eslint": "10.1.0",
    "babel-plugin-module-resolver": "^4.0.0",
    "chai": "4.2.0",
    "enzyme": "^3.11.0",
    "enzyme-adapter-react-16": "^1.15.2",
    "eslint-plugin-flowtype": "^3.13.0",
    "eslint-plugin-import": "^2.20.1",
    "husky": "^4.2.1",
    "jsdom": "^16.4.0",
    "jsdom-global": "^3.0.2",
    "mocha": "8.2.1",
    "msw": "^0.19.5",
    "react-test-renderer": "^16.13.1",
    "redux-mock-store": "^1.5.4",
    "standard": "^14.3.1"
  },
  "optionalDependencies": {
    "fsevents": "^2.1.2"
  },
  "standard": {
    "parser": "babel-eslint",
    "ignore": [
      "/public"
    ]
  },
  "jest": {
    "transformIgnorePatterns": [
      "node_modules/?!(react)/"
    ]
  },
  "extends": [
    "eslint:recommended",
    "plugin:react/recommended"
  ]
}

Any help would be appreciated.