server {
    listen 80;
    server_name localhost;
    root /usr/share/nginx/html;
    index index.html;

    # Handle React Router
    location / {
        try_files $uri $uri/ /index.html;
    }

    # Proxy API requests to backend
    location /api/ {
        proxy_pass http://backend:8000/;
        proxy_set_header Host $host;
        proxy_set_header X-Real-IP $remote_addr;
        proxy_set_header X-Forwarded-For $proxy_add_x_forwarded_for;
        proxy_set_header X-Forwarded-Proto $scheme;
    }

    # Handle static files
    location ~* \.(js|css|png|jpg|jpeg|gif|ico|svg)$ {
        expires 1y;
        add_header Cache-Control "public, immutable";
    }
}