Based on the knowledge sources, Nuxt’s $fetch should work with any valid URL, including private/internal network addresses, as long as the environment where the SSR server is running can resolve and access that address. There is no Nuxt-specific restriction or special handling for internal/private DNS names in $fetch or runtime config. The documentation and examples show that $fetch simply uses the URL you provide, and if you set a full URL (with protocol and port) in your runtime config, it will be used as-is see docs.
However, the sources also clarify that if you encounter a ERR_NAME_NOT_RESOLVED error, it is due to DNS/network resolution issues in your environment, not a limitation or behavior of Nuxt itself. This is supported by the fact that Nuxt’s SSR server will make the request from its own network context, so if it cannot resolve the internal DNS name, the request will fail see related networking issues.
There is no information in the knowledge sources indicating that Nuxt blocks or rewrites private/internal URLs, nor that $fetch behaves differently for internal addresses. If the same setup works in other projects but not in Nuxt, the only Nuxt-specific caveat is that SSR requests are made from the server context, not the browser, so the server must have access to the internal DNS.
Summary:
The knowledge sources do not indicate any Nuxt-specific reason why $fetch would not work with a private network URL in SSR mode. If DNS resolution and network access are correct, $fetch should work as expected. If it does not, the issue is likely environmental (network/DNS), not Nuxt-related.