In Local Axis Mode, dragging the gizmo's Z (depth) handle in Active Camera/perspective view moves the layer along World Z, not local Z. X and Y handles are correct. Same move in Top/orthographic view works. 26.2.1, both renderers.

Issue: In Local Axis Mode, the 3D Transform Gizmo's Z (depth) handle translates the layer along World Z instead of its local Z when dragged in the Active Camera or any perspective view. Local X and Y handles are unaffected. The same local-Z move performed in an orthographic view works correctly, isolating the fault to the gizmo's perspective-view drag rather than the transform engine.

Steps to reproduce:

1. Create a 3D Camera Tracked comp of a scene, add solids using the camera tracked points.
2. In the Tools panel, select Local Axis Mode.
3. With the comp set to Active Camera (or any perspective view), drag the gizmo's blue Z (depth) handle back and forth using a solid.

Expected result: The layer translates along its local Z axis (its facing/depth direction), consistent with Local Axis Mode.

Actual result: The layer translates along World Z, ignoring Local Axis Mode. Local X and Y handles behave correctly — only Z is affected. Dragging the same layer along local Z in an orthographic view (e.g. Top) moves it correctly, confirming the transform engine honours Local Axis Mode and the fault is specific to the gizmo's Z-handle drag in perspective/camera views.

Screen recording: Attached

Adobe After Effects version: 26.2.1 (April 2026 release)

Operating system: [Windows 10]

GPU driver version (Windows only): [NVIDIA RTX 3090; driver version from NVIDIA Control Panel → System Information, or GeForce/Studio app]

Video format: N/A — not a playback or export issue.

Comparative information:

• Does it affect all projects or only some? All projects, including new ones.
• Does it affect new projects? Yes — reproduces on a brand-new comp with a single 3D solid.
• When did the problem begin? First observed after updating from v25 to v26.

Additionally: occurs in both Classic 3D and Advanced 3D renderers; persists after a full preferences reset (prefs folder renamed, clean relaunch); and reproduced on a second, separate machine with different hardware, so it is not config- or GPU-specific.