Codex VS Code extension cannot execute any local shell command on Windows (PowerShell 8009001d / CreateProcessWithLogonW 1056)

What version of the IDE extension are you using?

openai.chatgpt-26.325.31654-win32-x64

What subscription do you have?

plus

Which IDE are you using?

vscode

What platform is your computer?

Windows_NT x64 10.0.26200

What issue are you seeing?

The Codex VS Code extension cannot execute any local shell command in my environment.

Symptoms:

• Any command executed by Codex fails before the command actually runs
• Even minimal commands such as Get-Location fail
• Codex cannot read local files such as feature.md
• Manual PowerShell works normally
• VS Code integrated terminal works normally

Observed errors:

• Internal Windows PowerShell error with code 8009001d
• Sometimes CreateProcessWithLogonW failed: 1056

What I verified:

• powershell -NoProfile works correctly when run manually
• SystemRoot, WINDIR, and ComSpec are present in my PowerShell environment
• VS Code terminal works
• code --status shows pty-host, OpenConsole.exe, powershell.exe, and codex.exe app-server are running
• Reinstalling VS Code did not fix it
• Reinstalling the extension and deleting the extension directory did not fix it
• The same problem happens in a new Codex conversation

Environment:

• VS Code 1.114.0
• Windows 10.0.26200 x64
• Extension version: openai.chatgpt-26.325.31654-win32-x64

Minimal reproduction:

1. Open VS Code
2. Open a workspace
3. Start a Codex chat
4. Ask Codex to run a minimal local command such as Get-Location
5. The command fails with the errors above

<img width="859" height="207" alt="Image" src="https://github.com/user-attachments/assets/8f2b82bc-b5de-4c59-ae35-dcab7b7664bf" />

What steps can reproduce the bug?

I can provide code --status output and extension logs if needed.

What is the expected behavior?

_No response_

Additional information

_No response_