Hey,
I have encountered the same issue, it seems to be a bug for some reason even with Raytracing turned off shadows are not casted the right way still looks kinda odd to me.
I am just confused about about what’s the difference with dropping the foliage in by Hand instead of by foliage tool, because it will somehow show you everything right when dropping it in by hand but wrong with the same tree settings when you place it with the foliagetool.
I have tried it with nanite on and everything is broken, when I try it with nanite off everything seems to work (Same for WPO)
This Screenshot is with Nanite on but WPO Off:
Now let’s get to the funny part if you change your project settings From DirectX12 to something else Like Vulcan or DX11 shadows are coming back (even with Raytracing & Nanite & WPO). I am so confused.