diff --git a/docs/core/compatibility/11.md b/docs/core/compatibility/11.md
index 5af441a8eaa52..06a806594ca69 100644
--- a/docs/core/compatibility/11.md
+++ b/docs/core/compatibility/11.md
@@ -89,4 +89,5 @@ See [Breaking changes in EF Core 11](/ef/core/what-is-new/ef-core-11.0/breaking-
 | Title                                                             | Type of change    |
 |-------------------------------------------------------------------|-------------------|
 | [mono launch target not set for .NET Framework apps](sdk/11/mono-launch-target-removed.md) | Behavioral change |
+| [Template engine packages no longer support netstandard2.0](sdk/11/template-engine-netstandard.md) | Binary/source incompatible |
 | [VSTest removes dependency on Newtonsoft.Json](sdk/11/vstest-removes-newtonsoft-json.md) | Binary/source incompatible |
diff --git a/docs/core/compatibility/sdk/11/template-engine-netstandard.md b/docs/core/compatibility/sdk/11/template-engine-netstandard.md
new file mode 100644
index 0000000000000..b3936686b1f7c
--- /dev/null
+++ b/docs/core/compatibility/sdk/11/template-engine-netstandard.md
@@ -0,0 +1,49 @@
+---
+title: "Breaking change: Template engine packages no longer support netstandard2.0"
+description: "Learn about the breaking change in .NET 11 where the .NET SDK template engine NuGet packages dropped the netstandard2.0 target framework."
+ms.date: 06/10/2026
+ai-usage: ai-assisted
+---
+
+# Template engine packages no longer support netstandard2.0
+
+The .NET SDK template engine NuGet packages no longer target `netstandard2.0`. Projects that consumed these packages via the `netstandard2.0` target and don't target one of the remaining frameworks can no longer use them.
+
+## Version introduced
+
+.NET 11 Preview 4
+
+## Previous behavior
+
+Previously, to support consumption from projects targeting .NET Standard 2.0 (including .NET Framework 4.6.1+ and .NET Core 2.0+), the following packages included a `netstandard2.0` target:
+
+- [`Microsoft.TemplateEngine.Abstractions`](https://www.nuget.org/packages/Microsoft.TemplateEngine.Abstractions)
+- [`Microsoft.TemplateEngine.Core`](https://www.nuget.org/packages/Microsoft.TemplateEngine.Core)
+- [`Microsoft.TemplateEngine.Core.Contracts`](https://www.nuget.org/packages/Microsoft.TemplateEngine.Core.Contracts)
+- [`Microsoft.TemplateEngine.Edge`](https://www.nuget.org/packages/Microsoft.TemplateEngine.Edge)
+- [`Microsoft.TemplateEngine.Orchestrator.RunnableProjects`](https://www.nuget.org/packages/Microsoft.TemplateEngine.Orchestrator.RunnableProjects)
+- [`Microsoft.TemplateEngine.Utils`](https://www.nuget.org/packages/Microsoft.TemplateEngine.Utils)
+- [`Microsoft.TemplateEngine.IDE`](https://www.nuget.org/packages/Microsoft.TemplateEngine.IDE)
+- [`Microsoft.TemplateLocalizer.Core`](https://www.nuget.org/packages/Microsoft.TemplateEngine.TemplateLocalizer.Core)
+
+## New behavior
+
+Starting in .NET 11, these packages only target `net9.0`, `net11.0`, and `net472`. Projects that previously consumed these packages via the `netstandard2.0` target and don't target one of these remaining frameworks can no longer reference these packages.
+
+## Type of breaking change
+
+This change can affect [source compatibility](../../categories.md#source-compatibility) and [binary compatibility](../../categories.md#binary-compatibility).
+
+## Reason for change
+
+NuGet client SDK packages (`NuGet.*`) stopped targeting `netstandard2.0` starting with version 7.0. `Microsoft.TemplateEngine.Edge` depends on NuGet packages (`NuGet.Configuration`, `NuGet.Credentials`, and `NuGet.Protocol`), which made it increasingly difficult to maintain `netstandard2.0` compatibility. To avoid transitive dependency conflicts, the project had to pin these packages to older versions and disable `CentralPackageTransitivePinningEnabled`. Dropping `netstandard2.0` removes this constraint and allows the packages to stay current with their dependencies.
+
+For more context, see [dotnet/sdk#54041](https://github.com/dotnet/sdk/pull/54041).
+
+## Recommended action
+
+Update your consuming project to target `net9.0` or later, or `net472` or later (.NET Framework). If you relied on the `netstandard2.0` target to consume these packages from a .NET Standard class library, retarget that library to one of the supported frameworks.
+
+## Affected APIs
+
+All public APIs in the affected packages remain the same. Only the supported target frameworks have changed.
diff --git a/docs/core/compatibility/toc.yml b/docs/core/compatibility/toc.yml
index fd1c9c42fb72f..2fbe488fbbb8c 100644
--- a/docs/core/compatibility/toc.yml
+++ b/docs/core/compatibility/toc.yml
@@ -68,6 +68,8 @@ items:
             items:
               - name: mono launch target not set for .NET Framework apps
                 href: sdk/11/mono-launch-target-removed.md
+              - name: Template engine packages no longer support netstandard2.0
+                href: sdk/11/template-engine-netstandard.md
               - name: VSTest removes dependency on Newtonsoft.Json
                 href: sdk/11/vstest-removes-newtonsoft-json.md
       - name: .NET 10