When you put packed mud blocks on the stone cutter instead of showing you its variants to make it, it does not allow you to use the stone cutter even though the clay should work with this block
Attachments
Comments 4

Not a bug, Stonecutter must have only works using mud bricks to craft mud brick stairs, walls & slabs. See MC-251287
Thank you for your report!
However, this issue is Invalid.
You have posted a feature request or a suggestion. This site is for bug reports only.
For suggestions, please visit The Minecraft Feedback Site or visit the Minecraft Feedback Discord server.
Quick Links:
📓 Bug Tracker Guidelines – 💬 Community Support – 📧 Mojang Support (Technical Issues) – 📧 Microsoft Support (Account Issues)
📓 Project Summary – ✍️ Feedback and Suggestions – 📖 Game Wiki
Thank you for your report!
However, this issue is Invalid.
You have posted a feature request or a suggestion. This site is for bug reports only.
For suggestions, please visit The Minecraft Feedback Site or visit the Minecraft Feedback Discord server.
Quick Links:
📓 Bug Tracker Guidelines – 💬 Community Support – 📧 Mojang Support (Technical Issues) – 📧 Microsoft Support (Account Issues)
📓 Project Summary – ✍️ Feedback and Suggestions – 📖 Game Wiki