diff --git a/examples/build_system/cmake/import_lib/main/import_lib_example_main.cpp b/examples/build_system/cmake/import_lib/main/import_lib_example_main.cpp
index 0e9ecb3ba4..069296cb03 100644
--- a/examples/build_system/cmake/import_lib/main/import_lib_example_main.cpp
+++ b/examples/build_system/cmake/import_lib/main/import_lib_example_main.cpp
@@ -7,7 +7,6 @@
 #include "esp_log.h"
 #include "esp_vfs_fat.h"
 #include "tinyxml2.h"
-#include "sdkconfig.h" // TODO IDF-11323: remove
 
 static const char *TAG = "example";
 
@@ -30,12 +29,11 @@ extern "C" void app_main(void)
     tinyxml2::XMLDocument data;
     data.LoadFile("/spiflash/sample.xml");
 
-#if !CONFIG_LIBC_PICOLIBC // TODO IDF-11323: subproject builds with default toolchain-esp*.cmake. No additional -specs=picolibc.specs applied
     tinyxml2::XMLPrinter printer;
     data.Print(&printer);
 
     ESP_LOGI(TAG, "Read XML data:\n%s", printer.CStr());
-#endif
+
     const char* to_data = data.FirstChildElement("note")->FirstChildElement("to")->GetText();
     const char* from_data = data.FirstChildElement("note")->FirstChildElement("from")->GetText();
     const char* heading_data = data.FirstChildElement("note")->FirstChildElement("heading")->GetText();
diff --git a/tools/test_build_system/test_cmake.py b/tools/test_build_system/test_cmake.py
index 4464a3d12e..1b944b7f5c 100644
--- a/tools/test_build_system/test_cmake.py
+++ b/tools/test_build_system/test_cmake.py
@@ -1,5 +1,6 @@
-# SPDX-FileCopyrightText: 2023-2025 Espressif Systems (Shanghai) CO LTD
+# SPDX-FileCopyrightText: 2023-2026 Espressif Systems (Shanghai) CO LTD
 # SPDX-License-Identifier: Apache-2.0
+import json
 import logging
 import os
 import re
@@ -48,28 +49,60 @@ def test_build_custom_cmake_project_host() -> None:
     run_cmake_and_build(str(idf_path / 'examples' / 'build_system' / 'cmake' / 'idf_as_lib'), '-G', 'Ninja')
 
 
-def test_build_cmake_library_psram_workaround(test_app_copy: Path) -> None:
+def test_build_cmake_library_with_toolchain_flags(test_app_copy: Path) -> None:
+    logging.info('Building a project with CMake library imported with modified toolchain flags')
+    idf_path = Path(os.environ['IDF_PATH'])
+
+    import_lib_path = idf_path / 'examples' / 'build_system' / 'cmake' / 'import_lib'
+    run_cmake_and_build(
+        str(import_lib_path),
+        '-G',
+        'Ninja',
+        f'-DSDKCONFIG_DEFAULTS={import_lib_path / "sdkconfig.defaults"}',
+    )
+
+
+def check_flag_in_compile_commands(build_dir: Path, flag_to_find: str) -> None:
+    with open(build_dir / 'build' / 'compile_commands.json', encoding='utf-8') as f:
+        compile_commands = json.load(f)
+        # check if compile_commands is an array
+        if not isinstance(compile_commands, list):
+            assert False, f'compile_commands is not a list: {compile_commands}'
+        assert len(compile_commands) != 0, 'compile_commands is empty'
+        for entry in compile_commands:
+            command = entry['command']
+            assert isinstance(command, str), f'command is not a string: {command}'
+            flag_is_found = flag_to_find in command
+            if flag_is_found:
+                continue  # Flag found in command, no need to check response files
+            # check if command contains response file paths starts with @
+            response_file_paths = re.findall(r'@([^\s]+)', command)
+            for response_file_path in response_file_paths:
+                # check if the flag file contains flag_to_find
+                try:
+                    # Strip surrounding quotes and normalize the path
+                    response_file_path = response_file_path.strip('"\'\\')
+                    response_file_path = Path(response_file_path).resolve()
+                    with open(response_file_path, encoding='utf-8') as f:
+                        flags = f.read()
+                        if flag_to_find in flags:
+                            flag_is_found = True
+                            break
+                except FileNotFoundError:
+                    assert False, f'{response_file_path} does not exist'
+            if not flag_is_found:
+                assert False, f'{flag_to_find} not found in {command}'
+
+
+def test_build_cmake_library_psram_workaround(idf_py: IdfPyFunc, test_app_copy: Path) -> None:
     logging.info(
         'Building a project with CMake library imported and PSRAM workaround, all files compile with workaround'
     )
-    idf_path = Path(os.environ['IDF_PATH'])
     (test_app_copy / 'sdkconfig.defaults').write_text(
         '\n'.join(['CONFIG_SPIRAM=y', 'CONFIG_SPIRAM_CACHE_WORKAROUND=y'])
     )
-    run_cmake(
-        '-G',
-        'Ninja',
-        '-DCOMPONENTS=main;esp_psram',
-        '-DSDKCONFIG_DEFAULTS={}'.format(test_app_copy / 'sdkconfig.defaults'),
-        str(idf_path / 'examples' / 'build_system' / 'cmake' / 'import_lib'),
-    )
-    with open((test_app_copy / 'build' / 'compile_commands.json'), 'r', encoding='utf-8') as f:
-        data = f.read()
-        res = re.findall(r'.*\"command\".*', data)
-        for r in res:
-            assert 'mfix-esp32-psram-cache-issue' in r, (
-                'All commands in compile_commands.json should use PSRAM cache workaround'
-            )
+    idf_py('reconfigure')
+    check_flag_in_compile_commands(test_app_copy, '-mfix-esp32-psram-cache-issue')
 
 
 def test_build_cmake_library_psram_strategies(idf_py: IdfPyFunc, test_app_copy: Path) -> None:
@@ -85,13 +118,7 @@ def test_build_cmake_library_psram_strategies(idf_py: IdfPyFunc, test_app_copy:
             )
         )
         idf_py('reconfigure')
-        with open((test_app_copy / 'build' / 'compile_commands.json'), 'r', encoding='utf-8') as f:
-            data = f.read()
-            res = re.findall(r'.*\"command\".*', data)
-            for r in res:
-                assert f'mfix-esp32-psram-cache-strategy={strategy.lower()}' in r, (
-                    'All commands in compile_commands.json should use PSRAM cache workaround strategy'
-                )
+        check_flag_in_compile_commands(test_app_copy, f'-mfix-esp32-psram-cache-strategy={strategy.lower()}')
         (test_app_copy / 'sdkconfig').unlink()