Date & Time: Since the graphical update
Frequency: Since the graphical update
World name: Lamia
Character name: Azul Evergarden
Steps:
1. Make any emote in-game
2. Most noticeable on the smaller lips options.
3. The upper lip is very small and the mouth corners extend beyond the lips, which shouldn't be happening and didn't happen before the graphical update.

I have prepared a link with some examples for my Au Ra and a Miqo'te:
https://imgur.com/a/43I32so