very basic, with the most recent version of alloyed, create 0.5.1b, and regular forge 40.2.4, cogwheels encased in steel casings dont apply with kinetics. i havent tested with much else, but im pretty sure if the steel encased cogwheels dont rotate when a non encased cogwheel interacts with it, its likely that other steel encased kinetics dont work

from a bit of testing on my end after running into the bug, it seems like when encasing a block it doesnt update the su network correctly. the encased block wont transmit stress until the su networks speed changes

the easiest way to replicate that ive found is making a set of 3 cogs or shafts and powering them.

then when encasing the middle block the network stops working.

either changing the rpm or unpowering and repowering the encased block fixes it

In my installation, they do work, but only after stopping the contraption and starting it again, it's also very unpredictable, atleast one encased block always breaks when rotation starts, it's mildly annoying