Blender exported sword distorts on rotation when set as a child object

As the title says, I tried everything I could think of (I applied the rotation, scale and location in Blender) but still if I put the sword as a child of an object it will distort when rotating it on the Z axis. Here's a screenshot of inside Unity and Blender export page.

 

Does the parent object have a non-uniform scale?

 

It doesn't. It's set to 1,1,1. I managed to fix the issue by making my player cube with the exact same dimensions in Blender, then exporting it as .fbx and using that instead as my player model. Now it all works fine. For some reason it didn't want to work when I used Unity's 3D Cube.

 

If that was a Unity primitive cube in the screenshot that you posted, then you must have adjusted the scale to make it taller than it is wide. If the sword is a child of that object then that same scale will be applied to the sword.

 

Yes that is the cube. Thanks for the info!