diff --git a/dll/win32/shell32/CNewMenu.cpp b/dll/win32/shell32/CNewMenu.cpp
index 6c8e9354fc3..b86f6ecc0c8 100644
--- a/dll/win32/shell32/CNewMenu.cpp
+++ b/dll/win32/shell32/CNewMenu.cpp
@@ -33,6 +33,8 @@ CNewMenu::CNewMenu() :
     m_idCmdFirst(0),
     m_idCmdFolder(-1),
     m_idCmdLink(-1),
+    m_bCustomIconFolder(FALSE),
+    m_bCustomIconLink(FALSE),
     m_hIconFolder(NULL),
     m_hIconLink(NULL)
 {
@@ -42,6 +44,10 @@ CNewMenu::~CNewMenu()
 {
     UnloadAllItems();
 
+    if (m_bCustomIconFolder && m_hIconFolder)
+        DestroyIcon(m_hIconFolder);
+    if (m_bCustomIconLink && m_hIconLink)
+        DestroyIcon(m_hIconLink);
     if (m_pidlFolder)
         ILFree(m_pidlFolder);
 }
@@ -768,10 +774,32 @@ HRESULT WINAPI
 CNewMenu::Initialize(PCIDLIST_ABSOLUTE pidlFolder,
                      IDataObject *pdtobj, HKEY hkeyProgID)
 {
+    const INT cx = GetSystemMetrics(SM_CXSMICON), cy = GetSystemMetrics(SM_CYSMICON);
+    WCHAR wszIconPath[MAX_PATH];
+    int icon_idx;
+
     m_pidlFolder = ILClone(pidlFolder);
 
     /* Load folder and shortcut icons */
-    m_hIconFolder = (HICON)LoadImage(shell32_hInstance, MAKEINTRESOURCE(IDI_SHELL_FOLDER), IMAGE_ICON, 16, 16, LR_SHARED);
-    m_hIconLink = (HICON)LoadImage(shell32_hInstance, MAKEINTRESOURCE(IDI_SHELL_SHORTCUT), IMAGE_ICON, 16, 16, LR_SHARED);
+    if (HLM_GetIconW(IDI_SHELL_FOLDER - 1, wszIconPath, _countof(wszIconPath), &icon_idx))
+    {
+        ::ExtractIconExW(wszIconPath, icon_idx, &m_hIconFolder, NULL, 1);
+        m_bCustomIconFolder = TRUE;
+    }
+    else
+    {
+        m_hIconFolder = (HICON)LoadImage(shell32_hInstance, MAKEINTRESOURCE(IDI_SHELL_FOLDER), IMAGE_ICON, cx, cy, LR_SHARED);
+    }
+
+    if (HLM_GetIconW(IDI_SHELL_SHORTCUT - 1, wszIconPath, _countof(wszIconPath), &icon_idx))
+    {
+        ::ExtractIconExW(wszIconPath, icon_idx, &m_hIconLink, NULL, 1);
+        m_bCustomIconLink = TRUE;
+    }
+    else
+    {
+        m_hIconLink = (HICON)LoadImage(shell32_hInstance, MAKEINTRESOURCE(IDI_SHELL_SHORTCUT), IMAGE_ICON, cx, cy, LR_SHARED);
+    }
+
     return S_OK;
 }
diff --git a/dll/win32/shell32/CNewMenu.h b/dll/win32/shell32/CNewMenu.h
index 6d0bbe6b927..92f65af1426 100644
--- a/dll/win32/shell32/CNewMenu.h
+++ b/dll/win32/shell32/CNewMenu.h
@@ -59,6 +59,7 @@ private:
     CComPtr<IUnknown> m_pSite;
     HMENU m_hSubMenu;
     UINT m_idCmdFirst, m_idCmdFolder, m_idCmdLink;
+    BOOL m_bCustomIconFolder, m_bCustomIconLink;
     HICON m_hIconFolder, m_hIconLink;
 
     SHELLNEW_ITEM *LoadItem(LPCWSTR pwszExt);
diff --git a/dll/win32/shell32/CShellLink.cpp b/dll/win32/shell32/CShellLink.cpp
index 1944fb2f936..f83c6a9654e 100644
--- a/dll/win32/shell32/CShellLink.cpp
+++ b/dll/win32/shell32/CShellLink.cpp
@@ -3155,11 +3155,21 @@ HICON CShellLink::CreateShortcutIcon(LPCWSTR wszIconPath, INT IconIndex)
 {
     const INT cx = GetSystemMetrics(SM_CXICON), cy = GetSystemMetrics(SM_CYICON);
     const COLORREF crMask = GetSysColor(COLOR_3DFACE);
+    WCHAR wszLnkIcon[MAX_PATH];
+    int lnk_idx;
     HDC hDC;
     HIMAGELIST himl = ImageList_Create(cx, cy, ILC_COLOR32 | ILC_MASK, 1, 1);
-    HICON hIcon = NULL, hNewIcon = NULL;
-    HICON hShortcut = (HICON)LoadImageW(shell32_hInstance, MAKEINTRESOURCE(IDI_SHELL_SHORTCUT),
-                                        IMAGE_ICON, cx, cy, 0);
+    HICON hIcon = NULL, hNewIcon = NULL, hShortcut;
+
+    if (HLM_GetIconW(IDI_SHELL_SHORTCUT - 1, wszLnkIcon, _countof(wszLnkIcon), &lnk_idx))
+    {
+        ::ExtractIconExW(wszLnkIcon, lnk_idx, &hShortcut, NULL, 1);
+    }
+    else
+    {
+        hShortcut = (HICON)LoadImageW(shell32_hInstance, MAKEINTRESOURCE(IDI_SHELL_SHORTCUT),
+                                      IMAGE_ICON, cx, cy, 0);
+    }
 
     ::ExtractIconExW(wszIconPath, IconIndex, &hIcon, NULL, 1);
     if (!hIcon || !hShortcut || !himl)
diff --git a/dll/win32/shell32/dialogs/filedefext.cpp b/dll/win32/shell32/dialogs/filedefext.cpp
index 03890b20a83..959b708ad1d 100644
--- a/dll/win32/shell32/dialogs/filedefext.cpp
+++ b/dll/win32/shell32/dialogs/filedefext.cpp
@@ -1085,6 +1085,7 @@ void CFileDefExt::UpdateFolderIcon(HWND hwndDlg)
     // create the icon
     if (m_szFolderIconPath[0] == 0 && m_nFolderIconIndex == 0)
     {
+        // Windows ignores shell customization here and uses the default icon
         m_hFolderIcon = LoadIconW(shell32_hInstance, MAKEINTRESOURCEW(IDI_SHELL_FOLDER));
     }
     else
diff --git a/dll/win32/shell32/iconcache.cpp b/dll/win32/shell32/iconcache.cpp
index 4af8d2a5c0d..99af8f91eab 100644
--- a/dll/win32/shell32/iconcache.cpp
+++ b/dll/win32/shell32/iconcache.cpp
@@ -122,10 +122,7 @@ static HICON SIC_OverlayShortcutImage(HICON SourceIcon, BOOL large)
 
     /* search for the shortcut icon only once */
     if (s_imgListIdx == -1)
-        s_imgListIdx = SIC_LoadOverlayIcon(- IDI_SHELL_SHORTCUT);
-                           /* FIXME should use icon index 29 instead of the
-                              resource id, but not all icons are present yet
-                              so we can't use icon indices */
+        s_imgListIdx = SIC_LoadOverlayIcon(IDI_SHELL_SHORTCUT - 1);
 
     if (s_imgListIdx != -1)
     {
diff --git a/dll/win32/shell32/wine/classes.c b/dll/win32/shell32/wine/classes.c
index 0247add2710..c7919ca7478 100644
--- a/dll/win32/shell32/wine/classes.c
+++ b/dll/win32/shell32/wine/classes.c
@@ -352,7 +352,7 @@ BOOL HCU_GetIconW(LPCWSTR szClass, LPWSTR szDest, LPCWSTR szName, DWORD len, int
     {
         ret = HCR_RegGetIconW(hkey, szDest, szName, len, picon_idx);
         RegCloseKey(hkey);
-	}
+    }
 
     if (ret)
         TRACE("-- %s %i\n", debugstr_w(szDest), *picon_idx);