I’m wondering if you are saying that this might be a bug with the query when trying to issue it from the Wikibase.
I don't see why it would be a bug. You should feel free to file a feature request though. Or a request on Commons to improve the
Wikidata Infobox template.
If not I'm wondering if you can suggest an alternative approach that might be able to get the desired information.
You could get the linked Wikidata item and see if it has some sort of location-related property. (With the Eiffel Tower category that's
Q6741108 and then you follow the "category's main topic" property to
Q243 and that has "country" and "location" properties, but with Wikidata it is always hard to know how consistent the data structure is across many items.
Alternatively, there are many third party geolookup APIs which can convert a coordinate into country, city etc.