Do you see the term "Asian" as having the same weirdness? It's even more geographically & ethnically overbroad than the word it replaced, as well as compared to 'white/european/caucasian'.
To my recollection, a big part of the reason the former term was shunned is because it verbally homogenized distinct ethnicities from south-east asia that would prefer to identify distinctly... only to now double down in literally including the entirety of the largest continent in the world! (which I guess just returns to the more historical use of the former term, but whatever) :)