Container queries is a big deal in my opinion! This has always been an obstacle for designing responsive components - they only respond to the size of the screen so designing them for use in different places in your app is difficult.
But the implementation they’ve chosen with named containers is not my favorite. I’d prefer one that is simply based on the parent component or the closest component with a container attribute set; this would work better alongside tools like Tailwind and CSS-in-JS.
Edit: Nvm after reading more, it looks like the container name is optional and the default behavior is what I described - excellent!