>The tech industry in CA is basically Chinese and Indians.
Funny that you should mention the Chinese. Although China is 91% Han, the Han are themselves very divided by language and regional origin/culture. The emergence of Taiwan added another division to the mix; as I understand it, there are significant tensions between the mainland and Taiwanese Chinese communities in the US. (It would be a surprise if there were none.)
That said, there are zero calls for a need in the US for legal protection of the mainland-born Chinese from Taiwanese, or vice versa.[1] They have (and certainly their children have), in the US, by and large moved beyond such divisions. Just as Catholic and Protestant Irish did so in the US and the rest of the Anglosphere outside the UK and Ireland. I bet that if everyone of South Asian ethnicity in the US were born and raised in the US, there would similarly be zero calls for this law that Newsom vetoed.
You mentioned the Indian dominance of the California tech sector. I know you intend that to be a veiled threat, but that to me says that unwary Americans unnecessarily imported caste divisions en masse in a place where such divisions did not previously exist (and there was and is no shortage of other, preexisting divisions). From this non-Indian, non-Chinese perspective, if (again, if) there is a real problem with caste-based discrimination in the US among South Asians, it seems like South Asians aren't doing as well as the Chinese in terms of assimilation.[2] Is this really the place you want to make a stand on?
[1] Maybe I've overlooked rampant blatant instances of discrimination. But I doubt it.
[2] Again, I am not differentiating between the alleged oppressors and alleged victims. As I have said, their dispute should never have occurred on American soil in the first place. It is not our business and not our concern.