The physical proximity of the TVS diode is relevant for protection purposes. By placing the TVS diode physically close to the USB port, it does a better job at protecting than if you placed it further away. That's because there's impedance of the trace that isn't shown in this circuit diagram that has to be considered for extremely fast transients like what a TVS diode aids with.

Yesn't. They don't operate at DC, so things like placement do matter. TVS diodes should be placed right next to the connector so it has the lowest possible inductance - which means the downstream hardware will see a less intense voltage spike. See [0], for example.

It's a similar story with capacitors, which should be placed as close to the power-consuming part as possible, with the capacitor in-between the voltage rail and the component. See [1], for example.

That doesn't mean it isn't going to do anything, though! It'll still work (especially bulk capacitors aren't very critical when it comes to placement), it'll just be less effective.

[0]: https://fscdn.rohm.com/en/products/databook/applinote/discre...

[1]: https://www.renesas.com/en/document/apn/an105-pcb-design-and...

This should be the top comment.