It is more likely they had a script which placed a parameter in the wrong field, due to something like using positional arguments. Or they misread the documentation for some interface.
Still incompetence. And I would love to see my theory confirmed or refuted.
This is not a problem of devices and interfaces. You are supposed to generate the wrapping key on the HSM itself. And the HSM ensures that the keys are generated with a strong enough security parameter, not some silly 1 byte string. Then the HSM wraps the key inside of itself and exports it in the encrypted form. You take this ciphertext, and the wrapping key and send it over to the other party.
So if they generate the wrapping key with a funny value, that means they didn't use HSM to generate it but their system openssl. But then, HSMs typically don't allow you to export private keys without wrapping them first unless you first tweak around with security flags (not recommended at all), or simply generate the private key using your system openssl too (LMFAO).
Source: I work for one of the major HSM vendors.
If you didn't know better, you'd think this had been done on purpose by some three-letter agency.
To be clearer, I’m not sure these keys were generated, but being able to use weak keys is something you may want to do for testing.