Document to be updated:
Performing a search shows there are a number of tar import failure messages. Here are a few.
https://community.sophos.com/sophos-xg-firewall/f/discussions/138277/tar-import-fails/514532?focus=true
I was able to get it to work but only after a lot of time spent. I had to export from one firewall, open with 7zip, edit carefully with Notepad++, save and drag/drop back into 7zip, replacing the existing Entities.xml.
I then took a look with VSCode. I added the Xml Complete extension and this shows where the errors in the files are.
I had tried the Red Hat extension but it has other dependencies that I didn't want to install.
I introduced a couple of errors into a file and see these:
^^ Hovering over the "2" in the left pane.
^^ Error indication on the tab, in the right navigation pane and the yellow squiggle under the text.
I was then able to correct the syntax and have a good file to import.