According to https://bugzilla.mozilla.org/show_bug.cgi?id=2083449 they actually did use an HSM? Though some of the jargon is a bit beyond me, maybe this will finally get me to learn more PKI stuff.
> The hardware used for each of the issuers is in the attached file. These HSMs are FIPS 140-2 Level 3 compliant.
The most likely explanation is that they generated the weak key externally, imported it into the HSM, generated the CSR from it, and finally had Root CA sign it.
A FIPS HSM does not forbid one to import keys into it.
My vague and inexperienced read on their description boils down to "we were doing something weird and non-standard as part of our key ceremony because we intended these keys to be exported, and because of that process weirdness we blundered and gave the HSM faulty instructions."