The empty chip is getting displayed by default for "Project Type" value which is a mandatory field when new export with source as PPTX is created.
Also when the Template name and file is uploaded, the new template is getting created with the empty value in the Project Type.
The empty chip under the Project Type field has to be removed from the new template creation and allow the users to select the values from the drop down. For other drop down fields, the Select keyword is displayed within the field.
I believe this field is coming from Project creation page. When the Project value is null or empty in the project creation page, it is displaying empty value chip here. the about page of the project creation page is below: