I accidentally marked this as solved before testing it.
It does indeed pop up for user to add. But it does so even if there is a populated field with the same name (that would normally just convert into new entity). So I think it’s still not fixed, but I can’t reopen the other post.
Expected behaviour:
If the entity has the field name equal to the required field. Simply fill it in without asking user. If in bulk, notify user that some entities are missing a required field and to set the default.