I disagree with the term 'traditional' gender since some of the Indigenous communities have 3-4 genders.  As far as that goes, Talmudic Judaism lists 6 genders.

I do question have this on passports when most countries do not recognize more than two genders.

Canada Introduces ‘X’ as a Third Sex Category for Passport Holders
by Niraj Chokshiaug of The New York Times
AUG. 25, 2017

Starting Thursday, Canadians will have a new way to identify their sex on passports and other government documents: “X” will join the options of male and female.

The decision to allow the third category, indicating an “unspecified” sex, is intended to protect the rights of Canadians to identify by the gender of their choice, the country’s immigration department said in announcing the change. The Minister of Immigration, Refugees, and Citizenship said in a statement that the designation was added to advance “equality for all Canadians regardless of gender identity or expression.”

The move is part of a broader push to embrace nontraditional forms of gender expression. A law passed in June amended the Human Rights Act to include nondiscrimination protections for gender identity and gender expression. Canada is not alone. At least eight other countries offer a third option on passports or national identification cards:  Australia, Bangladesh, Germany, India, Malta, Nepal, New Zealand and Pakistan.

That is reminiscent of the 70's Ms. designation.  Ms. Miss. Mrs.  .. amazingly men are able to get by with just Mr.