With respect to "Othering", use of the term Oriental in Oriental Adventures to indicate they're different from the generic is kind of the point. In other words, "These aren't your standard fantasy ideas as written by people of European descent using their own cultural histories as the default." The term is supposed to mark them as different - as "other". That, however, doesn't imply anything about being lesser or the default being special in this particular context. In fact, the presumption in publishing it at all had been to provide something that people clearly wanted to check out and incorporate into their gaming. How exactly that makes them less than white is beyond me.
That said, there is a lot of baggage associated with the term Oriental in Western societies. The mysterious East, the machinations of Fu Manchu, the hidden plateaus of secret societies, the exotic tales of Arabian nights, all stereotyped and fetishized for the enjoyment of imperialist societies of the 18th-early 20th centuries yet blanketed under one term and its derivatives "the Orient". That is why the term should be considered with caution, if you ask me.
That doesn't mean that someone shouldn't try to develop source material based on non-European cultural influences. I'd say "Bring them on" instead. Just put good research into them and cover them with some cultural sensitivity rather than grossly stereotype.