I measured the distance between the centre lines of 16R/L of SYD on Google maps; the distance is 1035 meters, the minimum allowable distance for independent approaches. This means there is not much margin for deviation from the localizer, more than 210 meters will get you in trouble, not taking into account radar inaccuracies.
When the crosswind suddenly drops by 30 kts, soon you'll be moving towards the NTZ with 30 kts. That means that within 15 seconds you're well into the NTZ.
The surprising part is that YOU as infringing aircraft were vectored off. According to the ICAO PANS-ATM, the other aircraft should be instructed to climb / turn away from the infringing aircraft. I am not sure what the rationale behind this rule is but I guess the idea is that the infringing aircraft is not capable of following a localizer, so he might not be capable of following any instructions at all.