This is a known issue and already get fixed, it can be picked up by next release.
We need export xerces and xalan package from system bundle as we endorse it now, and this also can prevent other xerces and xalan bundles get installed.
I just attach a custom.properties which you need copy to $FUSE_ESB/etc folder to override the old one. You may need remove $FUSE_ESB/data folder before you restart the FUSE ESB.
Thank you, Freeman. That did the trick!