What is your issue?

In the recent typing improvements the engine argument for open_dataset was changed from Str to a Literal of xarrays internal engines.
This will cause problems for all third party backend plugins.

We have several possibilities:

1. I don't know if there is a way to know installed backends at type checking time. Then we could add this support. (I doubt this is possible seeing how dynamic these imports are)
2. Is it possible for these plugins to tell type checkers that their engine is valid, i.e. change the type signature of xarrays function? Then we should add a how-to in the docu.
3. Else we should probably revert to using Str.

Any typing experts here that could help?