Crafting was not removed no... The ways it worked have just been limited
Before this patch you could 'use' any anvil by right clicking on it to bring up the craft UI but now clicking anvils does nothing... Instead you now can only right click the parts in your inventory to combine them and I assume anvils will be removed yes
A lot of the random junk has been removed as loot from the map floors this patch
It's pretty clear Larian is cutting down overheads this patch and I assume that's due to pressure to keep min specks as each patch adds more graphics to the game but I don't know more than others and your guess is as good as any