I doubt this is aimed at Western markets. Mostly mainland China (even Apple with its arrogant "digital privacy" marketing, fully cooperates with the CCP in mainland China) and possibly some other countries like Pakistan or nations in Africa without a big PC installed base.
The latest version of Harmony is supposed to be fully independent with its own kernel, userland, UI/UX, application format and all that jazz. Earlier versions were based on AOSP.
Probably to have a more closed system so they can control the 'ecosystem'. I don't think it's because of 'ccp', as pointed by op, but more likely due to good ol' capitalism, Huawei is playing the same game in the same league as Apple, google, Microsoft.
I recommend Red Star OS
Lol. Is this meant as a joke? If not I'm gonna turn your question back to you, what would be the point?