One major goal for native HarmonyOS applications in Shenzhen is to account for more than 10% of China's total by 2024.

Ambitious, but I believe they could do it if they wanted to. I don't know what their numbers look like right now and how close to that they reached. As far as I am aware since it is fully open-source this shouldn't be something that Huawei alone has to spearhead. I've used Huawei phones before and I like it, but I have zero experience with it as a desktop OS.

However, some big apps and smaller developers are still on the fence because of issues like having to share revenue with app stores

It seems like the Chinese government should nationalize the app stores and provide those services for free. Would go a long way to counteract the software tech monopoly of Microsoft and Apple.

This read like some local region scheme to boost development. I still think it's a better plan to establish a central fund for open sources and maybe even run a bureaucracy unit just dedicated to developing softwares for the public.