+1
One workaround for this currently is to render a segment of video separately and import that into Cubase, however that adds a time-consuming step prior to beginning work as well as losing the time reference.
As Cubase video handling is done by Quicktime, I suspect the problem here would be that actually cutting the video might require the non-free QuickTime Pro to be installed, and while that additional cost is not likely to be an issue for those who need this function, it would need to be optional for those who don’t.
IIRC some years ago Cubase used to use open source libraries for video handling; a return to that would offer a solution for all.