For anyone landing on this thread looking for a way to convert Cesium terrain into an editable Unreal Landscape, community member @AiAiCip built a paid plugin called GeoLandscape Conformer that automates this workflow. It conforms a UE Landscape to Cesium terrain at the vertex level and handles the Z-fighting cleanup automatically:
I don’t necessarily expect everyone to be able to go buy this, but it can also at least serve as proof that this is possible.