Looks very similar to the ones I've had in the past (I switched all my keyboards to MIDI ones with native USB interface, so no converter is required anymore) and I'm pretty sure they are all made in China but I never had the problems you described here. If you bought that cable from a local shop, I'd go there asking for a replacement and/or test it with the reseller.
Hm, in this case I'm afraid I can't be of much help, my experience is on Windows architecture only (and never known of an "Alpine" distrib), but based on your system and software description I suspect the problem lies on the PC side, not the cable adapter. You described a "chain" of softwares and drivers, and it's hard to understand if one of the elements is causing the issues, so you could start using a "shorter" version i.e. using just something to show "raw" messages data from the MIDI port (i.e. I don't know if ALSA-MIDI has kinda "logging" or there's another Linux program to dump recveived MIDI data).
Or, to make sure if the problem is caused on the calbe/keyboard side or your PC, just ask someone to borrow you a MIDI keyboard with USB output and play some notes: if the problem is still there, the culprit is inside your PC, otherwise it's either the cable (more likely, and in this case ask for a replacement or a refund and buy it from another shot/site) or the keyboard (less likely, but cannot be ruled out).
this is about "solving" your problem.
But you also wrote:
This is obviously appreciated in spirit because it corresponds to the spirit of all of us hobbyists. So if you still want to try building your own MIDI to USB converter, that's obviously a good thing, but unfortunately I can't give you much advice, especially since you're using Linux, which I have no experience interfacing with MIDI, VST, or anything else (I also work with Linux, but not in these areas).
Furthermore, getting a system to "see" a MIDI device from USB isn't exactly easy; the simplest solution is usually to use the Arduino serial port to send the messages via USB, along with a specific software (on Windows, "Serial MIDI converter" or, better yet, "Hairless MIDI" I think can run on Linux too) that acts as a "bridge," meaning it "maps" the data coming from the serial port to a MIDI device. Sorry, I can't tell you more about it right now.