I finally figured it out after getting it to work easily in Ableton.
The error message: "Universal Control Limited or no connectivity to “Faderport 16 192.168.1.xxx” has nothing to do with the problem. I dont know why Presonus use this software as it does nothing. Also, if you have a faderport.dll file, delete it, Cubase will black list it anyway and it is not needed. Then in Cubase 9.5 or 10, go to Studio - Studio Setup - Remote Devices, click on the + button top left corner, select Mackie Hui, midi in and midi out change to Faderport. Also in Midi port set up, make sure Windows Midi In Faderport is Active and also Windows Midi Out is active (not inactive). This last step took me some time as I could not make Windows Midi Out active by clicking on it, but somehow I changed it to active and it all works a treat.
Thanks for all the suggestions. Now I can get on to enjoying and exploring Cubase 10.