Since the "sdboot"on cboot may originally designed for NX devkit (sdcard) module, it is possible that driver is trying to open sdmmc0 but not sdmmc3.
Ok, that answers. The sd lines on our carrier board is on sdmmc3. Thank you.
Just to confirm and conclude:
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If external devices(ex: sd card) are used for booting, only rootfs can be moved to external device. Kernel and other bootloader components shall be in eMMC.
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For production modules of Xavier-NX, it is not possible to have a single sd blob image which can bring up the system.
Please confirm.