The volume lane in the timeline shows a volume line with a dip near the end. But in the same track as shown in the key editor in lower zone, no information on volume. Why?
Because the first one is VST automation while the second one is MIDI.
It is not apparent at the beginning but these two things are not the same. It is also quite a long story to explain.
In short: you can convert MIDI to VST automation, but not the other way 'round.
All VST instruments have a MIDI input and an audio output. The MIDI spec includes a continuous controller (CC) called Volume, which allows you to adjust the volume of the MIDI notes. You can also adjust the volume of the instruments audio output by automating its fader.
This provides 2 methods for adjusting volume of a VST instrument, but I think fader automation is more common. Is anybody still finding uses for the MIDI volume CC?
Thanks for the clarification. Could one say that the volume automation is like controlling volume from the mixing board, while cc7 is like controlling volume from the synth? Do key editor volume changes make the faders go up and down?
When I was working exclusively with the Yamaha motif XF, I used cc7 a lot. So I’m one of those people that’s used to it. However automation is much easier. I could see it being handy to use both, maybe by using the key editor to make more nuanced volume adjustments, and using automation for broader volume control. I haven’t tried this, just speculating.
In your case: no. I think @Andrew-Smith overlooked a detail on your screenshot. He thought you are using an automation lane to control the volume of the audio return channel of the plugin, which is not the case.
So both items that you showed in your screenshots send volume changes to the VSTi.
VST3 plugins do not receive any midi at all, in fact they only receive VST automation. Cubase will convert any midi to VST automation during playback. If you use CC7 it will get converted into whatever the VSTi says which VST event it would like to receive in this case.
The automation lane in your first screenshot shows exactly this data. However, VST automation does not get retro-translated into MIDI. There are reasons for that like timing and value resolution.
Let me know if you want to hear the details on this story.
In my current case, the instrument being “controlled” is my Motif XF - 10 midi tracks on 10 different midi channels. So in this case I would think it’s midi “control change” being sent to Motif.
Details, only if they differentiate the two. History lesson…keep it brief. 
Might this be a topic that is not very well covered among the thousands of on-line tutorials?
If anyone can find any that address this please let me know. I don’t do tutorials, but just a thought for anyone who does. If Greg Ondo, or the other famous ones do, please link them?
And for consistency sake, wouldn’t it be best to call it “vst host automation?”
Well, in that case the data actually becomes MIDI data again. Since VST has vastly superior resolutions for positions as well as values the data gets quantized in the process.
A noticable difference is that conventional midi data does not move the volume and panorama fader of the midi channel in Cubase’s mixer, while VST automation does.
VST automation also has the read and write buttons, that are also present on audio channels.
The two systems can influence each other and will be displayed together in the key editor:
The dots are MIDI CC7, the thinner line is VST automation for MIDI Volume.
And thus we finally circle back to your initial question, to which the answer is: you have to enable Read on the automation lane.
Sorry that it took so long.
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