You can assign any VLAN as the Native. In most cases, you may also need to assign the Admin vlan to the same number (an AP1200, for example), or you won't be able to communicate with the management process(es) on the device.
It is also usually a good idea to assign the Native VLAN to the same VLAN on both sides. There have been some changes in more recent versions, but you may get / used to get "Native VLAN Mismatch" messages.
In general, you are correct. But this command is used in a 802.1q tunneling scenario, where we have nested vlan tags. Sending untagged frames across a trunk in the provider network creates problems, which is why this command was invented.
Question We run asr9001 with XR 6.1.3, and we have a very long delay to
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