Those photos look like normal wear to me. If it was a hub cone, I'd say it was just broken in and has a lot of wear left.

One of the problems with cheap parts is the races & cones should never have been chromed (or painted). The chrome wears quickly down to the base metal, changing the adjustment of the part and contaminating the grease.

If it was me, I'd lightly sand, or steel wool the race to get rid of the ragged edge of the chrome, then grease, and reassemble with new bearings if necessary. 400/600/1000 grit or so paper.

Watch out for pitting on cones. Or, probably more likely on headset races is washboarding (indexing).

A little friction on the headset is less of an issue than other bearings on the bike. I've got some pretty bad washboards on one bike, and just don't notice it. Someone suggested in that case to remove the bearing retainer and add one extra bearing, but I haven't done it yet.