Houdini to Unreal Engine 5: Custom USD Pipeline (Shape Morphing Object)

For my Honours project I built a psychological horror games called Fractured Realities, where I developed a custom Houdini to Unreal Engine pipeline using USD. In Fractured Realities, I wanted to add a shape morphing animated assets that are driven by the stress system in real time and controlled through Blueprints. I built a procedural asset and later added shape morphing animation using the parameters inside the subnet. This animated asset is exported via USD with proper mesh separation, material bindings and animations by using my custom method. After importing the USD file inside Unreal Engine, the meshes arrive as geometry cache with animations and proxy materials(which is replaced with suitable textures).
The main challenge was getting a multi part animated asset from Houdini to UE5 with correct material assignment for each individual meshes. Without the right setup, meshes were merging randomly with incorrect materials on export, making it almost impossible to control inside Unreal.