Unable do update a kapp package with similar error message regarding 'downgrading' a package:
tanzu package installed -n tap-install get cert-manager
| Retrieving installation details for cert-manager... I0901 14:55:23.613832 78057 request.go:665] Waited for 1.047611389s due to client-side throttling, not priority and fairness, request: GET:https://##.##.##.##/apis/cert-manager.io/v1?timeout=32s
USEFUL-ERROR-MESSAGE: Stopped installing matched version '1.7.2+tap.1' since last attempted version '1.7.2+tap.1-rc.3' is higher. hint: Add annotation packaging.carvel.dev/downgradable: "" to PackageInstall to proceed with downgrade
Custom kapp packages deployed by TMC SaaS or SelfManaged to workload clusters.
When a package that was perviouslly installed has a pre-release or build release that is higher than what you are trying to upgrade to this will cause failures related to 'downgrading' a package. kapp will not allow for package downgrades. Standard Semantic Versioning
<valid semver> ::= <version core>
| <version core> "-" <pre-release>
| <version core> "+" <build>
| <version core> "-" <pre-release> "+" <build>
When kapp validates package builds, metadata will be ignored when determining version precedence. Thus two versions that differ only in the build metadata, have the same or lower version from the perspective of kapp controller and will be considered a package downgrade. To resolve this; attempt to upgrade the package to a 'version core' higher than the currently deployed version. Do not select a package where the 'pre-release' or 'build' differs but the 'version core' is the same.