Does this hadith mean that the status of the Quran reciter in Paradise is determined by the extent of his recitation in this world, and that the inability to recite fluently due to being non-Arab may lead to a lower status?

It will be said to the companion of the Qur'an on the Day of Resurrection, upon his entry into Paradise: "Read and ascend, and recite distinctly, as you used to recite distinctly in the worldly life, for your station is at the last verse you recite." The companion of the Qur'an is meant to be one who adheres to it in recitation and action, and this virtue is attained by one who memorizes the Qur'an and masters its recitation.

This hadith does not mean that whoever has not memorized the Qur'an will be in the lowest ranks of Paradise. High ranks are attained through other righteous deeds such as prayer, charity, fasting, remembrance of Allah, fulfilling people's needs, and other doors of goodness and guidance. The Prophet, peace and blessings be upon him, clarified that the people of Paradise will differ in their stations, and that these stations are not restricted to prophets, but are attained by whoever believes in Allah and confirms the messengers. He also mentioned that there are deeds that expiate sins and raise one's ranks, such as performing ablution thoroughly, taking many steps to the mosques, and awaiting prayer.