Hi, @clubside. If you pass --defaults after opening a site shell and changing to your site directory, does export work?
wp db export --defaults
That should ensure custom ports and your character set get passed to mysqldump by WP-CLI, which might clear your ‘Failed to get current character set of the posts table’ error.
(Normally you should not have to change directory after opening a site shell, by the way, this seems to be a bug in Local related to you storing this site on a non-C drive, as @Nick-B suspected in your original post. I can report this to the team to look into.)