Thanks for report. I can reproduce it and you are right. It looks like that cflash algorithm doesn't touch dflash area and left data as it is. I'm not sure if it is kind of "feature". I'll do more investigation.
I use workaround - you can use alternative algorithm located in [YOUR_S32DS_Install]\eclipse\plugins\com.pemicro.debug.gdbjtag.ppc_1.7.2.201709281658\win32\gdi\P&E

Flashing itself fails because of missing data. But dflash is erased. After that you can remove Alternative Algorithm. I'll let you know if I find better way how to erase dflash area. It looks like that in S32DS is not such option.
Jiri