It doesn't make sense to apply the same prior to "the CIA planted COVID-19 in the Huanan Seafood Wholesale Market", because there are many such markets in China, and only one BSL-4 facility. You might think 1% is a reasonable prior for "the CIA planted COVID-19 in some market in China", but then it wouldn't make sense to adjust the probability based on the outbreak location as I did.
What you're doing is like starting with a prior probability of 10% that a random individual lives in Maui, and 10% that a random individual lives in Kawaii. Then you learn that an individual lives in Hawaii, and you try to adjust both probabilities based on Hawaii's population in relation to the world population. Bayes' theorem gives ~99.8% each for P(Maui | Hawii) and P(Kawaii | Hawaii). The results are obviously impossible, but the argument wasn't structurally wrong, you just started with bad priors. You should have started with P(Kawaii) ~= 0.001%, giving P(Kawaii | Hawaii) ~= 5%, which is correct.