This is because the necessary iOS platform support isn't installed on the macOS machine. You can fix it by:
open Xcode, go to the menu "Xcode (top left) -> Settings -> Components", and make sure the platform component for the latest iOS version is installed (iOS 18 in this case, in Xcode 16.0):
For more information, you can check this github wiki: The build fails with "No simulator runtime version from ...".