Well of course they're going to hurt zombie companies, that's the whole point. That's literally why everyone voted for Elon Musk's DOGE.
Every company is another company's competitor and it's not fair that some companies have to compete against other companies whose profit margins are padded by taxpayer dollars... To some degree it's like being forced to subsidize one's own competitor.
For SpaceX, we can deduct the amount they saved which would have gone to NASA. For Tesla, we can look at foreign gov subsidies which went to foreign car companies like BYD, Toyota, etc... because it wouldn't make sense to target just Tesla... Given that governments of all nations play a key role in propping up their national auto companies.
Every company is another company's competitor and it's not fair that some companies have to compete against other companies whose profit margins are padded by taxpayer dollars... To some degree it's like being forced to subsidize one's own competitor.