I feel you are conflating two things intentions, one is a Government encouraging/forcing companies to make something (emission control/eu privacy laws/lower tax

I feel you are conflating two things intentions, one is a Government encouraging/forcing companies to make something (emission control/eu privacy laws/lower taxes on electric cars/develop a stealth paint) for the good of the country, with a country helping local companies achieve global dominance by funding them thru years of losses (who collects the profits when it succeeds?) Both have government money going to a company, both involve the good of the country. Idk one is to incentivise companies to make something you need, the other is to establish local capabilities that is self sustaining in the future. I guess some agricultural industries fall into that category in western countries