Yes, capitalists are the natural political enemy of the working class. You do not earn a billion dollars, you rob others of a billion dollars, and it’s only natural that people who did that will not have the best political intentions in mind. They all need to be kept at bay (actually just stripped of wealth and sent to do community service for a long time or smth).
They still allow capitalists to become billionaires. It's the ones the people in power don't like that get life in prison or execution. Enemies of the party, not enemies of the working class.
Or, hear me out, they could also subsidize their industries where it matters.
They do and China also puts tariffs on those industries to protect their own. But no other country, save for the US, has the funds China does. The rest of us can't just subsidize entire industries until international competition falls apart completely. There are subsidies to help an industry develop, and there's economic warfare.