Digital audio suffers from dynamic compression for the fake loudness
wars and vinyl cut from digital audio is for the most part unlistenable
because of the dynamic compression. The only reason the record company
would add dynamic compression to a digital to vinyl transfer is to
destroy the sound quality.
This statement is incorrect. When we master an LP we like to get the original digital master, the one before all the stuff (DSP) that is done for the digital release. The original will not have the compression, which is not needed for LP in the vast majority of cases, and it often is not equalized. In this way we can make an LP that will sound better than the commercial digital release.
The industry likes to compress the digital release master so it will play better in a car. There is no expectation of this for the LP, so no compression. The less DSP, the better the sound...