Mangyinseam
I don't quite understand what the issue with describing a paraphilia as a target location error is. It seems quite neutral to me, a theory of what exactly goes wrong that a man develop this kind of thinking.
The benefit of understanding that, to me, is to see how it could potentially be prevented or treated when it's found. Which is better for everyone involved.
It was originally defined as a target location error, because the heterosexual man with the condition is erotically drawn not to heterosexual women but to himself as a woman. One man with AGP has written that for him it was more like romantically falling in love with the female version of himself, and not just a sexual attraction.
I don't see anything wrong with it being defined as a target location error, either. But thinking about the possibility that this error is not just sexual but perhaps romantic clarified some things for me:
There are trans women who are intensely angry at natal women, as we all know. Perhaps that anger is not just misogyny or rage at TERFs etc., but also a form of rivalry or jealousy?
If the women they identify as are the ones they love, then they wish those particular women to be the best of all women, the most attractive, and the most alluring.
Other women are then seen as competition and certainly not as a group that particular trans woman would want to work for in, say, feminism. Identifying as a woman, but not with women then makes sense, as does my observation that quite a few trans women don't support women's general rights at all (though that may also come with identifying with men which many of them do).