Don’t know if this will work in your situation, but here’s what I did with my dog, who had severe separation anxiety and who fought the crate. A bit different than being terrified of loud noises, of course, but you might be able to apply the same techniques during periods of noise:
My dog always freaked out when I left or arrived home, and he loathed being crated–he seemed to think it was punishment. But if I didn’t crate him, he’d destroy the house. He also seemed claustrophobic. I adopted him when he was six, so I have no idea how the anxiety problem originated. I suspect he’d never been left alone in a house before–no way did someone live with his destruction for six years. None of the standard advice was helping, so I tried a different approach.
When I’d get home from work, rather than letting him explode out of the crate (he’d run around the house destroying things in the process), I’d put him on lead and take him into the kitchen where he couldn’t hurt anything. I’d sit on a chair in the middle of the room and let him freak out all he wanted–but he couldn’t go far because of the lead. While he was doing this, I did yoga breathing through my nose–slow, deep breaths that were noisy enough to hear. My idea was that he didn’t know how to calm himself, and I was going to teach him how to relax. He loved ear massages, so in addition to the above, any time he got close and calmed down even a little, I’d reach out and massage an ear–even if it only lasted for a second or two before he zinged away again.
I did this every single time I came home for weeks. It was exhausting, but it worked. I finally got him to the point where he didn’t explode out of the crate and destroy things. I’d make him sit before opening the door, and when I opened it, he’d run out and straight for the back door. Then I’d let him in the yard to run off the ya yas. When he’d come in, he’d still be excited to see me, but he wouldn’t destroy things and it wasn’t over the top, full-on freak out like it had been.
Anyway, you could try something like this, only during periods of noise. If you can arrange for noisy periods that would be best, though, because I think if you try this sporadically, it won’t work.
To address the crate issue, how big is the crate? I had a big dog, so the crate was big enough for both of us. I actually got in the crate with him a few times and just hung out for an hour or two. I’d start out by doing ear massages and petting him, then we’d settle in to a nap. This really helped–he stopped fighting the crate once he realized I wasn’t making him stay someplace I wouldn’t go myself.
I was a little cautious about getting into the crate at first, because I was worried about getting hurt if he started freaking out. I didn’t do the crate part of things until I was seeing a lot of improvement with the yoga breathing and ear massages calming him. The first time I got in the crate with him, I left the door open, and I started with me closest to the door so I could get out if needed. He never fought it with me in it, though, so I did a couple of sessions with the door closed. Of course, the first time I closed and latched the door, I panicked for a moment hoping I could open it again from the inside, so it would be best to have someone else around to confirm if you try this.
Anyway, all of this worked. He could never be trusted loose in the house if I was gone, but the crate became a safe place he trusted to stay in when I left. The really cute thing is that he learned to yoga breathe. During our sessions on lead, he’d start breathing loudly through his nose as he calmed down. And for quite sometime thereafter, I’d hear him do the yoga breathing on his own every once in a while while he was relaxing. If I heard him do it, I’d do it too in order to reinforce the idea of calm.
Good luck. I know how frustrating it is to deal with anxiety. I loved my dog, but I don’t ever want another one with that severe a problem. I had him well-managed, but it took a lot of effort to maintain that.