He's learnt that if he makes a fuss the nasty thing will go away (which in his mind makes him think he was right to be scared). He has to relearn that if he makes a fuss nothing happens but if he doesn't make a fuss then he will get something nice.
This is going to take a considerable amount of time and patience on your behalf but as you seem to have his trust you will get there in the end.
Tobey does the same when we are out but I put him on a short lead, tell him that it is just a bag or whatever and keep walking. I sometimes make him sit and wait for whatever it is to go by and explain to the person that he might jump up - this deters them from coming over to say hello![]()
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