To replicate torn shot up metal you are best using metal...in this case foil or thin aluminum sheet.
Carve out the panel where you want the damage to be...glue and set in a piece of aluminum. Make sure it blends in as if it was part of the model.



I'll illustrate this on a separate piece of metal not installed so you understand the process of how to create the damage.
Use a knife to score the "tears" in the metal from the backside of the panel.

For entry points push the pin from outside to in. For exit push the pin from inside to out.

Use needle nose pliers or HD tweezers to pull the prescored "tears" to replicate the jagged torn metal

Here is a comparison between the old IMC battle damaged parts they offered in some of their kits.

Scratch build some of the interior components from styrene stock or the aluminum to represent the spars and stringers inside the area where the damage occurred. You can paint this before you inflict the damage...the will allow the bare metal edges of the damaged area to naturally appear after you tear into the metal to create the damage.
Thinning plastic is fine, but if it is handled too much it can become brittle and break...whereas using foil or aluminum provides a more realistic and durable option...IMO.
TIP: Anneal the foil or aluminum to make it easier to work with.



This process works for ships, cars and armor as well.