Most U.S. industrial businesses cut spending this year

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Troy, N.Y.—Nearly three-quarters (73%) of U.S. industrial businesses have cut spending this year, according to the “Industrial Indicator Survey” conducted by engineering search engine GlobalSpec.

Nonetheless, 61% of respondents to the survey said they plan to spend the same as or more than they did in the first half in the second half. Half of industrial companies expect revenue this year to be less than it was in 2008. To adjust to the shortfall, 51% indicated they would be reducing capital expenditures, 48% are cutting back on travel, 44% are reducing head counts and 43% are reducing work schedules. To generate new revenue, 54% of respondents said their company is focused on expanding into new markets, while 46% are focused on new product development.

The survey of engineering and manufacturing professionals was conducted online in June.

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