Peoria, Illinois based Caterpillar Inc, the maker of machinery and engines said on Thursday that the company will shutter five U. S. plants and trim approximately 820 positions.

The popular construction-equipment maker is cutting back production and employees as a response to continuous drop in demand.

The company outlined its strategy in September saying that it will cut about 10,000 positions from its workforce and shutter or consolidate around twenty facilities by the end of 2018. On Thursday, Caterpillar said, it has trimmed almost 5,300 jobs till now.

The designated plants that are being closed are in plants in North Carolina, South Carolina, Mississippi and Florida. These facilities mainly produce components for the company's machinery and engines.

Operations of the closed plants will be merged into other company plants or will be given to parts suppliers outside Caterpillar in the coming twelve to eighteen months.

Caterpillar employs approximately 114,000 people globally. The company's revenue in 2016 is expected to thirty eight percent lower than 2012's peak level of $66 billion.

The company is facing a hard time with slipping global sales for mining and construction machinery. It also said it will shut down a packaging plant for electric generators in Newberry, S. C. and that will cost 325 jobs. One more is slated to close in Ridgeway, S. C. where control panels for generators are made and will affect seventy five workers. In the coming year, an Oxford, Mississippi Plant where hose couplings are produced will be shuttered affecting 240 jobs.