Two top defense contractors told a House committee Wednesday that Congress should consider including increasing taxes as part of a package of changes to reduce the deficit, a sign that industry fear over the impact of spending cuts next year could challenge party orthodoxy.

Associated Press

Top executives from Lockheed Martin, Pratt & Whitney, EADS North America, and Williams-Pyro told the House Armed Services Committee that the $50 billion in projected military spending cuts set to begin in January already has had a chilling impact on military planning, delaying projects and raised the possibility of layoffs before the end of 2012.

The spending cuts were set by the Budget Control Act, which passed last year as a way to clear the way for lawmakers to raise the debt ceiling. Now, some members of both parties are trying to find a way to undo the cuts, known as the “sequester,” but both parties are at odds over how to proceed…