As Karnataka poll looms, CM announces 17% salary hike to pacify agitating govt employees

Washington: In a move that stunned markets and political observers alike, US President Donald Trump on Wednesday announced a 90-day pause on his sweeping tariff regime—granting relief to all countries except China. Just a day earlier, such a reversal had seemed unimaginable.

Trump said the pause was prompted by the cooperative stance of over 75 nations, which had refrained from retaliating against his earlier tariffs. These countries, he claimed, chose negotiation over confrontation. During the pause, a reduced reciprocal tariff of 10% will be in place.

However, Trump made it clear that China would face no such leniency. Citing Beijing's alleged trade abuses and “lack of respect” for global markets, he announced an immediate hike in tariffs on Chinese imports to 125%, up from the earlier 104%.

“At some point, hopefully in the near future, China will realize that the days of ripping off the US and other countries is no longer sustainable or acceptable,” Trump wrote on Truth Social.

Despite repeatedly resisting pressure from within his own party and business circles to halt the tariff spree, Trump’s sudden pivot was reportedly triggered by alarm bells inside the US Treasury Department. According to CNN, Treasury Secretary Scott Bessent raised red flags about a dramatic selloff in the bond market, which, if left unchecked, could spiral into a financial crisis.

Speaking to the media after the announcement, Trump seemed to suggest that the decision came from instinct rather than strategy.

“We didn’t have access to lawyers… We wrote it up from our hearts. You have to be flexible,” he said.

The markets responded instantly. The Dow Jones Industrial Average surged over 2,500 points, while the Nasdaq jumped 12.2%, its best day in 24 years. The S&P 500 rose 6%, oil prices climbed more than 4%, and the dollar strengthened.

Impact on India

India, which had been hit with a 26% customized reciprocal tariff, saw its markets rattled in recent weeks. The pause offers a much-needed breather, as New Delhi works to finalize a multi-sectoral trade deal with Washington.

Ministry of External Affairs Spokesperson Randhir Jaiswal confirmed that talks are underway. “We hope to address these issues and conclude this agreement expeditiously,” he said, underlining the strong economic ties between the two nations.

Tumakuru: Karnataka Home Minister G Parameshwara announced on Sunday that the much-anticipated caste census report will be formally discussed at a special meeting of the state Cabinet scheduled for April 17. The meeting will focus on the findings and recommendations of the report, which has recently been circulated among ministers.

Speaking at Tiptur in Tumakuru district, Parameshwara noted that the caste census was conducted to ensure equitable access to essential services, education, and employment for downtrodden communities.

“The Congress government, between 2013 and 2018, spent crores of rupees to gather caste-based data from 1.37 crore families,” he said. “However, implementation was delayed by successive governments for various reasons.”

He emphasized the need for careful and informed deliberation and urged political leaders to avoid commenting on the report without studying it. “Nearly 80 per cent of the information in the report is accurate,” the Home Minister said, reinforcing the document’s credibility.

The Cabinet’s decision following the April 17 meeting could have far-reaching implications on Karnataka’s reservation policy and social equity framework.

Bengaluru: The leaked contents of Karnataka’s long-awaited caste census suggest a significant policy shift—extending the creamy layer rule to Category 1 castes under the backward classes reservation list. This category includes some of the most disadvantaged nomadic and microscopic communities.

The commission, headed by Jayaprakash Hegde, has reportedly recommended that the creamy layer policy—already applied to categories 2A, 2B, 3A, and 3B—be extended to Category 1. The report notes that some groups within Category 1 have achieved considerable progress socially, economically, educationally, and politically, thus justifying the introduction of a filtering mechanism.

The panel emphasized the growing inequality within Category 1 itself, stating that children from impoverished farming and labourer families are unable to compete with the children of wealthier households in the same category.

“The competition is stiff here and there is a threat that this category may become one populated by the rich in due course if the creamy layer policy is not implemented,” the report reportedly states.

It further underlines that to fulfil the constitutional goal of equitable opportunities, the policy must be introduced across all categories of backward classes, including Category 1.