Yale scholar Gautam Mukunda has criticised Donald Trump’s decision to impose a $100,000 fee on H-1B visas, warning that it would harm the US’s ability to attract world-class talent. According to Mr Mukunda, the policy change is economically unsound and would put the US at a disadvantage in the global talent race.
Mr Mukunda emphasised that top graduates, particularly from institutions like the Indian Institutes of Technology (IITs), are highly sought after by other countries. He believes that the US is needlessly throwing away this advantage, as every other country would eagerly pursue these talented individuals.
“Every country in the world would kill to get the best IIT graduates. But America is throwing this asset away for no reason. This H1B visa decision makes no sense at all,” he said.
See the tweet here:
“Every country in the world would kill to get the best IIT graduates. But America is throwing this asset away for no reason. This H1B visa decision makes no sense at all,” says Yale scholar Gautam Mukunda pic.twitter.com/nd4XqKX2P2
— Shashank Mattoo (@MattooShashank) September 23, 2025
He also noted that American business leaders are unhappy with the policy but remain silent due to fear of reprisal from the President, suggesting that the policy is more of a diversionary tactic than a meaningful reform.
Reacting to his statement, one user on X wrote, “It’s wild because the US literally benefits from decades of India’s investment in education, then turns away top talent when it’s time to reap the rewards. The irony is that those same grads end up fueling innovation back home or in competing economies.”
Another commented, “Bro, calm down, Microsoft, NVIDIA, Apple, etc, are trillion-dollar companies and they will pay a premium for the IITians.”
Economists warn that Trump’s H-1B visa fee hike could harm US economic growth, as American tech firms heavily rely on foreign talent, particularly from India. By making visas more expensive, the administration risks deterring top engineers, scientists, and coders from joining the US workforce, ultimately affecting the country’s competitiveness and innovation. Today, Indian-origin executives run some of the top US firms, including Google, Microsoft and IBM, while Indian doctors make up nearly 6 per cent of the US physician workforce.
About H1-B Visa
Notably, US President Donald Trump’s recent executive order has introduced a $100,000 application fee for new H-1B visas, aiming to curb overuse and encourage companies to hire American workers. The H-1B visa allows US firms to employ highly skilled foreign professionals in specialised fields like technology, engineering, and finance.
These visas are initially granted for three years and can be extended for up to six years. Each year, the US awards 85,000 H-1B visas, with 65,000 available for general applicants and 20,000 reserved for those with advanced degrees from US institutions. Indians account for approximately 70-72% of H-1B visa recipients.