Trump Imposes $100,000 Fee On H-1B Visas: How It May Impact Indians

US President Donald Trump, in his latest efforts to crack down on immigration, signed a proclamation imposing a $100,000 (over Rs 88 lakh) fee on H-1B visa applicants – a move that could potentially deal a significant blow to the technology sector, which relies heavily on skilled workers from India and China.

According to Trump, the move is aimed at ensuring that the people being brought into the country are “actually very highly skilled” and do not replace American workers. “We need workers. We need great workers, and this pretty much ensures that that’s what’s going to happen,” he said.

White House staff secretary Will Scharf said the H1B non-immigrant visa program is one of the “most abused visa” systems in the country’s current immigration system. “What this proclamation will do is raise the fee that companies pay to sponsor H-1B applicants to $100,000. This will ensure that the people they’re bringing in are actually very highly skilled and that they’re not replaceable by American workers,” he said.

What is the H-1B visa

The H-1B visa is a temporary US work visa that allows companies to hire foreign professionals with specialised skills. It was created in 1990 for people with a bachelor’s degree or higher in fields where jobs are deemed hard to fill, especially science, technology, engineering, and math.

The visa is initially granted for three years, but can be extended to a maximum of six years. For those who received a Green Card (permanent residency), the visa can be renewed indefinitely. To apply, candidates register online with the US Citizenship and Immigration Services (USCIS), following which a lottery system randomly selects applicants. The Trump administration, however, is weighing further changes to the way applications are considered, reported Bloomberg.

Once granted, the visa ensures equal pay and comparable working conditions to those of their American counterparts.

Impact on Indians

Indians have been consistently making up the majority of H-1B visa holders. According to government data, India was the largest beneficiary of H-1B visas last year, accounting for 71 per cent of approved beneficiaries, reported news agency Reuters. China was a distant second at 11.7 per cent.

In the first half of 2025, Amazon and its cloud-computing unit, AWS, had reportedly received approval for more than 12,000 H-1B visas, while Microsoft and Meta Platforms had over 5,000 H-1B visa approvals each.

However, with Trump’s new changes, the fees are likely to add to the problems faced by Indians while trying to get a US visa. While Indians could apply for a Green Card, the wait time is usually longer. During this time, they would need to renew their visas time to time, and each time pay over Rs 88 lakh.

Additionally, the US government is also introducing a more demanding test for citizenship applicants – which Trump had implemented during his 2020 presidency, but was scrapped by the Joe Biden administration. According to reports, applicants will be required to study a pool of 128 questions covering US history and politics, and correctly answer 12 out of 20 questions orally.

Trump’s ‘Gold Card’ visa program

Trump also signed an executive order for a ‘Gold Card‘ visa program with fees set at $1 million for individuals and $2 million for businesses. “We think it’s going to be very successful… It’s going to raise billions of dollars, which will reduce taxes, pay off debt, and do other good things,” the Republican leader said.

Through the ‘Gold Card’ plan, the US will only allow “extraordinary people at the very top” to come to the US who can create business and jobs for Americans, US Secretary of Commerce Howard Lutnick said.

He further noted that the employment-based green card program is “illogical”, adding that the US was taking in “bottom quartile” people who earned only $66,000 a year.

“Historically, the employment-based green card program led in 2,81,000 people a year. And those people, on average, earned $66,000 a year, and they were five times more likely to go on government assistance programs. So we were taking in the bottom quartile, below the average American. It was illogical. The only country in the world that was taking in the bottom quartile. We are going to stop doing that,” he said.

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