Breaking Down Trump’s H-1B Visa Fee Increase Impact on Indians

Former President Donald Trump has issued a new proclamation introducing a significant fee of USD 100,000 for each H-1B visa petition, effective September 21, 2025. The directive will be in place for one year unless extended and targets companies that hire foreign workers under the H-1B program, primarily in STEM fields.

The policy seeks to limit the replacement of American workers with lower-paid foreign labor, a trend the proclamation claims undermines economic and national security. The high fee is expected to act as a deterrent for companies misusing the visa program and aims to ensure that only top-tier foreign talent is brought into the U.S. workforce.

Exceptions will be made for cases considered to be in the national interest, as determined by the Secretary of Homeland Security. The proclamation also asks the Department of Labor to revise prevailing wage levels and instructs the Department of Homeland Security to prioritize high-skilled and high-paid applicants in future visa selections.

Indian professionals, who make up around 70% of H-1B visa holders, are expected to be the most affected by this decision. Many tech firms have voiced concerns, labeling the move as ‘regressive,’ with experts warning it could push skilled Indian workers to consider countries like Canada and European nations instead.

According to the latest data, H-1B visa applications have dropped to a four-year low, and with this fee hike, that number could decline further. The H-1B visa allows foreign skilled workers to stay in the United States for up to six years, with an annual cap of 85,000 visas, including 20,000 for holders of U.S. advanced degrees.

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