Trump’s $100,000 H-1B Visa Fee Rule: A Shockwave for Indian IT Professionals

New Rule Comes into Effect

On September 21, 2025, US President Donald Trump signed a proclamation imposing a $100,000 annual fee on new H-1B visa applications. The rule, titled “Restriction on Entry of Certain Nonimmigrant Workers”, is effective immediately and applies only to new applicants, not to existing H-1B visa holders or renewals.

According to the White House, employers must submit proof of payment along with visa petitions, failing which applications will be denied, and workers barred from entering the US.

Exemptions and Clarifications

The White House and US Citizenship and Immigration Services (USCIS) clarified that:

  • Current visa holders are exempt.

  • Renewals and petitions filed before September 21, 2025 will not be impacted.

  • The rule applies only to future applicants, particularly those in upcoming lotteries.

  • Existing visa holders can continue travel in and out of the US without restrictions.

Why India is Most Affected

India is the largest beneficiary of H-1B visas. In 2024, Indians accounted for 71% of the 3,99,395 approved visas, while China followed with 11.7%.

This new fee is expected to have significant repercussions for Indian IT professionals and companies, particularly given India’s historic dominance in H-1B allocations.

The Indian Ministry of External Affairs (MEA) expressed concern, warning of “humanitarian consequences” and disruptions for families.

Reactions from Tech Companies

Global tech giants immediately reacted:

  • Microsoft urged its employees to remain in the US before the rule took effect.

  • Amazon, Meta, Alphabet, and JPMorgan followed with advisories, warning H-1B holders against overseas travel.

  • Goldman Sachs also cautioned its staff and issued internal memos acknowledging the uncertainty.

Reports suggest several Indian professionals even stepped off flights to the US after the announcement, while airfares from Delhi to New York surged from ₹37,000 to nearly ₹80,000 within hours.

Political and Diplomatic Fallout

The move has sparked political and diplomatic tensions:

  • India’s MEA called for Washington to “address disruptions suitably” and stressed the contribution of Indian talent to US innovation and growth.

  • Telangana CM A. Revanth Reddy called the suffering of Telugu IT professionals “unimaginable” and urged PM Modi and EAM S. Jaishankar to act “on a war footing.”

  • Congress leaders like Sachin Pilot, Supriya Shrinate, Pawan Khera, and K. Muraleedharan accused the Modi government of failing to protect Indians abroad.

  • Opposition parties labeled the development as proof of a “failed foreign policy.”

  • Asaduddin Owaisi and BJD leader Prasanna Acharya criticized the US for “bullying” and questioned Modi’s ties with Trump.

Meanwhile, EAC-PM Chairman S. Mahendra Dev suggested this may inadvertently benefit India’s startup ecosystem, as many skilled workers may stay back and contribute domestically.

National Security Justification

President Trump justified the move by citing the misuse of H-1B visas as a “national security threat.” He argued that outsourcing firms heavily relying on the program distort the US labor market, and tighter restrictions were necessary.

Emergency Assistance for Indians

The Indian Embassy in Washington has issued an emergency helpline for nationals affected by the sudden fee hike:
📞 +1-202-550-9931 (available on WhatsApp as well).

What’s Next?

The new rule is set to remain in place for one year, but the US government may extend it if deemed in the “national interest.”

Meanwhile, Union Commerce Minister Piyush Goyal is set to visit the US on September 22 for trade talks amid the growing tariff and visa tensions.

Conclusion: A Defining Moment in Indo-US Ties

Trump’s $100,000 H-1B visa fee is not just an immigration policy change—it is a geo-economic flashpoint. With India supplying the majority of H-1B talent, the measure risks disrupting families, businesses, and bilateral ties.

While some argue it could redirect talent back to India, strengthening the domestic tech ecosystem, the immediate impact is confusion, rising costs, and anxiety among thousands of Indian professionals.

The coming weeks will test India’s diplomatic response and the resilience of US-India strategic partnership in the face of this unprecedented move.


Location: Pune, Maharashtra, India

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