USA (Commonwealth Union)_ President Donald Trump has introduced a sweeping change to the US immigration system. Accordingly, any employer seeking to sponsor an H-1B visa will now be required to pay a substantial fee of $100,000. This sharp increase in costs is part of his administration’s broader effort to reshape H‑1B visas, especially those held by immigrants from India and China, which make up a significant share of the skilled foreign workforce in the United States.
Trump insists the new fee is necessary to ensure only those who are “truly highly skilled” receive these visas and to prevent US workers from being displaced. The cost, he argues, will force companies to be more selective. Accordingly, Will Scharf, the White House staff secretary, echoed this view, describing the H‑1B program as one of the most abused aspects of immigration law. By hiking the fee, the administration says it will raise the bar for companies to bring in foreign workers, ensuring those workers have exceptional skills and are not easily replaced by Americans.
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What is an H‑1B visa?
The H‑1B visa lets US employers temporarily hire foreign professionals in specialized fields where there aren’t enough American candidates. These fields often include science, engineering, technology, and mathematics. To qualify, applicants generally need at least a bachelor’s degree or equivalent. The visa is allowed for three years initially, and it can be extended up to six years. If the visa holder has begun the process for a Green Card (permanent residency), renewals beyond six years may be possible while awaiting that status. The application process begins with registering online with the US Citizenship and Immigration Services (USCIS), which then runs a lottery when there are more applicants than available visas. Once approved, H‑1B holders are meant to receive wages and working conditions comparable to those of US employees doing similar work.
Impact on Indians
Indians have long formed the backbone of the US H‑1B workforce. Data from recent years shows India earns well over 70 percent of approved H‑1B visas annually, followed by China with roughly 10 to 12 percent. Among major tech employers, Amazon (including its AWS division) has been granted thousands of H‑1B approvals, as have Microsoft and Meta. With the new $100,000 fee, many Indian applicants are likely to face serious financial and logistical challenges. For those who apply for Green Cards, the waiting periods are often long, meaning they must renew H‑1B visas repeatedly, each time potentially costing them this new, steep fee. The change could also make the process more prohibitive for younger or less senior professionals, or those from smaller companies, who are unable to absorb or pass on the high cost. It may reshape how and where Indian tech talent works, whether in the US or back in India.
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Tougher tests for citizenship
In addition to raising costs for temporary work visas, the administration is proposing stricter rules for those seeking US citizenship. Applicants may now face a more demanding oral test based on US history and civics. The proposed format includes a pool of 128 questions; among those, an applicant may be asked 20 questions and must answer at least 12 correctly. These measures reflect a broader shift toward tightening the standards for legal immigration and integration, making both temporary work permits and paths to citizenship harder to navigate for many.
Trump’s ‘Gold Card’ Visa program
Another new policy is the introduction of a so-called “Gold Card” visa. Under this plan, individuals would pay $1 million, and businesses $2 million, to gain privileged immigration status. The administration says this program is aimed at attracting only “extraordinary individuals” who can drive business and job creation in the US. Officials have described the existing employment‑based Green Card system as flawed, arguing it allows entrants with relatively low annual incomes—in one case cited, as little as $66,000— to gain permanent residency. The Gold Card is being presented as a way to reshape that system, tightening eligibility and injecting revenue into government coffers to reduce taxes, address debt, and fund other priorities.
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Reactions in India
The new H‑1B rules have stirred strong emotions and concern across the Indian diaspora and the Indian domestic political landscape. Many Indians on social media platforms like X expressed shock, anxiety, and disappointment. Some said the new rule has shattered the “American dream,” while others warned of negative ripple effects on India’s own job market if many Indians choose to return home. Politically, opposition parties in India used the development to criticize the government. Rahul Gandhi, among others, called the Prime Minister “weak,” accusing his administration of failing to protect the interests of the Indian diaspora facing these new hurdles.
India’s official response
India’s Ministry of External Affairs has responded with caution. It noted that the visa fee hike may cause humanitarian difficulties, especially for families affected by repeated renewals and uncertainty. Officials say they are studying the full impact of the change, with input from Indian industries and other stakeholders. In its statement, the Foreign Ministry emphasized the mutual benefits shared by India and the United States in terms of technology, innovation, economic growth, and people‑to‑people ties. It expressed hope that both governments will consult on ways forward that preserve these shared interests.
How companies stand to be affected?
For US and Indian firms alike, especially in the technology and consulting sectors, this fee jump could be disruptive. Indian technology giants like TCS, Infosys, and Wipro rely substantially on H‑1B hires to support their operations in the US. This new fee structure could add costs running into the billions of dollars, costs that might force companies either to reduce hiring, shift jobs back to India, or both. US firms that hire heavily from abroad—Amazon, Microsoft, Meta, Apple—would also be impacted. These companies depend on international engineers, developers, and other skilled workers to fill specialized roles. The higher costs might change their hiring strategies, push more work overseas, or incentivize relocation of teams.
Big tech moves in response
Major tech companies are already reacting to the changes. Some have instructed employees on H‑1B visas to remain in the US, as travel could complicate their legal status and return. Such advisories highlight the potential for serious disruption, as workers abroad might be caught off guard and find themselves unable to return. Companies such as Microsoft, Meta, Amazon, and others are carefully monitoring the situation, trying to balance commitments to their workforce with compliance under the new rules.
Who’s hit first?
The first to feel the sting will likely be those in computer‑related jobs, the single largest group among H‑1B workers, historically. Indians and Chinese nationals in tech roles are disproportionately represented in this group. Given that much of the H‑1B demand in past years has come from workers in software, engineering, and related fields, changes will likely show up fastest and most visibly in those sectors.
What’s next for applicants?
In case of applying for an H‑1B visa now or in the future, here are the developments to watch closely:
- The $100,000 fee is likely to apply to new visa petitions filed after the announcement, especially for individuals applying from outside the US.
- Applicants already selected under the current lottery process may be spared, but any new cycle is expected to use the new fee structure.
- Employers will have to prove that they have paid this fee when submitting applications for their workers.
- Given the size of the fee relative to typical salaries for many H‑1B holders, some employers may decide not to sponsor certain roles or may pass the cost to employees, making it less attractive, especially for younger or mid‑level workers.
End of the American dream?
This sweeping shift in immigration policy marks one of the most aggressive steps yet to reshape how the US admits foreign professionals. For many Indians, both abroad and those aspiring to work in the United States, it represents higher costs, longer waits, and greater uncertainty. Meanwhile, companies that depend on global talent face a tough time. They should seek ways to adapt to these new rules, alter hiring models, or reconsider growth strategies. And governments, including India’s, must balance the impact on their citizens with maintaining ties of cooperation, innovation, and trade with the United States. As these changes take hold, they will likely trigger legal challenges, diplomatic conversations, and perhaps revisions, but for now, the message is clear: The cost of the American dream is high now, with the US setting a much higher price of entry for its skilled‑worker visas.
