In a sweeping new order, U.S. President Donald Trump has announced a $100,000 annual fee for all new H-1B visa applications, sending shockwaves through global tech firms, foreign workers, and governments worldwide.
The executive order, which comes into effect on September 21, applies to all new skilled worker (H-1B) visa requests, requiring companies to pay $100,000 per applicant each year for six years. Previously, H-1B visa fees hovered around $1,500 total per applicant.
Commerce Secretary Howard Lutnick said:
“The company needs to decide… is the person valuable enough to have a $100,000-a-year payment to the government, or should they go hire an American?”
India and China Hit the Hardest
According to U.S. government data, India was the top beneficiary of H-1B visas last year, accounting for 71% of all approvals. China followed at 11.7%.
India’s tech industry and trade groups have responded with concern. Nasscom, India’s leading IT industry body, said the sudden order creates “uncertainty for businesses, professionals, and students.”
Amazon quickly issued internal advisories to H-1B visa holders already in the U.S., urging them to avoid travel and for those abroad to return immediately before the deadline.
Tech Giants Brace for Major Cost Hikes
Top American tech firms — including Amazon, Tata, Microsoft, Apple, Google, and Meta — are some of the biggest users of the H-1B visa program. The sudden six-figure fee means each worker could now cost an employer $600,000 over six years — excluding salaries and other benefits.
Experts fear the move could push tech companies to relocate jobs overseas or abandon international hiring altogether.
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Jorge Lopez, an immigration law expert, warned:
“A $100,000 fee will put the brakes on American competitiveness in tech and all industries.”
Small Businesses and Startups May Collapse
Immigration attorney Tahmina Watson called the move a “nail in the coffin” for small and mid-sized businesses in the U.S.
“Almost everyone’s going to be priced out. Many of my clients can’t afford this. It’s going to have a devastating impact.”
Trump’s Visa Policy Flip-Flop
The announcement contradicts Trump’s earlier stance. While campaigning, he promised to make it easier for skilled international talent to work in the U.S., even proposing green cards for college graduates. But this latest order leans heavily toward “Hire American” rhetoric.
During his first term in 2017, Trump had already toughened scrutiny on H-1B applications, resulting in rejection rates soaring to 24% in 2018 — a huge jump from the 5–8% seen under Obama and early Biden years.
Global Fallout Just Beginning
The H-1B visa is a lifeline for hundreds of thousands of skilled professionals and tech companies. With the $100K fee, the future of U.S. tech leadership, immigrant workforce diversity, and startup innovation now hangs in the balance.
Whether this order survives legal challenges or shifts after the upcoming elections remains to be seen but for now, the world is watching and reacting.
