Trump Imposes $100K Annual Fee on H-1B Visas, Impacting India’s Tech Sector

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New Delhi, September 21, 2025 – In a significant move that could reshape the global tech landscape, President Donald Trump signed a proclamation on September 19, 2025, introducing a $100,000 annual fee on H-1B visas. This sweeping immigration policy aims to curb the influx of foreign workers and prioritize American employment, but it has raised concerns about its repercussions, particularly for India’s thriving tech industry.

The new fee marks a dramatic increase from the current $215 registration cost and $780 filing fee, targeting major tech giants that rely heavily on international talent. With India accounting for 71-73% of H-1B visa approvals—over 200,000 annually—the policy is seen as a direct challenge to the nation’s IT firms like Infosys and TCS. Industry experts warn that the escalated costs could lead to a sharp rise in operational expenses, potentially slashing job opportunities for skilled engineers and fueling a brain drain reversal.

The proclamation is part of a broader immigration overhaul designed to favor U.S. workers. However, it threatens to strain bilateral tech ties between the U.S. and India, key players in global innovation. Tech hubs in the U.S. are already sounding alarms over potential talent shortages, which could hinder technological advancements.

Indian IT professionals, who form the backbone of many American tech companies, now face an uncertain future. The additional financial burden may force firms to reconsider their hiring strategies, possibly shifting focus to domestic talent or relocating operations. This could have a cascading effect on India’s economy, where the IT sector contributes significantly to GDP and employment.

As the policy takes effect, stakeholders on both sides of the globe are bracing for its impact. While the U.S. government aims to protect local jobs, the long-term consequences for international collaboration and innovation remain a point of contention. The tech world watches closely as this bold move unfolds.

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