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0 Washington, D.C. – September 24, 2025 – The White House has issued a critical clarification regarding the recently announced $100,000 fee for H-1B visa applications, addressing widespread confusion and panic among foreign workers, particularly in the technology sector. The new fee, introduced through a presidential proclamation signed by President Donald Trump on September 19, 2025, applies exclusively to new H-1B visa petitions and is a one-time charge, not an annual requirement, according to White House Press Secretary Karoline Leavitt.
The proclamation, titled “Restriction on Entry of Certain Nonimmigrant Workers,” initially sparked alarm when U.S. Commerce Secretary Howard Lutnick suggested during the announcement that the fee would be an annual charge affecting both new applicants and existing visa holders. This led to a flurry of concern, with many Indian professionals, who make up approximately 71% of H-1B visa recipients, fearing disruptions to their work, travel plans, and livelihoods. Reports surfaced of canceled weddings, abandoned flights, and hurried returns to the U.S. as companies and workers scrambled to interpret the policy.
On Saturday, September 20, the White House moved swiftly to correct the narrative. Leavitt took to social media to clarify that the fee applies only to new petitions filed after 12:01 a.m. Eastern Time on September 21, 2025, and does not affect current H-1B visa holders, whether they are in the U.S. or abroad. “Those who already hold H-1B visas and are currently outside of the country will NOT be charged $100,000 to re-enter,” Leavitt stated, emphasizing that renewals are also exempt. The fee will take effect in the next H-1B lottery cycle, expected around March 2026.
The clarification brought significant relief to the Indian IT industry, a major beneficiary of the H-1B program, which facilitates the entry of skilled professionals into the U.S. workforce. India’s Ministry of External Affairs, which had engaged in intensive discussions with the Trump administration over the weekend, welcomed the update. The ministry noted that it is still assessing the long-term implications of the fee hike, particularly for Indian professionals and families.
The Trump administration justified the fee increase as a measure to protect American workers, alleging that some companies exploit the H-1B program to replace U.S. workers with lower-paid foreign labor. The White House claims the policy will level the playing field and prioritize high-skilled, high-wage workers. However, critics argue the steep fee could deter companies from hiring international talent, potentially stifling innovation in industries like technology and healthcare.
The U.S. Citizenship and Immigration Services (USCIS) further clarified that the fee could be waived on a case-by-case basis if deemed in the national interest, with potential exemptions being considered for physicians and medical residents. This has sparked hope among healthcare organizations, which rely on foreign-trained professionals to address personnel shortages.
India’s IT industry body, Nasscom, downplayed the immediate impact, noting that Indian firms have reduced their reliance on H-1B visas in recent years, investing heavily in local hiring and upskilling programs in the U.S. “The clarification alleviates concerns about business continuity,” Nasscom stated, adding that the 2026 implementation timeline provides companies time to adapt.
The H-1B visa program, which allows U.S. companies to employ foreign workers in specialized occupations, has long been a cornerstone of the tech industry’s talent pipeline. With India receiving the majority of approvals, the policy change had initially raised fears of disruptions to global operations for Indian IT firms. The White House’s swift response has calmed nerves, but some experts warn that the high fee could still pose challenges for smaller companies and lower-salaried workers seeking new H-1B visas in the future.
As the dust settles, stakeholders in both the U.S. and India are closely monitoring the evolving policy landscape, with ongoing discussions expected to shape the program’s future. For now, current H-1B visa holders can breathe easier, knowing their travel and employment status remain unaffected.
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