H-1B: Trump's $100,000 fee comes into effect, White House clarifies who will be charged

Telangana Chief Minister A Revanth Reddy has said the suffering of Telugu IT professionals would be "unimaginable" over US President Donald Trump's move to make a steep hike in H-1B visa fee and urged Prime Minister Narendra Modi to address the issue on a "war-footing". "The executive orders of President of America had come as a shocker to all. This is totally unacceptable in the historical context of Indo-American relationships," Reddy said in a post on X late on Saturday. It is for the Union government to immediately set up a mechanism to resolve the issue amicably, keeping the interests of "our tech population" and skilled workers, who have served America for so long, he said. "The suffering for our Telugu techies will be unimaginable. Requesting Hon’ble Prime Minister and EAM Shri @DrSJaishankar to resolve this issue on a war footing," he said.

On Lok Sabha LoP Rahul Gandhi's jibe at PM Modi following US President Trump's Executive Order to raise the H-1B visa fee to $100,000, BJP leader Dilip Ghosh said, "He is overjoyed whenever some step against India is taken. He goes abroad and criticises the country. Nobody trusts his words. PM Modi is there, a solution will come out."

US President Donald Trump's proclamation imposing a $100,000 fee on new H-1B visas came into effect on Sunday (September 21). 

The White House issued a fact sheet, justifying US President Donald Trump's move to impose an annual fee of USD 100,000 on H-1B visa applications, citing concern over US workers being replaced with "lower-paid foreign labour". The White House stated that the share of IT workers with H-1B visas has risen from 32 per cent in FY 2003 to over 65 per cent in recent years, highlighting the growing unemployment among the US citizens due to the H-1B visas "abuse." 

On US President Donald Trump signing an Executive Order to raise the fee that companies pay to sponsor H-1B applicants to $100,000, the US Chamber of Commerce said, "We are concerned about the impact on employees, their families, and employers. We’re working with the Administration and our members to understand the full implications and the best path forward."

There's significant relief for existing H-1B visa holders, a senior US Administration official clarified on Friday (local time) that the USD 100,000 annual fee targets new H-1B visa petitions, not existing holders or renewals.
According to the official, individuals currently holding H-1B visas, including those visiting India or abroad, don't need to rush back to the US before Sunday or pay the steep $100,000 fee. "Those who are visiting or leaving the country, or visiting India, don't need to rush back before Sunday or pay the $100,000 fee. $100,000 is only for new and not current existing holders," the official told ANI.

The Indian Embassy in the US on Saturday (local time) issued an emergency assistance number for Indian nationals seeking support after the US President Donald Trump signed a proclamation imposing an annual fee of USD 100,000 on H-1B visa applications. "Indian nationals seeking emergency assistance may call cell number +1-202-550-9931 (and WhatsApp). This number should be used only by Indian nationals seeking immediate emergency assistance and not for routine consular queries," The Indian Embassy in the US said in a post on X.

The H-1B visa fee of USD 100,000 would be applicable only to new applicants, a White House official clarified on Saturday.  The clarification came a day after President Donald Trump signed a proclamation raising the fee on the visas used by companies to hire workers, including from India, to live and work in the US. The H-1B fee is likely to face legal challenges. But if it survives, companies that hire skilled international workers would have to pay USD 100,000 each year for any employee working on the visa, for up to six years,ö the White House official was quoted as saying by the New York Times. The fee applies only to new applicants, the official added.

US President Trump's Executive Order to raise the H-1B visa fee to $100,000, White House Press Secretary Karoline Leavitt, in an X post said, "To be clear, this is NOT an annual fee. It’s a one-time fee that applies only to the petition. Those who already hold H-1B visas and are currently outside of the country right now will NOT be charged $100,000 to re-enter. H-1B visa holders can leave and re-enter the country to the same extent as they normally would; whatever ability they have to do that is not impacted by yesterday’s proclamation. This applies only to new visas, not renewals, and not current visa holders. It will first apply in the next upcoming lottery cycle."

India on Saturday said it is studying the full implications of the measures. In a statement, the Ministry of External Affairs (MEA) said Trump's order will likely have 'humanitarian consequences', urging the US administration to 'suitably' address them. Skilled talent mobility and exchanges have contributed enormously to technology development, innovation, economic growth, competitiveness and wealth creation in the United States and India," said MEA spokesperson Randhir Jaiswal. "Policy makers will therefore assess recent steps taking into account mutual benefits, which include strong people-to-people ties between the two countries."

Trump has defended his new order and cited the 'abuse' of the H-1B visa for increasing fees. As per the US President, the abuse of the H-1B visa has posed a 'national security threat' for the United States.  "The large-scale replacement of American workers through systemic abuse of the program has undermined both our economic and national security," said the Republican President in his order. 

The move by is expected to hit India the most as 71 per cent of the 3,99,395 H-1B visas approved in 2024 were received by Indians, followed by China with just 11.7 per cent. India has dominated the number of H-1B visa grantees historically as well.

US President Donald Trump has signed a proclamation to raise the H-1B visa fee to a staggering USD 100,000 annually, a move which will adversely affect Indian professionals in the US. Trump on Friday signed the proclamation 'Restriction on entry of certain nonimmigrant workers', saying the abuse of the H-1B visa programme is a "national security threat".