Trump’s H-1B Visa Fee Shock Raises Barriers for Indian Tech Talent

The United States has announced a drastic change to its H-1B visa programme under President Donald Trump. A proclamation signed on 19 September 2025 mandates that employers must now pay an annual fee of $100,000 for each H-1B petition. The fee applies to both new applications and those filed from outside the United States.

The move has sparked immediate concern in the technology sector. The charge, payable every year an H-1B worker remains in the US, is expected to price out smaller firms and start-ups, leaving only the largest technology companies able to shoulder such costs. Analysts warn this could sharply reduce entry-level opportunities for international graduates and slow the inflow of foreign talent that has historically powered Silicon Valley’s growth.

Brace for Impact?

The impact will be felt most acutely in India. Indian nationals accounted for around 71% of H-1B approvals in FY 2024, with Chinese nationals forming about 12%. The previous year’s data painted a similar picture, confirming India’s dominance in this visa category. For thousands of young graduates who see the US as the pinnacle of global career opportunity, this fee overhaul presents a new and significant barrier.

From New Delhi, voices of concern are already emerging. Former NITI Aayog CEO Amitabh Kant described the move as a “serious threat to American innovation” and suggested it could accelerate a reverse brain drain, strengthening India’s own technology ecosystem. “America’s loss is going to be India’s gain,” he remarked.

The proclamation does leave room for case-by-case waivers where applications are deemed in the national interest, though details remain unclear. For now, uncertainty dominates. While the Trump administration positions the measure as part of a broader effort to protect US jobs, critics argue it risks weakening the country’s global competitiveness.

For Indian tech professionals and graduates, this development marks more than a policy tweak—it could signal a reshaping of the global migration landscape, where the cost of accessing American opportunities has risen to unprecedented levels.

CP Gurnani, Co-Founder & Vice Chairman, AIonOS (JV between InterGlobe Enterprises & Assago Ventures), paints a more optimistic picture: “Over the past several years, Indian IT firms have significantly reduced their reliance on the H-1B visa, with filings dropping by over 50%. This shift is a result of our ongoing strategy to hire more locally, invest in automation, and enhance our global delivery models. While visa fees may change, the impact on our business will be minimal, as we’ve already adapted to this evolving landscape.”

This is a developing story, with more industry feedback and implications expected in the weeks ahead.