Washington, D.C. — President Donald Trump is preparing to impose a new $100,000 application fee on H-1B visas for highly skilled foreign workers, in what critics warn could reshape America’s tech and business landscape.
A White House official confirmed that Trump will sign a proclamation today mandating the fee. The move represents a dramatic increase from current administrative costs, which total about $1,500.
Trump Pushes for Hiring Americans
The president made the announcement alongside U.S. Commerce Secretary Howard Lutnick in the Oval Office on Friday.
“A hundred thousand dollars a year for H-1B visas, and all of the big companies are on board,” Trump said. “If you’re going to train somebody, train one of the recent graduates from our great universities. Train Americans. Stop bringing in people to take our jobs.”
Since 2004, the H-1B visa program has been capped at 85,000 new applications per year, with demand far exceeding supply.
Visa Applications Already in Decline
Data from U.S. Citizenship and Immigration Services (USCIS) shows H-1B applications for the upcoming fiscal year dropped to about 359,000 — a four-year low.
In the most recent cycle, Amazon was the top beneficiary of the program, followed by Tata Consultancy Services, Microsoft, Meta, Apple, and Google.
The BBC has reached out to these companies for comment on the proposed fee hike.
Immigration Attorneys Warn of Fallout
Tahmina Watson, founding attorney of Watson Immigration Law, described the new cost as potentially devastating.
“Almost everyone’s going to be priced out. This $100,000 as an entry point is going to have a devastating impact,” Watson said. “Small businesses and start-ups will suffer the most because they can’t afford this.”
She added that many employers sponsor foreign workers only after failing to find qualified U.S. applicants.
Competitiveness at Risk
Jorge Lopez, chair of the immigration and global mobility practice at Littler Mendelson PC, said the move could erode U.S. global competitiveness.
“A $100,000 fee will put the brakes on American competitiveness in the tech sector and across industries,” Lopez said.
He warned that some companies may consider relocating operations outside the U.S., though he acknowledged such moves are often difficult.
Trump’s Shifting Stance on H-1B Visas
The debate over H-1B visas has long divided Trump’s advisers. Former strategist Steve Bannon and others opposed the program, while business allies favored retaining access to foreign talent.
In January, Trump told reporters he understood “both sides of the argument.”
During his 2020 campaign, Trump even floated the idea of offering green cards to U.S. college graduates, suggesting he supported attracting skilled workers.
“You need a pool of people to work for companies,” Trump said on the All-In Podcast. “You have to be able to recruit these people and keep them.”
Previous Restrictions
In 2017, Trump signed an executive order that tightened scrutiny of H-1B applications and boosted fraud detection.
Rejections spiked to 24% during the 2018 fiscal year, compared with rates between 5% and 8% under Barack Obama and 2% to 4% under Joe Biden.
Tech companies pushed back hard at the time, warning of lost innovation and global competitiveness.
International Reaction Expected
India, the largest source of H-1B applicants, is expected to be particularly alarmed by the move.
Analysts warn the fee could severely restrict the ability of Indian technology firms to operate in the U.S., straining business ties between Washington and New Delhi.
For now, Trump’s allies insist the measure will protect American jobs. But critics argue the steep cost may undermine the very industries that fuel U.S. innovation.