In a surprising turn of events, U.S. President Donald Trump signed a proclamation to impose a new, hefty fee on H1B visas. Initially, reports suggested a staggering $100,000 annual fee, a massive jump from the previous range of around $2,000 to $5,000. This news created immediate uncertainty for thousands of Indian professionals. Indians on a trip to India from US are suddenly rushing to US creating massive chaos at airports.
However, amidst the chaos, a major clarification from the White House provided much-needed relief. U.S. officials confirmed that the $100,000 is a one-time fee that applies only to new visa petitions, not an annual charge. This key detail is a game-changer and has helped to calm nerves.
Key Clarifications
Existing H1B and Green Card Holders: If you already have a valid H1B visa or are a green card holder, you can breathe a sigh of relief. The new fee does not apply to you. Your status and ability to work in the U.S. remain unchanged.
H1B Holders Outside the U.S.: The White House explicitly stated that those with valid H1B visas who are currently outside the country do not need to rush back to avoid the fee. Your ability to travel and re-enter the U.S. is not impacted by this proclamation.
New Applicants: This is where the real impact will be felt. The new fee applies to all new H1B applications and is set to take effect for the next lottery cycle. This could significantly reduce the number of new visas issued, as it will make it much more expensive for companies to sponsor foreign talent.
The Indian government has responded to the new policy with “serious concern,” noting the potential “humanitarian consequences” for families. India’s Ministry of External Affairs (MEA) stated that it is studying the full implications of the move and hopes the U.S. authorities will address the disruptions.
Meanwhile, industry bodies like Nasscom have expressed worry over the abrupt one-day deadline and its impact on business continuity for Indian tech companies. Some Indian entrepreneurs and industry veterans have also pointed out that this could be a “self-goal” for the U.S. and a hidden blessing for India. The logic? If it’s harder for skilled professionals to work in the U.S., many may choose to return home, turbocharging India’s own innovation and tech ecosystem. While Prime Minister Modi has not directly commented on the visa issue, his recent remarks on making India “self-reliant” and that “the real enemy is dependence on other countries” seem to echo this sentiment.
