US President Donald Trump has raised the annual fee for the H-1B visa—a major gateway for professionals entering the US—to $1 lakh (about ₹88 lakh).
The move has triggered strong reactions. A senior government official told Moneycontrol that India is closely studying the impact.
The official confirmed that the government is in touch with the Indian Embassy in Washington and consulting with NASSCOM, the country’s leading IT industry body.
He explained that while Trump’s decision will hit US tech firms the hardest, as they rely heavily on Indian talent, it could also create new opportunities.
Many companies may now expand Global Capability Centers (GCCs) in India to overcome the shortage of skilled workers.
The government also believes this policy could face legal challenges, since it impacts both foreign employees and American companies alike.
Tech industry in shock after Trump’s move
The H-1B visa is critical for US companies to hire skilled workers from India, China, and other countries.
But under the new rules effective September 21, companies must pay an annual $1 lakh fee in addition to employee salaries.
Experts say this could be devastating for firms, especially since Indian professionals are the largest beneficiaries of H-1B visas. Government data shows that 71% of all H-1B visas issued last year went to Indians.
New visa schemes announced
Alongside the H-1B fee hike, Trump has also introduced new visa programs:
Gold Card Visa: Offers US citizenship for a $1 million (₹8.8 billion/₹15,000 crore) investment. Applicants must also pay a $15,000 verification fee.
Fast-Track Company Visa: Companies can secure quicker visas for sponsored workers by paying $200,000 (₹1.76 crore).
Platinum Card Scheme: Costs $500,000 (₹4.4 crore) and allows holders to stay in the US for up to 270 days a year. Income earned during this period will be tax-free.
