Indian government officials have expressed significant dissatisfaction regarding the Trump administration’s recent decision to substantially increase fees for H-1B visas.
On Friday, President Donald Trump signed an executive order imposing a steep $100,000 fee for the H-1B visa, complicating the ability of U.S. employers to hire foreign workers over American citizens. The Indian government, which relies heavily on the H-1B program, swiftly condemned this action, urging the Trump administration to reconsider.
“The executive orders from the U.S. President have taken everyone by surprise,” remarked Revanth Reddy, Prime Minister of Telangana in India. He added that this move is “absolutely unacceptable in the historical context of Indian-American relations.”
Reddy emphasized the necessity for the Indian government to establish a framework to protect the interests of skilled workers, especially those from India who have played vital roles in the U.S. tech scene. The hardships faced by Indian engineers, particularly those from the Telugu community, are, as he put it, unimaginable.
Other Indian officials have voiced strong opposition to the newly imposed fees. The Indian Ministry of Foreign Affairs stated, “All parties involved have examined the repercussions of this measure, which could have humanitarian impacts due to disruptions in families. We hope that U.S. authorities will properly address these issues.”
Following the executive order, Indian Commerce Minister Piyush Goyal suggested that perhaps the U.S. feels “a bit afraid of our talent.”
The H-1B program, established in 1990 by Congress, became a popular pathway for foreign professionals in specialized fields, allowing for up to 85,000 visas annually through a lottery system. Holders of H-1B visas can eventually apply for permanent residency, enabling them to stay in the U.S. indefinitely.
However, critics have long claimed the program suppresses wages, with businesses often favoring foreign workers willing to accept lower pay over hiring Americans. A 2017 survey indicated that computer scientists’ salaries are approximately 2.6% to 5% higher when no foreign talent is available.
The program remains favored by major U.S. tech companies like Amazon, Meta, and Apple, all of which employ thousands of H-1B workers. Notably, Elon Musk has previously highlighted that reducing skilled immigration could hinder U.S. innovation, despite Trump’s past support for the program.
According to a recent survey, India accounts for over 70% of H-1B visa recipients, while Chinese citizens make up only about 12%. This heavy reliance on the program aligns with India’s status as one of the top nations receiving remittances, with Indian workers in the U.S. sending billions back home each year.
After some initial confusion, White House Press Secretary Karoline Leavitt clarified that the new fee applies only to new H-1B applications and that those already holding a visa or outside the U.S. will not face the $100,000 charge to return. The new fees officially took effect on Sunday and are scheduled to last for a year unless extended by the Trump administration.
Supporters of the U.S. workforce hailed the executive order, viewing it as a step toward enhancing support for American workers. Kevin Lynn, founder of U.S. Technology Workers, remarked that this shift raises awareness around the issue, though he pointed out that it’s unfortunate the new declaration doesn’t impact currently issued H-1B visas.
While Lynn argued that it’s essential for lawmakers to create lasting changes, Dale Wilcox, executive director of the United States Federation of Immigration Reform, stressed that the new fees are significant enough to deter employers seeking cheap foreign labor without entirely obstructing those needing skilled workers.