India hits back at Trump’s $100,000 H-1B visa fee as questions grow over who stands to lose most

India has formally responded to the US government’s announcement of a new $100,000 annual fee on H-1B visa applications, warning of humanitarian consequences and potential disruptions to families.

The move, introduced by US President Donald Trump, has raised concerns across government, industry, and academic circles in both India and the US.In a statement issued by India’s Ministry of External Affairs (MEA), the government said it is closely studying the implications of the policy. “This measure is likely to have humanitarian consequences by way of the disruption caused for families,” the MEA stated, adding that it hopes the disruptions can be “addressed suitably” by US authorities, as reported by MEA spokesperson Randhir Jaiswal on the ministry’s official social media handle.

Fee rollout and industry concernsOn September 19, 2025, the White House introduced the new $100,000 annual fee on H-1B visa applications as part of a broader reform of the skilled worker programme. The policy takes effect from 12:01 a.m. on September 21 for anyone entering the US.The fee was announced alongside a new $1 million “gold card” US residency programme, aimed at attracting ultra-high-net-worth individuals.

While the gold card programme offers long-term residency, the H-1B visa fee hike directly impacts foreign workers employed in specialist fields such as science, technology, engineering, and mathematics.India accounted for 71 percent of all approved H-1B beneficiaries last year, making it the largest user of the visa category. The abrupt rollout has raised concerns from Indian companies and trade associations, particularly in the technology and outsourcing sectors.NASSCOM flags impact on businesses and professionalsIndia’s leading IT industry body, the National Association of Software and Service Companies (NASSCOM), described the sudden implementation timeline as “a matter of concern.” In a statement released after the announcement, NASSCOM said, “A one-day deadline creates considerable uncertainty for businesses, professionals, and students across the world.”NASSCOM also warned that the policy would affect ongoing onshore projects and could disrupt business continuity. The organisation highlighted that policy changes of such scale should be introduced with sufficient transition periods to allow stakeholders to plan and adapt effectively.

“Adjustments of this nature can potentially have ripple effects on America's innovation ecosystem and the wider job economy,” NASSCOM stated, as reported in its official release.

The body emphasised that Indian technology services companies have already been reducing their reliance on H-1B visas through increased local hiring.Concerns over long-term impact on US-India tiesThe MEA noted that skilled talent mobility and exchanges have contributed significantly to innovation, economic growth, and competitiveness in both India and the US. “Industry in both India and the US has a stake in innovation and creativity and can be expected to consult on the best path forward,” the statement read.NASSCOM reiterated that Indian companies operating in the US comply fully with visa regulations, including paying prevailing wages and contributing to local economies. It also stated that these companies are not a threat to US national security.India’s government confirmed that all stakeholders, including Indian industry, are studying the full implications of the new measure. The MEA said that policymakers are expected to assess the policy based on mutual benefits and the strength of people-to-people ties between the two countries.