US Imposes $100K H-1B Visa Fee Impacting Indian Tech Sector

President Donald Trump's administration has introduced a new policy imposing a $100,000 annual fee on H-1B visa applications, effective September 21, 2025, aiming to reduce reliance on foreign labor and protect American workers. This fee targets employers sponsoring skilled foreign workers, particularly in the technology sector, and is expected to heavily impact Indian professionals, who hold the majority of H-1B visas. The move has sparked concern across the tech industry, with large companies and smaller startups worried about rising costs potentially leading to reduced hiring of foreign talent and project scaling back. Industry experts and commentators view this as a significant and harsh measure, likening it to a 'tariff bomb' against Indian IT professionals, signaling a protectionist stance from the U.S. government. However, the White House clarified that the fee will only apply to new H-1B visa applicants and not to existing visa holders or renewals, aiming to curb abuses and protect national security by prioritizing highly skilled and highly paid foreign workers. The policy reflects the administration's broader effort to curb wage undercutting and unemployment among U.S. STEM graduates, though it raises concerns about its impact on the tech sector and international talent flows.