The Indian government is closely examining the full impact of US President Donald Trump’s decision to impose a $100,000 annual fee on H-1B visa applications.
The Ministry of External Affairs of India stated, “The government has reviewed reports regarding the proposed changes to the US H1B visa program. We are currently assessing the comprehensive implications of this measure, with input from Indian industries, which have already provided an initial analysis to clarify certain perceptions about the H1B program.”
“Industries in both India and the US are invested in innovation and creativity and are likely to collaborate to find the best way forward,” the statement continued.
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“The mobility of skilled talent has significantly contributed to the development of technology, innovation, economic growth, competitiveness, and wealth creation in both the US and India. Policymakers will therefore consider these recent developments with an eye on mutual benefits, including the strong people-to-people ties between the two nations,” it added.
“This measure could have humanitarian impacts due to the disruptions it may cause to families. The government hopes that the US authorities will suitably address these disruptions,” the statement concluded.
On Friday, US time, Trump issued a proclamation imposing a $100,000 fee on H-1B visa applications. This action aims to limit the program’s overuse, allowing only “highly skilled” workers from abroad. The Trump administration believes this step will create and safeguard jobs for American workers.
The United States grants 85,000 H-1B visas annually through a lottery system, with India accounting for about three-quarters of recipients. Major technology companies depend on Indian workers who either move to the US or travel between the two countries.
In 2024, the United States approved approximately 400,000 H-1B visas, two-thirds of which were renewals.
Nasscom, representing India’s $283 billion IT and business process outsourcing industry, noted that the sudden implementation of this policy could impact Indian nationals and disrupt the continuity of ongoing onshore projects for the country’s technology services firms.
