United States President Donald Trump has introduced a new $100,000 fee which will only apply to people applying for the H-1B visa for the first time. On Saturday, September 20, 2025, the White House provided important details as this new visa rule caused concern in the tech industry. This new policy will become effective at midnight on Sunday, September 21. Petitions for H-1B visas that were submitted before this new rule will not be impacted. Before this clarification from White House Press Secretary Karoline Leavitt, U.S. Commerce Secretary Howard Lutnick announced on Friday, September 19, that the significant fee hike would need to be paid every year. This change would affect both new applicants and those renewing their visas, leading to alarm among current H-1B visa holders who feared they might have to pay to come back to the U.S. There was widespread panic and confusion among Indians in America holding H-1B visas shortly after Trump signed this order. While many American lawmakers described the situation as “reckless,” several H-1B visa holders cancelled their travel plans at the last minute before their flights home, while others already in India rushed to find a way back. Immigration lawyers and companies raised concerns for H-1B visa holders or their families who are outside the U.S. for work or vacation.
On Sunday, opposition parties criticized Prime Minister Narendra Modi for not taking a strong stand against the aggressive actions of the U.S. Instead, they claimed he adopted an “escapist approach” by giving unclear messages about the importance of being self-sufficient. They specifically targeted the Prime Minister regarding President Donald Trump's decision to introduce an annual $100,000 fee for H-1B visas as well as his recent claims about a “ceasefire” between India and Pakistan. Akhilesh Yadav, president of the Samajwadi Party, condemned the BJP government for creating a crisis in India’s foreign policy and for failing to defend the nation against unreasonable tariffs and visa fees. He added that the government has not succeeded in safeguarding Indians living abroad from violent attacks. In a post on X, Mr. Yadav stated, “There is a crisis in foreign policy under BJP leadership: The BJP government cannot shield India from unreasonable tariffs and unreasonable visa fees.”
He mentioned that the government struggles to maintain connections with neighboring nations, follow the nation’s traditional non-alignment stance, safeguard Indians living abroad from being arrested, mistreated, and attacked, and coordinate with others on the issue of terrorism. The post in Hindi mentioned that the BJP-led government has sidelined foreign affairs. While talking to the media at the party headquarters in Lucknow, the head of the Samajwadi Party criticized the central government regarding the increase in the H1-B visa fee by the U.S., which is likely to impact many Indians. “Your international policy has not worked abroad. Your economic strategies have also failed. You haven’t succeeded in building relationships,” he stated. The think tank Global Trade Research Initiative (GTRI) commented on Sunday that U.S. President Donald Trump's choice to raise H-1B visa costs to $100,000 per individual may affect America more than India. They pointed out that Indian IT companies currently hire 50-80% of local workers in the United States, totaling around 100,000 Americans. “Thus, this action is unlikely to generate many additional jobs. Instead, it will raise the cost of employing Indians on the ground compared to hiring local workers,” stated the GTRI.
