The White House clarified on Saturday, September 20, 2025, that the recent $100,000 fee introduced by United States President Donald Trump will be a 'one-time' charge applicable solely to new applicants. This announcement comes as the new visa policy has caused concern within the tech industry. The order took effect at midnight on Sunday, September 21. H-1B petitions filed before the proclamation's effective date remain unaffected.
The Trump administration had revealed on Friday that it will mandate companies to pay an annual fee of $100,000 for H-1B worker visas. This had prompted some major tech companies to recommend that visa holders either stay in the U.S. or return quickly.
After Trump signed the proclamation, Indians in the U.S. on H-1B visas experienced widespread panic and confusion. American lawmakers and leaders criticized the move as 'reckless.' Many H-1B visa holders canceled their travel plans at the last minute while preparing to board flights to India, and several others already in India were rushing to return. Immigration attorneys and companies raised concerns for H-1B visa holders or their family members currently outside the U.S. for work or vacation.
“If you’re going to train somebody, you’re going to train one of the recent graduates from one of the great universities across our land,” Commerce Secretary Howard Lutnick stated, "Educate Americans. Stop importing individuals to take our employment opportunities."
This change could significantly impact the tech industry, which heavily depends on skilled workers from India and China. Since assuming office in January, Trump has initiated a comprehensive immigration crackdown, including efforts to restrict certain types of legal immigration.
Trump’s threat to crack down on H-1B visas has become a major flashpoint with the tech industry, which contributed millions of dollars to his presidential campaign. The move to overhaul the H-1B visa program marks his administration's most prominent attempt to reform temporary employment visas.
According to government data, India received the most H-1B visas last year, making up 71% of the approved recipients, whereas China was the second largest with 11.7%. Indians accounting for 72% of the nearly 400,000 visas issued between October 2022 and September 2023. This move is expected to significantly impact skilled Indian professionals.
During the initial six months of 2025, Amazon.com and its cloud division, AWS, were granted approval for upwards of 12,000 H-1B visas, whereas Microsoft and Meta Platforms each secured more than 5,000 H-1B visa approvals.
On Friday, Lutnick stated that "all the major corporations are in agreement" with the $100,000 annual fee for H-1B visas. "We've had discussions with them," he mentioned.
Cognizant Technology Solutions, an IT services firm heavily dependent on H-1B visa holders, saw its shares fall by almost 5%. Meanwhile, U.S.-listed shares of Indian tech companies Infosys and Wipro ended the day between 2% and 5% lower.
