Trump sued over $100,000 H-1B visa fee: Is the US protecting jobs or driving away talent?
This article from KeyApply addresses a topic that is extremely hot in the international community – especially for those interested in employment, immigration, and global technology.
👉 The Donald Trump administration has just been sued for wanting to impose a $100,000 fee on each H-1B visa, a type of visa for highly skilled foreign workers, typically engineers, programmers, technology specialists, finance professionals, healthcare professionals, etc.
This news was reported by Reuters, AP News, and others over the past week.
The U.S. Chamber of Commerce has filed a lawsuit against the White House, arguing that the fee is "excessive and unreasonable" and could prevent American businesses from hiring international talent.
So what is the H-1B visa? Why is there a huge fee of $100,000? And if this happens, where will global talent go? Let's find out!
📘 WHAT IS AN H-1B VISA?
The H-1B visa is a temporary U.S. work visa for highly skilled foreign nationals – for example, software engineers, data scientists, doctors, accountants, or researchers.
To obtain this visa, a U.S. company must sponsor the applicant. The worker is permitted to stay and work in the U.S. for a maximum of three years, with the possibility of extending the stay for another three years.
Each year, the U.S. government only grants about 85,000 H-1B visas, while more than 700,000 applications are submitted. The vast majority of visa recipients are from India and China, accounting for over 80%.
This visa is crucial because it serves as a stepping stone for hundreds of thousands of international tech professionals to come to the US and work at Google, Microsoft, Tesla, Amazon, Meta, and thousands of other startups.
In fact, many top tech leaders were once H-1B visa holders:
- Elon Musk (Tesla)
- Satya Nadella (Microsoft)
- Sundar Pichai (Google)
💸 WHAT IS THE $100,000 FEE AND WHY DOES TRUMP WANT TO IMPOSE IT?
In September 2025, Donald Trump signed an executive order requiring all new H-1B visa applicants to pay an additional $100,000 to the U.S. government. This policy is not yet officially in effect, as it is under legal challenge, but the White House claims it is "the first step toward reforming the program."
The reason given by the Trump administration:
1️⃣ Prevent the abuse of H-1B visas for hiring cheap labor.
- Trump claims that many American companies, especially those outsourcing from India, are using H-1B visas to hire foreigners cheaply, causing Americans to lose jobs.
- Therefore, the government wants to place high financial barriers, forcing businesses to hire only those who are truly skilled and necessary.
2️⃣ Encourage hiring Americans first.
- U.S. Commerce Secretary Howard Lutnick stated bluntly: "If the employees are good enough, the company will pay $100,000 to the government. Otherwise, hire Americans."
- This statement clearly illustrates Trump's "America First" objective.
3️⃣ Increase government revenue and create tools to control immigration.
- With 85,000 H-1B visas issued annually, the government could generate over $8 billion in revenue while simultaneously tightening restrictions on the number of foreign nationals entering the country for work.
⚖️ But why were they sued?
The U.S. Chamber of Commerce (representing over 3 million businesses) stated: “The $100,000 fee will severely harm American businesses – especially startups. They will no longer be able to hire international talent.”
They also argued that the President does not have the authority to unilaterally impose this fee, as the U.S. Immigration and Nationality Act (INA) clearly stipulates that the fee must be approved by Congress, not by presidential decree.
🌍 WHERE WILL TALENT GO IF THE US TIGHTENS H-1B VISAS?
If the US erects excessively high financial barriers, the global flow of talent won't disappear, it will simply change direction. And currently, five countries are directly benefiting:
| Nation | Talent attraction policy | Outstanding advantages |
|---|---|---|
| 🇨🇦 Canada | Tech Talent Strategy – which previously allowed H-1B visa holders in the US to move to Canada under an open work permit program (has reached its limit of 10,000 applications, is currently suspended, and is under review for reopening). Additionally, there is a Start-Up Visa Program for entrepreneurs sponsored by designated organizations. | Clear settlement pathways, a friendly environment, and opportunities for both skilled workers and entrepreneurs. |
| 🇬🇧 England (UK) | Global Talent Visa , Skilled Worker Visa - prioritizing professionals in technology, healthcare, research, and innovation. | With no quota limits and fast-tracked processing, London is Europe's leading fintech and AI hub. |
| 🇦🇺 Australia | Skilled Independent Visa (Subclass 189) - a permanent residency visa for highly skilled workers that does not require sponsorship. The minimum score remains 65, but in practice, a higher score is needed (80–90 points for in-demand industries). The government maintains a quota of approximately 190,000 visas per year for these skill-based programs. | Permanent residency, a good living environment, and high career opportunities in the engineering and healthcare fields. |
| 🇸🇬 Singapore | Overseas Networks & Expertise (ONE) Pass - awarded to professionals with a minimum monthly income of SGD 30,000 or outstanding achievements in their field. | No collateral required, fast procedures, low taxes, and a financial and technology hub of Asia. |
| 🇦🇪 UAE (Dubai, Abu Dhabi) | Golden Visa - grants 5-10 year residency to professionals, investors, and entrepreneurs in the technology, healthcare, and finance sectors. | Flexible policies, near-zero taxes, a thriving startup infrastructure, and opportunities for business expansion. |
🧭 CONCLUSION
In short, the Trump administration argues that imposing a $100,000 H-1B fee protects American jobs, but experts fear it is driving talent and startups out of the United States.
A visa once considered a "golden bridge" for talented individuals to come to the US is now only accessible to the truly wealthy or those sponsored by giant corporations.