US Plans US$100,000 Annual Fee For H-1B Visas, Rattles Tech Sector

The Trump administration on Sept 19 has unveiled plans to charge tech companies US$100,000 per year for each H-1B visa, a dramatic shift that could significantly disrupt the technology sector’s reliance on foreign talent, Reuters reported.

Commerce Secretary Howard Lutnick said the fee would apply annually for the three-year duration of the visa.

“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. Train Americans. Stop bringing in people to take our jobs,” he said.

The proposal marks the administration’s most aggressive move yet to overhaul temporary employment visas, part of its wider immigration crackdown.

Analysts warned the measure could push firms to move high-value work overseas, weakening the US position in areas like artificial intelligence.

Big Tech is among the heaviest users of H-1B visas. In the first half of 2025, Amazon and its cloud arm AWS received approvals for more than 12,000 visas, while Microsoft and Meta each had more than 5,000. India remains the largest source of applicants, accounting for 71% of beneficiaries, followed by China at 11.7%.

Markets reacted swiftly. Cognizant Technology Solutions fell nearly 5%, while US-listed shares of Infosys and Wipro dropped between 2% and 5%.

Critics also questioned the legality of the new fees, noting that Congress has only authorised charges to cover processing costs. Currently, visa applications cost employers just a few thousand dollars.

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