Recent statements regarding a new $100,000 fee for H-1B visas have caused considerable confusion and anxiety among visa holders, prompting a swift clarification from the White House. The clarification addresses concerns that the fee would be an annual charge applicable to both new and renewing visa holders, as initially suggested by U.S. Commerce Secretary Howard Lutnick.
White House Press Secretary Karoline Leavitt has affirmed that current H-1B visa holders will not be charged $100,000 to re-enter the United States. Leavitt clarified via a post on X that the fee is a one-time charge that applies only to new H-1B visa petitions. This means the fee will not affect current visa holders or those seeking renewals. The new rule "does not impact the ability of any current visa holder to travel to/from the U.S.".
The executive order imposing the new fee was signed by President Donald Trump on Friday and is scheduled to take effect at 12:01 a.m. ET Sunday. The fee is scheduled to expire after a year but could be extended if the administration deems it necessary. The clarification specifies that the fee applies to visa applicants in the next lottery cycle, which starts around March 2026.
Lutnick's initial comments led major tech companies, including Amazon, Microsoft, Meta, and Alphabet (Google's parent company), to advise their H-1B employees to remain in the U.S. or return quickly. Scores of foreign guest workers in the U.S. reportedly canceled trips abroad, and those already abroad rushed to return before September 21, fearing the new fees would take effect immediately. Some individuals even deboarded planes in anticipation of the deadline.
Kathleen Campbell Walker, an immigration attorney, stated that the initial announcement injected "total chaos" into the existing H-1B process. The U.S. Chamber of Commerce also voiced concerns about the potential impact on employees, their families, and American employers.
The new fee is expected to decrease the number of H-1B visas issued, potentially leading companies to train American workers instead. However, some argue that highly specialized engineers may still warrant the $100,000 fee.
The Indian government has taken note of the situation, with the Ministry of External Affairs (MEA) instructing embassies to assist Indian nationals and analyzing the implications of the fee. They acknowledge the mutual benefits of skilled migration for both the U.S. and Indian economies. The MEA also recognizes that the new visa cost may have humanitarian implications, potentially unsettling families and complicating long-term career planning for skilled workers.
