US Judge Upholds Trump’s $100,000 H-1B Visa Fee Despite Business, University Concerns

US Judge Upholds Trump’s $100,000 H-1B Visa Fee Despite Business, University Concerns

A US federal judge on Tuesday upheld President Donald Trump’s $100,000 H-1B visa application fee, despite acknowledging that the policy could “inflict significant harm on American businesses and institutions of higher education.”

In a 56-page ruling, US District Judge Beryl Howell said the president has broad statutory authority to take action on what he considers issues of economic and national security, thereby validating the controversial fee imposed as part of the administration’s immigration crackdown.

The $100,000 H-1B visa fee, announced in September, was implemented with just 36 hours’ notice, triggering widespread confusion among employers over compliance, scope and impact. The measure marks a sharp escalation in visa costs and represents the most direct policy hit yet on the H-1B visa programme, which is heavily relied upon by Silicon Valley and US research institutions.

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President Donald Trump has argued that the H-1B visa system has been abused to replace American workers with lower-paid foreign labour, a claim long disputed by the tech industry and higher education leaders.

The United States issues 85,000 H-1B visas annually through a lottery system, with India accounting for nearly 75 per cent of recipients. Tech entrepreneurs — including Trump’s former ally Elon Musk — have repeatedly warned that restricting H-1B visas could worsen talent shortages, insisting the US lacks sufficient homegrown skilled workers to meet demand in critical sectors.

The lawsuit challenging the fee was filed by the US Chamber of Commerce and the Association of American Universities (AAU), which represents 69 leading US research universities. The plaintiffs argued that H-1B workers “contribute enormously to American productivity, prosperity and innovation.”

Despite being traditionally Republican-aligned, the Chamber has opposed the policy, having spent over $76 million on lobbying in 2024 and nearly $6 million supporting Republican candidates, according to OpenSecrets.org.

While Judge Howell’s ruling allows the fee to stand, at least two additional lawsuits challenging the $100,000 H-1B visa fee remain pending, leaving the future of the policy uncertain.

US Judge Upholds Trump’s $100,000 H-1B Visa Fee Despite Business, University Concerns