United States President Donald Trump announced significant changes to the H1B visa program last Friday. A new analysis by HT shows that this effectively means the end of the program. The new visa fee of $100,000 announced by Trump is more than the average annual salary of a new H1B visa holder. It is also more than eighty per cent of the average yearly salary for all H1B visa holders. As the biggest user of this program, India is set to lose the most. This loss might be even greater than the 50 per cent tariffs Trump has imposed on Indian exports. This is another serious blow to the relationship between India and the US.

The Financial Times describes the situation very simply, “The six-figure ($100,000) application fee — which (US Secretary of Commerce Howard) Lutnick said employers would have to pay annually — marks a departure for the government, which currently charges $215 to register for an H-1B visa lottery and an additional $780 for employers that sponsor visa applicants. A White House executive order states that the payment is an application fee and does not mention an annual payment”.

In addition to the H1B visas, the Trump administration has also introduced a gold card visa scheme. Under this, individuals can pay $ 1 million and corporations can pay $2 million to get a US visa. In Indian currency, this is almost nine crore rupees and eighteen crore rupees for a visa.

Trump has just made this announcement. He often changes his mind. But there is a good reason to believe that the new H1B visa rules are like ending the program. This is because the new visa fee could be almost equal to a full year's salary for an average H1B employee. For someone looking for their first job under the H1B visa, the visa fee is now more than their annual wage.

According to a 2025 report by the US Citizenship and Immigration Services, the average salary for a new H1B visa was $ 97,000. This number was a little bit higher for people with continuing H1B visas, which was $ 130,000. This makes the average salary amount $120,000.

If the visa fees become higher than the annual salary of the employee, it is very unlikely that any applications will be submitted.

India received more H1B visas than the other nine countries in the top ten combined.

Out of 399,395 H1B visas approved in 2024, Indians received an overwhelming 71 per cent. China was a distant second with only 11.7 per cent. India has historically dominated the number of H1B visa recipients. Clearly, the new rules will harm India the most.