US Lawmakers Urge Trump to Reconsider H-1B Visa Restrictions and Fee Hike

November 1, 2025 MTIMES 4 min read American innovation, Donald Trump visa policy, H-1B visa restrictions, Indian tech professionals, US-India relations

US lawmakers have urged President Donald Trump to reconsider the new restrictions and fee hikes imposed on H-1B visas, warning that the decision could harm the United States’ partnership with India and damage America’s global competitiveness.

President Trump’s recent order introduces new limitations on non-immigrant workers, particularly those under the H-1B visa category, along with an additional fee of about $100,000 (approximately ₹8.3 million). The administration claims the move is aimed at protecting domestic employment, but industry experts and politicians believe it could backfire on both the American economy and bilateral relations with India.

Lawmakers Warn of Economic Impact of H-1B Visa Restrictions

Four prominent lawmakers from California and Texas — Jimmy Panetta, Ami Bera, Salud Carbajal, and Julie Johnson — have written a joint letter to President Trump, urging him to withdraw or modify the policy. They stated that the H-1B visa program is crucial to America’s innovation ecosystem and restricting it would weaken the nation’s competitiveness in fields such as artificial intelligence, cybersecurity, and scientific research.

The lawmakers wrote that the decision would deal a severe blow to skilled foreign professionals as well as to American startups and research institutions that rely on international expertise.

Impact of H-1B Visa Restrictions on India-US Partnership

The lawmakers also emphasized India’s central role in the H-1B program. Their letter noted, “High-skilled technical talent from India is an integral part of our innovation ecosystem. Limiting the H-1B visa program will not only stifle technological progress but also impact our relationship with our democratic ally, India.”

According to official data, nearly 71 percent of all H-1B visas issued last year went to Indian professionals, making India the largest beneficiary of this program. Experts say the new policy could directly affect thousands of Indian engineers, doctors, and IT professionals working across the United States.

Concerns Over Small Businesses and Startups

The proposed fee of $100,000 per H-1B visa application has also drawn sharp criticism from the startup community. Lawmakers said such a high cost would make it nearly impossible for small businesses and research institutions to hire international talent. The policy, they argued, would primarily benefit large corporations that can afford the fees, while startups and small enterprises — the true drivers of innovation — would suffer the most.

The legislators highlighted that when nations like China are investing billions in artificial intelligence and robotics, the United States should be focused on attracting the best talent from around the world, not restricting it. They warned that the move could reduce America’s innovation capacity and weaken its position in the global race for technological leadership.

Possible Diplomatic Fallout Between India and the US

Diplomatic analysts believe that Trump’s visa policy could strain the long-standing strategic partnership between India and the United States. Thousands of Indian professionals in America contribute significantly to sectors such as technology, healthcare, finance, and engineering. Experts warn that if these restrictions are implemented, it could slow the exchange of talent and reduce educational and business collaboration between the two countries.

India’s Ministry of External Affairs has not yet issued an official response, but diplomatic circles in New Delhi are closely monitoring the developments, given the potential implications for bilateral relations and global trade dynamics.

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