Trump’s US$100K H-1B Fee Blocks Skilled Workers Worldwide, Ignites Diplomatic Tensions
The United States has triggered global concern after announcing a US$100 000 annual fee for each H-1B visa application, a policy signed into law by President Donald Trump on September 19, 2025.
The measure targets skilled foreign professionals and is intended to encourage companies to prioritize hiring American workers.
However, economists and business leaders warn the move could stifle innovation, cripple small businesses, and strain diplomatic relations.
The H-1B visa program has long been a critical pathway for U.S. companies to recruit specialized talent in science, engineering, and technology — sectors where domestic expertise remains insufficient.
According to 2024 data, tech giants such as Amazon, Meta, Google, Microsoft, and Apple were among the top sponsors of H-1B visas.
Analysts argue the new fee will disproportionately affect startups, nonprofits, and mid-sized firms that rely on foreign talent but lack the financial capacity to absorb such costs.
Joseph Williams, former senior editor at U.S. News and World Report, expressed concern that the new fee would be unaffordable for many small businesses and nonprofits.
“Few people have the kind of deep pockets that pay US$100 000 for an employee that may be here two, three years, maybe four,” remarked Williams during an interview with CGTN.
He explained that the policy favors large corporations and sends a clear political message about immigration.
“It is a one-time expense that a lot of small companies, start-ups, and non-profits cannot pay. They do not have those kinds of deep pockets. It is not designed to help them. It is designed to give a leg up to some larger corporations.
“And it is also designed to send a message on immigration and that Trump is trying to crack down and try and promote more Americans for these jobs,” explained Williams.
Williams also pointed to a deeper issue: the U.S. lacks enough workers in highly skilled fields, which makes foreign expertise essential.
“The big problem there is that in the United States, one of the main reasons why we have these visas is that the U.S. is not producing nearly enough people in the kind of skilled jobs or that can do the kind of skilled jobs that foreign experts can.
“I am thinking about the raid on Hyundai, we had people coming from Korea who knew how to do this, who knew how to establish and step up a company,” emphasized Williams.
The immigration crisis intensified on September 4 when U.S. Immigration and Customs Enforcement raided a construction site for an electric vehicle battery plant operated by Hyundai Motor Group and LG Energy Solution.
The operation led to the arrest of 475 individuals, including 316 South Korean nationals, who were detained at the Folkston Detention Centre in Georgia.
According to ZBC, the raid has sparked diplomatic tensions between Washington and Seoul.
In response, South Korea has threatened to delay a US$350 billion investment package tied to a bilateral trade agreement until visa-related issues affecting Korean workers are resolved.
Experts caution that the combination of steep visa fees and aggressive enforcement could have lasting consequences for U.S. innovation, global partnerships, and economic stability.
As the tech sector braces for disruption, questions remain over whether the policy will achieve its intended goals or isolate the U.S. from the global talent pool it has long depended on.
