India Prepares for Impact of $100,000 H-1B Visa Fee as U.S. Policy Shifts

New Delhi, Sept 2025 : The Indian government, in collaboration with Nasscom, is assessing the implications of the $100,000 annual fee for H-1B visas introduced by the U.S., effective September 21. The fee is expected to significantly affect U.S. companies reliant on Indian tech talent, potentially accelerating the growth of Global Capability Centres (GCCs) in India as firms seek to address U.S. talent shortages.

Finance Minister Nirmala Sitharaman emphasized that India hosts nearly half of the world’s GCCs, which are crucial for innovation, technology development, and job creation. Despite the new fee, Indian IT companies have reportedly cut their dependence on H-1B visas by over 50%, focusing instead on local hiring and automation, indicating that the immediate business impact may be limited.

Former G20 Sherpa Amitabh Kant highlighted that the new H-1B rules could stifle U.S. innovation while benefiting India’s tech ecosystem. He noted that global talent may increasingly consider India, boosting the country’s growth prospects. Entrepreneur Kunal Bahl added that many skilled professionals may return to India, where opportunities are expected to flourish despite initial adjustments.

U.S. President Donald Trump stated that the fee is designed to encourage the hiring of American workers, alongside an additional gold card visa scheme offering residency for significant investment, further reshaping international tech talent flows.