A United States federal court has upheld President Donald Trump’s controversial decision imposing a $100,000 processing fee on H-1B visa applications — despite acknowledging that the policy could cause “serious harm” to American companies and universities.
In a 56-page ruling, District Judge Beryl Howell said the president retains “broad statutory authority” to respond to what he considers issues of economic and national security.
The fee, announced in September with barely 36 hours’ notice, sparked widespread confusion across the tech sector as employers scrambled to understand how it would be implemented and who would be affected.
The charge forms part of Trump’s wider immigration clampdown since returning to office — an agenda that has largely focused on migrants, but is now expanding to include the skilled-worker visa relied upon heavily by Silicon Valley.
Trump has long argued that the H-1B system is exploited by firms seeking to replace American workers with cheaper foreign labour.
Each year, 85,000 H-1B visas are issued through a lottery system, with Indian nationals making up roughly three-quarters of recipients.
Leaders in the technology industry — including Elon Musk, a former ally of Trump — have cautioned against restricting the programme, warning that the US does not produce enough local specialists to fill critical high-tech roles.
The lawsuit challenging the fee was filed by the US Chamber of Commerce and the Association of American Universities, representing 69 leading research institutions. They argued that the affected workers “play a vital role in America’s productivity, economic growth and innovation.”
The Chamber, traditionally aligned with Republican interests, spent more than $76 million on lobbying in 2024 and nearly $6 million supporting Republican causes and candidates, according to OpenSecrets.org.
Despite the court’s ruling, at least two other legal challenges to the $100,000 visa fee are still ongoing.
