A U.S. federal judge has upheld President Donald Trump’s $100,000 processing fee for H-1B visa applications, acknowledging that while it could “inflict significant harm on American businesses and institutions of higher education,” the president possesses broad authority to address what he sees as matters of economic and national security.
In a 56-page ruling, U.S. District Judge Beryl Howell emphasized that the president has “broad statutory authority” to tackle perceived problems impacting the U.S. economy and workforce.
The fee, announced in September, took effect just 36 hours after being unveiled, sparking confusion among employers and universities over its implementation and scope.
The H-1B visa fee is part of Trump’s broader immigration crackdown, marking a first-time targeting of the visa program heavily relied upon by Silicon Valley and other high-tech sectors.
Trump has argued that the system has been abused to replace American workers with foreign employees willing to work for lower wages.
The United States issues 85,000 H-1B visas annually through a lottery system, with approximately three-quarters going to Indian nationals.
Tech leaders, including Trump’s former ally Elon Musk, have warned that restrictions on H-1B visas could worsen the U.S. talent shortage, jeopardizing key roles in the technology sector.
The lawsuit challenging the fee was filed by the U.S. Chamber of Commerce, a pro-business lobbying organization, and the Association of American Universities, representing 69 U.S.-based research universities.
The plaintiffs argued that H-1B workers “contribute enormously to American productivity, prosperity, and innovation.”
The Chamber of Commerce, typically aligned with Republican interests, spent over $76 million on lobbying in 2024, including nearly $6 million in direct contributions to Republican political groups and candidates, according to OpenSecrets.org.
At least two additional lawsuits challenging the $100,000 H-1B visa fee remain pending.