US Lawmakers Urge Trump to Reconsider H-1B Visa Fee Hike, Warn of Impact on India Ties

US President Donald Trump’s recent move to increase fees on H-1B visas has sparked strong reactions from lawmakers and industry leaders, who warn that the decision could harm America’s technological edge and strain ties with India — one of its closest democratic partners in the Indo-Pacific region.

A group of lawmakers — including Jimmy Panetta, Amy Bera, Salud Carbajal, and Julie Johnson — has written to President Trump, urging him to reconsider the fee hike. In their letter, they emphasized that Indians represent the largest share of H-1B visa holders, many of whom play a crucial role in the United States’ leadership in the fields of information technology and artificial intelligence (AI).

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“The H-1B program is not just about filling jobs,” the lawmakers wrote. “It’s about reinforcing America’s position in industries that will define global power in the 21st century. At a time when China is heavily investing in AI and emerging technologies, we must continue to attract top global talent.”

They warned that increasing visa costs could discourage skilled professionals and startups dependent on specialized expertise, thereby weakening the country’s innovation ecosystem. The lawmakers also noted that such a policy might undermine strategic relations with India — a key ally in the Indo-Pacific region — and affect bilateral cooperation in technology and defense sectors.

Meanwhile, the US Department of Labor has accused certain companies of misusing the H-1B program by replacing American workers with cheaper foreign labor. In a recently released video, the department claimed that such practices were depriving American youth of employment opportunities and pledged to “restore the American dream to its rightful owners.”

The video, supported by official data, revealed that nearly 72 percent of H-1B visas are issued to Indian nationals, underscoring India’s dominant presence in America’s tech workforce. To address potential misuse, the Department of Labor has initiated an extensive audit called “Project Firewall”, aimed at identifying firms that exploit visa loopholes and pay lower wages to foreign employees.

While the Trump administration defends the fee hike as a measure to ensure fair labor practices, experts and lawmakers remain divided, with many arguing that the move could backfire — deterring global talent and undermining the very industries driving America’s innovation and competitiveness.