A United States federal judge has upheld President Donald Trump’s decision to introduce a $100,000 fee for processing H-1B visa applications, despite concerns that the policy could hurt American businesses and universities.
The ruling was delivered on Tuesday by US District Judge Beryl Howell, who said the president acted within the law when he approved the fee.
In a 56-page judgment, Howell stated that Trump has “broad statutory authority” to respond to what he believes is “a matter of economic and national security.”
The controversial fee was announced in September and took effect with just 36 hours’ notice, leading to confusion among companies and institutions that depend heavily on the H-1B visa programme.
The judge acknowledged that the policy could have negative consequences, noting that it may “inflict significant harm on American businesses and institutions of higher education,” but ruled that this did not make it unlawful.
The H-1B visa allows US employers to hire skilled foreign workers, especially in the technology sector. The United States issues 85,000 of such visas each year through a lottery system, with about three-quarters of recipients coming from India.
The visa fee is part of a wider immigration clampdown by Trump since his return to the White House. While previous actions focused largely on undocumented migrants, critics say this policy directly affects Silicon Valley and research institutions.
Trump has argued that the H-1B system is being misused to replace American workers with foreigners willing to accept lower wages.
However, several tech leaders have warned against the move. Some, including Trump’s former ally Elon Musk, have said the US lacks enough local talent to fill key technology roles without foreign professionals.
The lawsuit challenging the fee was filed by the US Chamber of Commerce and the Association of American Universities, which represents 69 research universities across the country.
The groups argued that H-1B workers “contribute enormously to American productivity, prosperity and innovation.”
The US Chamber of Commerce, known for its close ties to Republican politics, spent over $76 million on lobbying in 2024 and donated nearly $6 million directly to Republican groups and candidates, according to OpenSecrets.
Despite the ruling, legal battles over the policy are not over. At least two other lawsuits challenging the $100,000 H-1B visa application fee are still pending in US courts.
The judgment adds to growing global debate over Trump’s immigration policies, which have continued to draw strong reactions from businesses, universities and migrant communities
