Trump Backs H-1B Visa, Says ‘Not Enough Talented Americans’ Despite $100,000 Fee Hike

In a rare reversal of tone, US President Donald Trump has defended the H-1B visa programme, saying that the United States must rely on foreign talent to fill critical skill shortages in its workforce — even as his administration imposed one of the steepest fee hikes in H-1B history, raising annual costs to $100,000 per employee.

The comment, made during an appearance on Fox News, comes amid growing backlash from American industry leaders and the global tech community, especially in India, which accounts for nearly 70% of all H-1B recipients.

‘You Don’t Have Certain Talents’

When asked whether the administration’s crackdown on immigration could harm the US labour market, Trump surprised many by defending the H-1B visa — a programme he has frequently criticised in the past.

“I agree, but you do also have to bring in talent,” Trump said.

When the interviewer countered, saying America already had “plenty of talented workers,” Trump interrupted bluntly:

“No, you don’t. You don’t have certain talents. People have to learn. You can’t take people off an unemployment line and say, ‘I’m going to put you into a factory where we’re going to make missiles.’”

The remark marks one of Trump’s few positive acknowledgments of the visa programme, which has been a lifeline for Indian IT professionals, engineers, and researchers in the US.

A Contradiction After Massive Fee Hike

Trump’s defence of the programme came just eight weeks after his administration shocked the global tech industry by raising the annual H-1B fee to USD 100,000, up from roughly $10,000 previously.

The new fee applies to companies sponsoring new visa applicants, while existing holders remain exempt — a clarification that came only after widespread panic among foreign workers.

The September 19 proclamation stated that H-1B employees, including current holders, would be denied entry to the US unless their employer had paid the new fee.

The sudden policy shift sent shockwaves through Silicon Valley and India’s technology ecosystem, with analysts warning that the cost increase would discourage US firms from hiring global talent, potentially pushing jobs offshore.

Industry experts have described the move as a de facto barrier to skilled migration, undermining America’s innovation competitiveness.

A Tightrope Between Nationalism and Economic Need

Trump’s comments on Fox News reflect a delicate balancing act between his administration’s “America First” immigration rhetoric and the economic reality of the US labour market.

While Trump has repeatedly pushed for stricter immigration rules and deportations, American companies — particularly in technology, defence manufacturing, and energy — have long warned that the country lacks enough homegrown specialists to sustain growth.

“Making batteries is very complicated. It’s not an easy thing. Very dangerous, a lot of explosions, a lot of problems,” Trump said, referring to an ICE raid at a Hyundai battery facility in Georgia.

During the raid in September, more than 300 South Korean engineers were detained. The incident triggered outrage in Seoul and a human rights probe by South Korean authorities, who said they were not notified in advance.

“They wanted illegal immigrants out. But these were people from South Korea who made batteries all their lives. You’re going to need that kind of skill,” Trump admitted.

The statement marked a rare concession from a President known for his hardline immigration stance.

Global Reactions: Relief and Skepticism

Trump’s remarks drew mixed reactions.
While US industry leaders welcomed his recognition of skilled foreign talent, many observers noted the contradiction between his rhetoric and policy.

“Raising visa fees to $100,000 while praising foreign talent is like locking the door but complimenting the guest,” said a Washington-based immigration attorney.

Indian IT associations expressed cautious optimism, saying the President’s comments signal a recognition of India’s contribution to US innovation, though the fee hike continues to hurt smaller firms and startups.

The NASSCOM (National Association of Software and Service Companies) in India said that while demand for Indian engineers in the US remains high, visa barriers and unpredictability are driving more companies to expand offshore operations in India instead.

Why H-1B Matters to the US Economy

The H-1B programme allows US companies to hire foreign professionals in specialised fields, including science, engineering, IT, and medicine.

Roughly 85,000 H-1B visas are issued annually, though the demand typically exceeds the cap several times over. In 2025, applications crossed 800,000 — the highest ever.

Experts note that Indian nationals make up nearly three-fourths of all H-1B holders, filling critical roles in AI development, cybersecurity, semiconductors, and software engineering.

A 2024 Brookings study found that foreign-born professionals drive over 25% of US patents and tech startups, underlining the link between immigration and innovation.

“The H-1B system isn’t perfect, but without it, America’s innovation edge would collapse,” said a Silicon Valley executive.

A Divisive Immigration Legacy

Trump’s relationship with the H-1B system has been complex and politically charged.

While he has occasionally praised “highly skilled immigrants,” his administration has also tightened vetting, increased denial rates, and imposed record fees — arguing that US firms were abusing the system to undercut American wages.

Critics argue that these measures have fueled labour shortages, especially in STEM and advanced manufacturing.

Meanwhile, the $100,000 annual fee — framed as an “economic filter” to prevent overuse — has been widely criticised as a deterrent to legitimate employers and a blow to diversity in the US workforce.

India Watches Closely

India’s Ministry of External Affairs and IT industry leaders are monitoring the fallout closely, as remittances from Indian professionals in the US remain a key source of economic inflow.

New Delhi has so far avoided public criticism of the fee hike, focusing instead on ongoing trade and technology cooperation through the US-India Strategic Partnership.

However, Indian tech professionals — already facing layoffs and visa uncertainties — have expressed deep concern over the policy’s long-term impact.

“The H-1B was meant to reward merit, not money,” said an Indian engineer based in Dallas. “Now it feels like a privilege auction.”

The Broader Picture

Trump’s unexpected endorsement of the H-1B visa highlights an inescapable truth: the United States, despite its political divisions, still depends on foreign expertise to maintain its innovation and industrial dominance.

Yet his administration’s contradictory policies — praising global talent while penalising their entry — reveal the ongoing tension between economic pragmatism and populist nationalism in America’s immigration debate.

“You don’t have certain talents,” Trump said bluntly.
“People have to learn.”

And for now, it seems, America still needs to import those talents — at a steep price.