US Chamber Of Commerce Sues Trump Administration Over $100,000 H-1B Visa Fee

The US Chamber of Commerce, the country’s most influential business group, has taken legal action against the Trump administration over a new policy imposing a $100,000 application fee for H-1B visas.

The Chamber described the measure as ‘plainly unlawful’ and warned that it would inflict ‘significant harm on American businesses’.

The lawsuit, filed on Thursday in a Washington district court, challenges President Trump’s September 19 proclamation, which introduced the steep fee for employers seeking to sponsor skilled foreign workers.

The Chamber argues that the policy exceeds the President’s legal authority and directly contradicts existing immigration laws passed by Congress.

In its filing, the Chamber stated that the new visa fee would ‘dramatically increase labour costs’ and could force many companies to hire fewer skilled employees at a time when domestic replacements are scarce.

It also argued that the measure would benefit ‘America’s economic rivals’ by pushing global talent away from the US.

Neil Bradley, Executive Vice President of the US Chamber of Commerce, said in a statement that the policy would make it ‘cost-prohibitive for US employers to access the global talent pool’, warning that the US economy ‘requires more workers, not fewer’.

Representing over 300,000 direct members and the interests of more than three million companies nationwide, the Chamber’s action reflects widespread concern across the business community about the economic consequences of the administration’s visa restrictions.

Second Major Challenge to H-1B Visa Rules

This lawsuit marks the second major legal challenge to Trump’s H-1B visa reforms.

Earlier this month, a coalition of unions, educators, and advocacy organisations filed a separate case in the Northern District of California.

That complaint described the policy as ‘unprecedented, unjustified, and riddled with errors’, arguing that it ignores the long-term benefits of the H-1B programme to the US economy.

The plaintiffs in that case include the Justice Action Center, the South Asian American Justice Collaborative, and the Democracy Forward Foundation.

President Trump has defended the $100,000 fee as part of his ‘Hire American’ agenda, saying the policy aims to discourage firms from depending on foreign workers.

Commerce Secretary Howard Lutnick echoed this view, explaining that the measure would push companies to train more American graduates rather than paying substantial sums to hire overseas talent.

The White House later clarified that the new rule applies only to new visa applications, not renewals or existing visa holders.

In the wake of the proclamation, the US Department of Homeland Security (DHS) announced plans to amend H-1B visa regulations.

It proposed replacing the existing lottery-based system with a weighted selection process favouring higher-skilled applicants.

India remains the largest beneficiary of the H-1B visa programme, with Indian-born professionals receiving over 70 per cent of all approved visas in 2024.

The Chamber’s lawsuit underscores the growing tension between economic priorities and immigration policy, as businesses warn that excessive restrictions could hinder innovation and competitiveness.

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