After H-1B visa concerns, indian information technology (IT) has significant decline in the downward trend over the past three trading days. triggered by the United States’ announcement of a substantial hike in H1-B visa fees. The sell-off began on Monday, 22 September 2025 to 24 September 2025, as major IT companies continuously fell
The H-1B visa is a critical channel for Indian IT companies to send skilled professionals to work on client projects in the US. The BSE IT index consistence fell throughout a three-day period.
H-1B Visa free hike
After the US announcement steep increase in the one-time cost for new H-1B visas has rattled investors. This move directly impacts the operational costs and margins of Indian IT Companies. The U.S. is the largest market for Indian IT services companies. They rely heavily on the H-1B visa program to send skilled professionals to work on client projects stateside. A significant increase in visa fees directly translates to higher operational costs, which could squeeze the profit margins of these companies..
Officials from the US State Department defend Trump’s revisions to the H-1B program.
According to ANI’s report, she stated, “H-1B serves as a policy to focus on enhancing investment in the American IT industry. Our primary aim is to invest in and train American citizens.” Her remarks resonate with the arguments of many critics, such as Elon Musk, who have contended that H-1B holders are occupying job opportunities that could have been filled by the American workforce.
The H-1B Visa $100,000 fee
The Trump administration announced two major modifications to the H-1B visa program: a steep fee hike, with employers now needing to pay $100,000 for new petitions, and a reformation of the lottery system to favor higher-paying jobs. Officials claim these proposals aim to protect American workers by reducing visas for lower-wage roles, thus benefiting “higher-skilled and better-paid” foreign workers. These changes could have a substantial impact on international students and professionals aspiring to live and work in the U.S.