US H-1B Visa Row: Trump Likely to Scrap Lottery System, Proposes New Rules

Following US President Donald Trump’s proclamation imposing a $100,000 fee on new H-1B visa applications, the US Department of Homeland Security (DHS) has proposed significant changes to the programme.

Under the new plan, the DHS aims to replace the current lottery system with a “weighted selection process” that favors higher-skilled and higher-paid applicants, while still allowing employers to hire workers at all wage levels. The proposal will be open for public comments over a 30-day period.

The H-1B visa programme, capped at 85,000 new visas each year, allows US companies to hire skilled foreign professionals, especially in technology and engineering. The proclamation initially caused confusion, as it seemed to impact current visa holders.

A White House official clarified that the $100,000 fee applies only to new applications and not to renewals or existing visa holders.

“This action discourages companies from spamming the system, drives up wages, and ensures American businesses can access high-skilled talent without abuse,” said White House spokeswoman Taylor Rogers. Trump said the move is intended to incentivize hiring American workers.

The announcement came as two senior Indian ministers visited the US. External Affairs Minister S. Jaishankar and Commerce and Industry Minister Piyush Goyal met Trump administration officials in New York to discuss bilateral and trade issues.

After meeting Jaishankar, US Secretary of State Marco Rubio called India “critical” to the US and welcomed continued trade engagement. Jaishankar posted on X: “Our conversation covered a range of bilateral and international issues of current concern. Agreed on the importance of sustained engagement to progress on priority areas.”

Goyal also met US Trade Representative Jamieson Greer to negotiate the first phase of a trade agreement. Sources said discussions focused on key sticking points, with both sides hopeful for an interim understanding soon.