H-1B Visa: The legal challenge to the Trump administration’s controversial $100,000 fee on H-1B visa applications has escalated to the appeals stage after a federal judge declined to block the measure, according to a Bloomberg report. The US Chamber of Commerce, the country’s largest business lobbying organisation, filed a notice of appeal this week, contesting a District Court ruling that allowed the sharp fee increase to stand.
The appeal follows a December 23 decision by US District Judge Beryl Howell, who ruled that President Donald Trump acted within his legal authority when he imposed the fee through a presidential proclamation issued in September.
Trump Administration Defends H-1B Visa Fee Hike as Crackdown on ‘Abuse’
The fee was introduced as part of a broader effort by President Trump to curb what he described as misuse of the H-1B visa programme. The programme enables US employers to hire college-educated foreign professionals for specialised positions and is heavily relied upon by technology, engineering, and healthcare companies.
By dramatically increasing the application cost, the administration argued it was exercising its authority to regulate immigration in the national interest.
US Chamber of Commerce Petition
In its October lawsuit, the Chamber of Commerce argued that the fee hike violates federal immigration law and exceeds the executive branch’s authority to set visa costs. According to Bloomberg, the Chamber contended that Congress, not the president, sets the legal framework governing visa fees and that the proclamation unlawfully overrides existing statutes.
Judge Howell rejected those arguments, concluding that Trump acted under an express statutory grant of authority. Despite being an appointee of former President Barack Obama and previously viewed as a tough critic of the Trump administration, Howell ruled that the president had the legal power to impose the fee.
H-1B Visa Programme in Crisis Amid New Restrictions
The appeal comes at a time when the H-1B visa system is already under severe strain. New rules involving expanded social media screening and a ban on visa stamping outside a visa-holder’s country of origin have caused widespread disruption.
These measures have led to significant delays in visa processing and repeated rescheduling of interviews at US consulates worldwide. As a result, professionals have been stranded away from their jobs and families, while immigration lawyers and employers have warned workers not to travel outside the US for fear of losing employment.
Multiple Lawsuits Against H-1B Visa Fee Hike, Supreme Court Showdown Likely
The Chamber’s case is just one of several legal challenges to the fee. More than a dozen mostly Democratic-led states have filed a separate lawsuit in Massachusetts, while a global nurse-staffing company and several labour unions have launched a parallel challenge in California.
Legal experts expect the dispute over the H-1B visa fee to ultimately reach the US Supreme Court.
The plaintiffs argue that the exorbitant fee would severely undermine the quality of services provided by key institutions, including schools and hospitals, by restricting access to skilled foreign professionals.
This concern is particularly acute in states such as California, which have increasingly relied on H-1B visa holders to address a crippling nationwide shortage of trained teachers.
Zubair Amin is a Senior Journalist at NewsX with over seven years of experience in reporting and editorial work. He has written for leading national and international publications, including Foreign Policy Magazine, Al Jazeera, The Economic Times, The Indian Express, The Wire, Article 14, Mongabay, News9, among others. His primary focus is on international affairs, with a strong interest in US politics and policy. He also writes on West Asia, Indian polity, and constitutional issues. Zubair tweets at zubaiyr.amin
