Overview

• Signed September 19 and effective September 21, the proclamation applies the surcharge only to new H‑1B petitions, with officials clarifying that current holders and routine renewals are exempt.
• Administration statements cite economic and national security justifications, arguing some employers have used the program to undercut U.S. wages and jobs.
• The added cost is substantial for frequent users of H‑1Bs, with estimates of $100 million per 1,000 new hires and potential annual impacts near $1 billion for large employers like Amazon.
• Immigration lawyers indicate lawsuits are likely over fee authority and procedure, and experts note a waiver pathway for work tied to projects of national importance.
• With Indians accounting for about 71% of recent beneficiaries, industry groups and governments are organizing responses as companies consider shifting roles to Canada, Europe, and China’s planned K‑Visa program.