H1-B Visa Fee Hike: TCS, Infosys and HCL Tech Share Price Fall up to 2% as Nifty IT Index Declines 2.5%

The sharp rise in H1-B visa fees announced by the Donald Trump administration sent shockwaves through Indian equity markets. IT stocks bore the brunt, with leading companies like TCS, Infosys and HCL Tech registering losses, while professionals in the United States expressed deep concern about the financial implications of the new policy.

IT Stocks See A Sharp Fall: TCS, Infosys, HCL Tech Decline Up to 2% 

The National Stock Exchange (NSE) Nifty50 and the Bombay Stock Exchange (BSE) Sensex opened weak on September 22. Selling pressure in IT counters weighed heavily on indices, with the Nifty IT index slipping nearly 2.5% by 10:06 am.

TCS, Infosys and HCL Tech share prices recorded declines of up to 2%. Meanwhile, Mphasis and Persistent Systems share prices plunged about 4%, further dragging the index down.

Washington’s Decision Spurs Panic

The fall came after Washington, DC announced a steep hike in the H1-B visa fee. This visa route is used extensively by Indian IT professionals working in the United States, making the move significant for the industry.

The fee, previously between $2,000 and $5,000, has been raised to $100,000 — equivalent to around ₹88 lakh. The scale of the increase led to sharp reactions across markets and among Indian professionals.

Fear Among Indian Professionals

The announcement triggered widespread panic among Indians in the United States. As per the news reports, passengers are disembarking at airports to avoid being caught in regulatory confusion.

Uncertainty loomed over whether existing visa holders returning to the US would also be required to pay the revised fee. However, the Trump administration later clarified that the hike would only apply to new applicants.

Policy Rationale from the Trump Administration

The US government defended the decision as a measure to prioritise domestic employment and discourage dependence on foreign workers.

"So the whole idea is, no more will these big tech companies or other big companies train foreign workers. They have to pay the government $100,000, then they have to pay the employee. So, it's just not economic. You're going to train somebody. You're going to train one of the recent graduates from one of the great universities across our land, train Americans. Stop bringing in people to take our jobs. That's the policy here. $100,000 a year for H-1B visas," Commerce Secretary Howard Lutnick explained, as per news reports.

Read More: Will IT Software Companies in India Feel the Heat of Trump’s Tariffs?

Impact on Indian IT Companies

According to the US Citizenship and Immigration Services, Indians account for 71% of all approved H-1B applicants. The disproportionate representation means Indian IT companies and professionals are directly impacted by the hike.

Conclusion 

The sharp decline in IT stocks underscores how closely linked Indian markets are to US policy decisions, particularly those influencing skilled immigration and workforce costs.

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