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The US Chamber of Commerce is suing President Donald Trump's administration over a new $100,000 fee on H-1B visa applications for highly skilled foreign workers.

The lawsuit, filed Thursday in Washington, DC, argues that the fee is unlawful and would hurt American businesses by making it harder and more expensive to hire needed talent.

H-1B visas allow US companies to hire foreign workers in specialized fields, especially in technology.

The program provides 65,000 visas each year, with an additional 20,000 for workers with advanced degrees.

Many tech companies rely heavily on H-1B workers, with nearly 75% of approved visas going to workers from India.

The Chamber says the Trump administration's new $100,000 fee, announced last month, exceeds the president's authority and disrupts a visa system created by Congress.

Before the fee, most visa costs were under $3,600, AP News reported.

The group explains that this sudden increase would force businesses to either pay much more or hire fewer skilled workers.

"Many members of the US Chamber are bracing for the need to scale back or entirely walk away from the H-1B program," the lawsuit states. "This would hurt their investors, customers, and current employees."

Critics Argue H-1B Visas Can Underpay Foreign Labor

The White House claims the fee helps protect American workers by discouraging companies from replacing them with cheaper foreign labor.

However, the Chamber counters that the fee is not a restriction on entry because it is paid by employers, not workers.

Critics of the H-1B program argue it sometimes allows companies to underpay foreign workers or use them to replace American employee

Still, many businesses say the visas are crucial because there aren't enough qualified American workers in certain fields.

According to Reuters, the $100,000 fee will apply to new visa applicants starting with the lottery selection in March 2026. It is set to last for one year but could be extended if deemed necessary.

In addition to the Chamber's lawsuit, other groups, including unions and employers, have filed similar legal challenges in California.

Big companies like Amazon, Microsoft, Apple, Google, and Tata Consultancy are among the top users of H-1B visas, with California having the largest number of visa workers.

The lawsuit stresses that the president's power over immigration is limited by laws passed by Congress.

"The President has significant authority... but that authority cannot directly contradict laws passed by Congress," it reads.

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