The Trump administration said it will fight in court against lawsuits challenging its $100,000 fee for new H-1B visa petitions, asserting that the move is necessary to protect American workers and curb fraud in the system.

White House press secretary Karoline Leavitt on Thursday defended the policy, saying, “The administration will fight these lawsuits in court. The president's main priority has always been to put American workers first and to strengthen our visa system. For far too long, the H-1B visa system has been spammed with fraud, and that's driven down American wages. So the president wants to refine this system, which is part of the reason he implemented these new policies. These actions are lawful, they are necessary, and we'll continue to fight this battle in court.”

Leavitt’s remarks come days after the US chamber of commerce filed a lawsuit challenging the fee hike, calling it “plainly unlawful” and claiming it overrides provisions of the Immigration and Nationality Act.

Several unions, employers, and religious groups have also filed lawsuits in federal courts in California and Washington, DC, arguing the fee harms US industries.

Neil Bradley, executive vice president and chief policy officer at the US Chamber, said, “The new $100,000 visa fee will make it cost-prohibitive for US employers, especially start-ups and small and midsize businesses, to utilise the H-1B program, which Congress created expressly to ensure that American businesses of all sizes can access the global talent they need to grow their operations here in the US.”

He added, “President Trump has embarked on an ambitious agenda of securing permanent pro-growth tax reforms, unleashing American energy, and unravelling the overregulation that has stifled growth. The Chamber and our members have actively backed these proposals to attract more investment in America. To support this growth, our economy will require more workers, not fewer.”

The H-1B visa program allows US companies to hire skilled foreign workers.

Under Trump’s September 19 proclamation, companies sponsoring new H-1B applicants must pay the $100,000 fee in addition to existing processing costs. The US Citizenship and Immigration Services (USCIS) has clarified that the fee does not apply to applicants seeking a “change of status” or “extension of stay.”

Indians represent the largest group of H-1B visa recipients, accounting for an estimated 71 per cent of all approvals in recent years. The high fee will impact the tech sector, including major firms such as Amazon, Microsoft, and Google.