End of American Dream? Trump visa pause prompts more Indian students to explore Germany, Ireland, France

End of the American Dream? Trump-era US visa pause prompts more Indian students to explore Germany, Ireland, France

Study-abroad platforms across India have been flooded with calls and messages over the past week from students and increasingly anxious parents. From worries about visa delays to doubts over whether the US remains a reliable destination, the atmosphere is rife with concern.

The panic stems from a surprise announcement by the US government on May 27, pausing all new student visa interview appointments, citing a system update. While officials framed it as a temporary administrative move, it coincided with a broader effort to tighten screening norms — particularly around social media activity. Consulates have now been directed to intensify checks on applicants’ online presence, turning what was once a discreet background check into a more visible and formal part of the vetting process.

With the Fall 2025 intake just around the corner, this abrupt freeze has left thousands of aspiring Indian students facing uncertain timelines—and, in some cases, reconsidering their destination altogether, according to several study abroad platforms Moneycontrol spoke to.

Akshay Chaturvedi, Founder and CEO of Leverage Edu – a study abroad platform – says the heightened scrutiny of social media profiles is nothing new for Indian students aiming for the US.
“We’ve been advising students for almost a decade, and it’s well known that US universities—much like some Indian ones—often review a candidate’s social media even before admission is granted,” he told Moneycontrol. “This isn’t entirely new. What’s changed is the visibility of the process.”

He sees this pause as a temporary hurdle, not a dead end: “Education is a long-duration game. Students going for two-to-four year degrees make those decisions with a long-term mindset. Most of the students we’ve spoken to are waiting and watching for now.”

Industry insiders have linked the move to the Trump administration’s decision to expand social media background checks—a broader effort to tighten visa vetting that could increase scrutiny and slow processing times.

Panic hits the ground

Yet on the ground, the panic is palpable.

“There’s definitely panic among students right now. I have received over 100 queries about what they should do next,” said Piyush Bhartiya, co-founder of AdmitKard – a study abroad consultancy. “The worry isn’t just about what’s been announced—it’s about what could follow. Students are anxious about possible delays, rejections, and whether they’ll even be able to make it to campus on time.”

Officials have clarified that already scheduled appointments will proceed without disruption, but there’s no clarity on when new interview slots will reopen. Still, many in the industry fear rising rejection rates.

According to Bhartiya, nearly 41 percent of student visa applications were rejected last year—a 10-year high—and this could climb to 50–55 percent in the coming months. “We’re expecting student numbers to fall by another 25 percent this year, which means a drop of around 60,000–65,000 students,” he added.

He also noted a rise in interest in destinations beyond the traditional markets. “We’re seeing a clear uptick in demand for countries like Germany, Ireland, UAE, France, the Netherlands, and Finland,” Bhartiya said. “Canada and the UK are seeing slower momentum, but these destinations are benefiting from the uncertainty around the US.”

“We’ve already started updating our visa counselling modules and are rolling out enhanced interview prep and webinars for students looking at alternatives,” added Kajal Dave, co-founder of study abroad platform LaunchEd Global.

A recalibration, not a retreat

However, not everyone is sounding the alarm. Piyush Kumar, Regional Director for South Asia at IDP Education, said that while the pause has prompted many questions, students with scheduled interviews should not worry.

“This is an administrative pause, not a policy change,” he said. “There’s no indication that rejection rates will rise for those who already have interview appointments.”

Still, many companies are rethinking their own strategies.

“We’re strengthening our partnerships in alternate destinations and helping students build equally promising pathways outside the US,” said Dave of LaunchEd. Similarly, IDP and AdmitKard are actively diversifying their offerings toward Europe, the UK, Australia, and Asia-Pacific.

“This news has definitely sent a ripple of concern through students and parents alike,” said Rozy Efzal, co-founder of Invest4Edu. “Especially after investing significant time, money, and effort, many are now applying to multiple countries as a safety net. While the US remains a top choice, this has prompted some families to treat it as a high-risk destination.”

The concerns come on the heels of multiple policy shifts out of Washington. On May 27, the US Embassy in India also warned students that skipping classes or failing to notify their colleges could lead to visa revocation—or even a lifetime ban from entering the US.

More than 4,700 students have already had their visas revoked, with some universities like Stanford reportedly learning of the cancellations only through system checks.

And there may be more to come. The US is now planning to impose a five percent tax on every dollar remitted abroad by non-citizens. Indians sent $119 billion overseas in 2024—$32 billion of that from the US alone.

This comes at a time when competitors are turning up the charm. Canada issued over 4,00,000 study permits to Indian students last year. Australia is rolling out new welcome initiatives. And across Europe, countries like Germany and Ireland are seeing growing demand from Indian applicants disillusioned with the US process.

Despite the noise, Chaturvedi remains optimistic about the US education system’s long-term prospects. “The US as a destination will never be out of vogue,” he said. “It’s a cycle. What we’re seeing now is just part of the reset.”