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Visas, passports and embassy delays: What the US govt shutdown means for Indian applicants

Embassies globally have warned that their public communications -- social media updates, routine notices -- will be suspended except for urgent safety or security alerts.

October 01, 2025 / 16:13 IST
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The ongoing US government shutdown has disrupted many federal services, and Indian nationals planning travel or visa processes must be prepared. The US Embassy in India announced via X, “At this time, scheduled passport and visa services in the United States and at US Embassies and Consulates overseas will continue during the lapse in appropriations as the situation permits.”

However, new appointments for visa or immigration services are not guaranteed to go through, and existing application processing may slow down. Embassies globally have warned that their public communications -- social media updates, routine notices -- will be suspended except for urgent safety or security alerts.

In past shutdowns, consulates trimmed hours, froze new application intake, and delayed processing of visas and passports, according to The Economic Times. With 750,000 US government workers furloughed, only essential personnel remain active, meaning many non-essential embassy functions will be sidelined until Congress restores funding.

How $100,000 H-1B visa fee is changing the equation for Indians

In a dramatic shift, the Trump administration has now imposed a sweeping USD 100,000 fee on new H-1B visa petitions, sending shockwaves through India’s tech and services sector. Several Indian media outlets have covered this extensively. For example, Times of India reports that this massive increase forces India’s skilled professionals, and their potential US employers, to rethink the viability of working in the US under H-1B status.

The Indian government, via its Department of Economic Affairs, flagged disruptions arising from this steep one-time fee, warning of its adverse impact on services exports. The fee hike could strike at the heart of India’s outsourcing and IT services model. Reuters reported that India expressed concern that such an extraordinary charge might upset remittance flows and slow growth in its services sector.

While the White House later clarified that existing H-1B visa holders and renewals are exempt from the new charge, the policy still applies to new applications, heightening uncertainty for aspiring tech professionals.

Analysts and industry voices suggest this policy could spark a shift: instead of sending talent to the US, American firms might now relocate high-end work to India or other countries. Technology companies are already reassessing their global talent strategies in response.

The sudden 100,000 USD cost converts what was once a relatively modest visa expense into a barrier out of reach for many individuals and small employers. For India, whose professionals make up over 70 percent of H-1B visa recipients, this move could upend decades of migration and outsourcing dynamics.

Moneycontrol World Desk
first published: Oct 1, 2025 04:13 pm

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