Telangana is one of the States that will be worst affected by the U.S. decision to steeply increase the H-1B visa fee, IT and Industries Minister D. Sridhar Babu said, criticising the Centre for failing to engage in pre-emptive diplomatic negotiations to prevent such a blow.

"India is the largest recipient of H-1B visas globally. Naturally, the impact of this decision will fall disproportionately on our country. Yet, the Centre has failed to engage in pre-emptive diplomatic negotiations ... even failed to secure exemptions for existing H-1B visa holders already residing in the U.S.," Mr. Sridhar Babu said on Saturday after U.S. President Donald Trump signed a proclamation increasing the visa fee to a whopping $1,00,000 annually.

On the State's concerns, he said Telangana accounts for a little over 8% of India's total remittances, ranking fourth in the country.

"Our State will be among the worst affected by this policy shift. We will be writing to the Centre, urging immediate intervention on behalf of our people," he said, criticising the Centre's disregard for federal principles.

The present Union government treats only BJP-ruled states as partners in governance, while States like Telangana are consistently ignored," he said.

President Trump has already dealt India a heavy blow by imposing 50% tariffs on certain imports. Now, he has further escalated matters by increasing the H-1B visa fees, the Minister said, questioning why Prime Minister Narendra Modi is not responding.

The Prime Minister and the External Affairs Minister must take up this matter with the U.S. administration and secure temporary exemptions for current H-1B holders, ensure special provisions for Indian IT professionals and take a positive decision for the families and institutions dependent on remittances, Mr. Sridhar Babu said

Accusing the Union government of being too busy undermining the rights of States to spare any concern for the plight of Indians abroad, he said despite the U.S. decision on the tariffs and visa fee being setbacks to India's economic interests, the Prime Minister seems to be making an attempt to justify these measures as beneficial, which is most unfortunate," he said.

"Why is the Union government maintaining silence on President Trump's decision to impose an annual fee of $100,000 on H-1B visas? What is the hidden understanding behind this silence?," he asked, pointing out that the visa fee hike would have a serious impact on India's economy and on Telangana in particular.

Mr. Sridhar Babu, who was speaking to media, said 72-73% of H-1B visa holders are Indians and the fee hike would disproportionately affect Indian professionals.

"In FY 2024-25, India received $135.46 billion in remittances, of which 27.7% came from the U.S. With this fee increase, remittance inflows will be reduced, directly impacting our foreign exchange reserves. Yet, the Centre has neither intervened nor sought exemptions for those already holding H-1B visas," he said.

U.S. H-1B visa fee hike: Telangana will be worst hit, says IT Minister