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Trump’s H-1B Visa Fee Hike Sparks Doctor Shortage Fears, Hospitals Warn

Trump’s H-1B Visa Fee Hike Sparks Doctor Shortage Fears, Hospitals Warn/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ Healthcare leaders are sounding the alarm over the Trump administration’s proposed H-1B visa fee hikes, warning the change could significantly reduce the flow of foreign-trained doctors. These professionals fill vital roles, especially in underserved rural areas. As the U.S. braces for a growing physician shortage, hospitals urge exemptions for healthcare workers.

President Donald Trump speaks as Commerce Secretary Howard Lutnick listens in the Oval Office of the White House, Friday, Sept. 19, 2025, in Washington. (AP Photo/Alex Brandon)

H-1B Visa Fee Increase Quick Looks

  • Trump administration proposes H-1B visa fee hikes up to $100,000
  • Over 5,600 healthcare H-1B approvals granted in 2025
  • Foreign-trained doctors fill over 20% of U.S. family medicine roles
  • AMA warns fee surge could worsen the doctor shortage
  • AHA urges exemption for healthcare professionals in policy changes
  • Physician shortfall projected to reach 86,000 by 2036
  • Hospitals like Cleveland Clinic, Cedars-Sinai reviewing impacts
  • 21 million Americans rely heavily on foreign medical graduates

Deep Look:

Hospitals Warn: Trump’s H-1B Fee Hike Sparks Doctor Shortage Fears

The Trump administration’s latest immigration policy proposal—raising H-1B visa application fees as high as $100,000—is generating major pushback from U.S. healthcare leaders, who argue the change could deepen the nation’s already severe physician shortage.

The Department of Homeland Security (DHS) is reviewing a sweeping proposal that would increase the H-1B visa fee structure. Currently capped around $4,500, the proposed spike would mark a dramatic escalation in cost for U.S. employers who rely on international talent in high-skill professions like medicine, technology, and academia.

But unlike tech companies that typically dominate H-1B discussions, it’s hospitals, physician groups, and healthcare systems that are sounding the alarm this time.

Why the Healthcare Sector Depends on H-1B Visas

The U.S. healthcare system heavily depends on foreign-trained doctors—many of whom enter and practice under H-1B visa sponsorship. These international medical graduates (IMGs) often accept placements in rural and underserved communities, where the shortage of U.S.-trained doctors is most acute.

According to the American Academy of Family Physicians (AAFP), IMGs account for more than 20% of the nation’s family medicine workforce. In many areas, these professionals make up over half of practicing physicians.

“The proposed fee hike could drastically reduce our ability to bring in qualified international physicians, especially in regions already facing provider shortages,” the AAFP said in a statement.

Scope of the Proposed Fee Hike

The H-1B visa system currently facilitates employment for hundreds of thousands of foreign professionals. In fiscal year 2025, the U.S. Citizenship and Immigration Services (USCIS) reported about 442,000 unique H-1B beneficiaries across all sectors. Of those, 5,640 petitions were approved within the healthcare and social assistance industry.

For hospitals already operating under post-pandemic strain, the Trump administration’s proposed cost increase is triggering widespread concern.

Physician Groups Warn of Severe Repercussions

The American Medical Association (AMA) cautioned that the visa fee hike could significantly shrink the already strained pipeline of incoming physicians.

“With the U.S. already facing a shortage of doctors, making it harder for international medical graduates to train and practice here means patients will wait longer and drive farther to get care,” said AMA President Bobby Mukkamala.

The warning comes amid troubling projections: The Association of American Medical Colleges (AAMC) estimates that by 2036, the U.S. could face a shortfall of between 13,500 and 86,000 physicians due to increasing demand and retirement-related attrition.

Hospitals Demand Exemptions for Medical Workers

The American Hospital Association (AHA) stressed that the H-1B program serves as a vital lifeline for staffing gaps—especially in short-term scenarios where local talent is unavailable.

“The H-1B visa program plays a critical role in allowing the hospital field to recruit highly skilled physicians and other healthcare professionals to ensure access to care for communities and patients,” an AHA spokesperson told Reuters. The association is now actively pushing for exemptions in the proposed fee increases specifically for healthcare professionals.

Many health systems—including Cleveland Clinic, OhioHealth, Cedars-Sinai, and Mass General Brigham—have acknowledged they are currently assessing the policy’s potential impacts on staffing, recruitment, and patient access to care.

Foreign-Trained Doctors Fill the Gaps

In many communities, especially rural and low-income urban areas, international doctors are not just helpful—they’re essential. According to the AAFP, around 21 million Americans live in regions where foreign-trained physicians comprise at least 50% of the medical workforce.

These physicians also tend to work in primary care—one of the specialties most affected by current shortages—and often accept challenging assignments that U.S. graduates may not pursue.

With many hospitals still grappling with workforce instability in the wake of the COVID-19 pandemic, the proposed policy shift could have ripple effects throughout the healthcare system.

Policy Decision Could Reshape Future Workforce

The Trump administration’s rationale behind the fee increase is reportedly tied to broader immigration cost-sharing reforms, aiming to shift financial responsibility to sponsoring employers. However, critics say the move could unintentionally cut off access to essential talent, particularly in sectors where staffing shortages directly affect public health.

As the DHS continues its review, healthcare organizations, immigration advocates, and policymakers are preparing to push back against what they see as a disproportionately harmful burden on an already overstretched healthcare system.

For now, the future of U.S. healthcare staffing—and the fate of thousands of aspiring international physicians—may hinge on how this policy unfolds in the coming months.


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