Business & Economy
United States · Direct U.S. connection
Trump Administration Proposes $70,000 Fee for International Student Work Program
The Department of Homeland Security introduced a new rule that would charge universities tens of thousands of dollars for each international student participating in post-graduate training, a steep increase from current student-paid fees.
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THE PRIMARY BRIEF
- 01 · The primary finding
The Trump administration's Department of Homeland Security proposed a rule to charge universities $70,000 for each international student's initial Optional Practical Training (OPT) period and an additional $30,000 for extensions, a significant increase from the current $470-$520 student-paid fees.
- 02 · The primary evidence
The proposed rule, published in the Federal Register on October 8, 2026, aims to combat fraud and abuse, but critics argue it will deter international students and harm U.S. innovation and university finances.
- 03 · Why it matters
If implemented, these fees could drastically reduce international student participation in post-graduate work in the U.S., impacting the American economy, workforce development, and the global competitiveness of U.S. higher education.
The Trump administration's Department of Homeland Security (DHS) announced a proposed rule on October 7, 2026, that would require universities to pay an initial $70,000 fee for each international student seeking an Optional Practical Training (OPT) recommendation, with an additional $30,000 for subsequent OPT periods. This represents a substantial increase from the current student-paid fees of approximately $470 to $520 for OPT applications.
This proposed change could severely limit international student access to post-graduate work experience in the U.S., potentially affecting American innovation, university revenue, and the nation's global leadership.
What the records show
The proposed rule, published in the Federal Register on October 8, 2026, stipulates that SEVP-certified educational institutions would pay the new fees. Specifically, a $70,000 fee would apply for a student's initial OPT period, and an additional $30,000 would be charged for any subsequent OPT period, including STEM OPT extensions, leading to an aggregate of $100,000 for STEM OPT participation. DHS acknowledged that institutions might pass these costs on to international students, all students, or employers. The collected fees would be deposited into the U.S. Treasury.
Timeline of the Rule
The Department of Homeland Security announced the proposed rule on October 7, 2026. It was subsequently published in the Federal Register on October 8, 2026. The public comment period for the proposal is open from October 8 to November 9, 2026.
DHS Justifies Changes
DHS stated that these fees are intended to combat fraud and abuse within the OPT program, enhance the integrity of the immigration system, and protect U.S. workers. A DHS spokesperson asserted that OPT "was never meant to be a back door into the American workforce, a subsidy for cheap labor, or a prize for those who game the system," and that "American workers should not have to compete against a program that has been turned into a pipeline for cheap foreign labor”. The department also claimed that without these fees, it cannot effectively operate OPT to prevent fraud and might be compelled to shut down the program entirely.
Industry Concerns Grow
The proposal has drawn significant criticism from higher education and industry groups. Fanta Aw, Executive Director and CEO of NAFSA: Association of International Educators, stated that “Driving away the talents, perspectives, and aspirations of international students will only hurt American innovation, economic growth, workforce development, and global leadership”. Critics argue that such high fees would severely restrict or eliminate international student participation in post-graduate training, potentially undermining universities' ability to recruit international talent. Economist Michael Clemens estimates that a $100,000 OPT fee could cost American universities up to $4 billion annually in lost revenue. The American Immigration Council noted that DHS admitted the fees would go to general U.S. Treasury funds rather than fraud detection, questioning the stated justification. A survey indicated that 80% of international students would reconsider studying in the U.S. if such fees were implemented.
What we could not confirm
It remains unconfirmed how many universities would be able to absorb or pass on these costs without significantly reducing international student enrollment. The exact timeline for potential legal challenges to the rule, should it be finalized, was not specified.
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