US companies are increasingly considering moving key operations to India following President Donald Trump’s sharp hike in H-1B visa application fees, according to economists and industry experts.
The policy change is expected to accelerate the growth of India’s Global Capability Centres (GCCs)—specialized hubs that manage everything from finance and product design to advanced research and development. India currently hosts more than 1,700 GCCs, accounting for over half of the global total, and has evolved from providing basic tech support to driving high-value innovation such as automotive design and pharmaceutical research.
Rising restrictions on US work visas and the growing adoption of artificial intelligence are prompting companies to rethink their labor strategies. Industry leaders say India’s GCCs are well-placed to take on this shift, offering global expertise combined with strong local leadership.
“GCCs are uniquely positioned for this moment. They serve as a ready in-house engine,” said Rohan Lobo, Partner and GCC Industry Leader at Deloitte India, noting that several US companies are already reassessing their workforce models. Plans are reportedly underway in sectors including financial services and technology, particularly among firms engaged in US federal contracts.
Lobo added that GCCs will increasingly “take on more strategic, innovation-led mandates” as the transition gathers pace.
Trump’s recent decision to raise H-1B visa application costs to $100,000—up from $2,000 to $5,000—has placed additional financial strain on firms dependent on skilled foreign workers to fill critical roles. Meanwhile, US lawmakers have also reintroduced legislation to further tighten H-1B and L-1 visa programs, citing concerns over loopholes and misuse.
Analysts predict that if these visa curbs remain in place, companies will move more high-end functions such as AI development, cybersecurity, analytics, and product design to India-based GCCs, opting to keep these operations in-house rather than outsourcing.
“There is a sense of urgency,” said Lalit Ahuja, Founder and CEO of ANSR, which has helped companies including FedEx, Bristol-Myers Squibb, Target, and Lowe’s establish GCCs in India. He emphasized that the latest policy changes are accelerating discussions many firms had already begun on shifting strategic work to India. (Source: NDTV)
