Saturday, July 12, 2025
As the United States readies to share the 2026 FIFA World Cup, a new immigration law that was recently passed by President Donald Trump has been cause for alarm among the travel and tourism sector. The law, which was officially dubbed the One Big Beautiful Bill, imposes a $250 visa integrity fee on most non-immigrant visa applicants, including tourists, students, and seasonal workers. On the heels of the World Cup attracting millions of international tourists, this new fee was particularly ill-timed and has sent industry leaders into a panic over concerns that this new fee will discourage global tourism and the accompanying economic stimulus that comes from hosting the tournament.
What is a ‘Visa Integrity Fee’?
The visa integrity fee, effective from fiscal year 2026, will apply to virtually all non-immigrant visa classifications, including tourist (B-1/B-2), student (F/M), work (H-1B), and exchange (J) visas. The fee will be applied to foreign nationals applying for a US visa internationally, which will incur an additional fee of $250 on top of existing visa fee collections. The fee will be tied to inflation, going up every year from 2026 and onwards.
The fee serves like a security fee, meant to discourage visa overstaying and failure to comply. Importantly, the Visa Integrity Fee is not fully refundable, and refunding only up to the date applicants leave the US by virtue of all visa requirements. The refunding process remains indefinite and, by virtue of the bureaucratic requirements that come with this, may end up being cumbersome to many traveling visa. The vagueness on this aspect further instils fear on the current law’s effects on overseas visitors.
Visa Fee Hike: An Economic Barrier to Foreign Travelers
The travel industry experts have been concerned that the introduction of the Visa Integrity Fee will significantly enhance the monetary burden on international tourists. For countries like India, this means a significant increase in visa costs. For example, the existing cost paid by tourists for a B-1/B-2 tourist visa, which currently stands at close to $185, will cost them almost $472 once the cost of the Visa Integrity Fee and other applicable charges are added to that. For tourists, this will work out to an over 2.5 times increase in the overall cost.
US Travel Association (USTA) head Geoff Freeman described the visa fee hike as a self-imposed tariff, and that raising fees on international visitors may discourage travel and dampen spending. Many potential tourists, and particularly those from budget-minded countries, may hesitate to travel to the US due to higher costs that build up from this increase. This comes just when the country is awaiting massive numbers of international tourists to arrive and watch major events like the World Cup.
The World Cup: The ultimate test for US tourism
The World Cup is one of the largest sporting tournaments in the world, and the United States, Mexico, and Canada will share the tournament hosting duties come 2026. The US host cities, such as Kansas City, New York, and Philadelphia, expect an influx of hundreds of thousands of international tourists. The tourism boards project that 50% of the fan base from the World Cup will come from abroad and generate massive economic possibilities within the tourism, retail, and transport industries.
However, the added cost from the visa integrity fee, combined with ambiguity from the refund process, may discourage international fans from attending. Even a moderate decline from international attendees may mean a loss from tourism that exceeds several billion, hitting not only arenas and hotels, but local businesses like restaurants, shops, and lines of transit too.
The industry further fears the prospect of a tougher visa process and longer processing hold-ups before final approval. Increased visa costs and stricter immigration enforcement might deter tourists from solidifying travel arrangements to visit the World Cup or other premier US events.
Beyond the Fee: Other Legislative Developments that Affect Travel
The One Big Beautiful Bill goes one step further than the visa integrity fee, however. It also reduces funding to Brand USA, the US taxpayer-funded tourism promotion agency, from $100 million to $20 million. Brand USA plays a crucial role promoting the country’s attractions to international tourists. Reducing this funding will considerably damage the country’s ability to market itself as a desirable travel destination, especially on the way to large international sporting events such as the World Cup and the 2028 Olympics that head to Los Angeles.
The bill additionally states that additional US Customs and Border Protection (CBP) agents should be hired and trained to work more effectively on the border. While this may reduce waiting time for handpicked tourists, there are concerns that the increased number of border patrol personnel may enhance scrutiny, especially among tourists coming from places that have comparatively higher visa rejection rates. The end may be more strict examinations of personal devices, detention, and other enforcement measures that may deter tourists and spread poor impressions regarding US hospitality.
What’s at Stake for Travel Businesses and World Cup Hosts?
Local tourism marketers and World Cup organizers within host cities are particularly concerned about the impacts from the rise in visa cost and stricter immigration laws. The cities like Kansas City and Philadelphia were counting on massive injections into their local coffers from the visiting foreigners that come to watch games abroad. Slowing turnout may translate to lowered revenues from expectations, and numerous companies that have been counting on the tournament will end up suffering financially.
According to Forbes, supporters of the law assert that the Visa Integrity Fee will strengthen immigration enforcement and reduce visa overstays. They further cite the possibility that improved travel infrastructure and event security funding may follow from the fee. Critics, however, cite that such measures will not make up for the negative impact on the overall experience that the country provides its tourists. If the country becomes an undesirable destination by virtue of the higher fees and strictures on immigration processes, the long-term effect will have a negative impact on tourism and business travel to the country.
Rush to Apply Before the Fee Takes Effect
As the new fee sets in 2026, many global tourists, students, and business professionals will rush to apply for visas ahead of the hikes taking effect. Travel experts and agents predict a visa rush on the deadline, which will exert an added strain on an already strained US visa infrastructure. The impact will be processing delays, longer timeframes, and added distress among tourists eager to secure their visas ahead of milestone events like the World Cup.
Conclusion: The Tipping Point for US Travel
While the US administration considers its existing Visa Integrity Fee current to date an collaborative tool to enhance control on immigration, the ambiguity that revolves around the refund process, and the sudden increase in costs, has kept many international visitors on the fence concerning visiting the US. The timing of this policy, precisely when the US will host the World Cup and many other events, comes at the worst time. For companies that handle tourism, sports organizers, and local businesses, increased visa fees and stricter travel regulations may mean the difference between success and missed economic gains. Coming on the heels that the US has to face competition from other countries that are hungry to share international tourists, the policies by the administration may have a long-lasting effect on a downturn in tourism, unless speedy measures are put to ease the cost burden on tourists.
