Trump’s H-1B Shock: Why Near-Shoring Is Canada’s Immigration Wake-Up Call

On September 19, 2025, President Donald Trump signed an executive order imposing a $100,000 annual fee on H-1B visa sponsors and directing U.S. authorities to raise prevailing wages and prioritize only the highest-paid, highest-skilled workers.

This dramatic policy shift instantly raised the cost of accessing global talent in the U.S. It’s no longer just a budget consideration—it’s a strategic risk. Companies are now scrambling to protect contracts and timelines by exploring near-shoring to Canada or Mexico and remote work arrangements that bypass U.S. immigration hurdles.

Canada’s Window of Opportunity


Canada is uniquely positioned to seize this moment:

  • Proximity to the U.S. market for seamless operations
  • Stable institutions and robust trade agreements that reduce uncertainty
  • A skilled domestic workforce that, when combined with global specialists, can deliver world-class results

Firms with prior experience in near-shore models can move quickly. But for many, Trump’s policy shock is the catalyst forcing them to consider Canada for the first time.

The Challenge: Tightening Access to Foreign Skills


Just as demand for specialized expertise surges, Canada is moving to reduce overall temporary foreign worker numbers. This creates a paradox:

  • Demand for specialized services and skills is rising sharply.
  • Supply is constrained by reduced access to foreign talent.

Without policy flexibility, Canada risks losing high-value contracts and missing the chance to upskill its workforce through knowledge transfer.

What Canada Needs to Do


To capture this opportunity and remain competitive in an unpredictable global economy, Canada must adopt strategic, pinpointed immigration policies:

  1. Revisit immigration levels and TFW allocations to keep essential skills accessible even while managing overall numbers.
  2. Create targeted pathways in tech, engineering, advanced manufacturing, and green energy, sectors where shortages are most acute.
  3. Use immigration as a competitiveness tool, not merely a population growth lever.
  4. Pair Canadian professionals with foreign experts to transfer knowledge and build domestic capacity.
  5. Maintain fair labour protections while enabling employers to respond quickly to shifting market needs.

Conclusion


Near-shoring is no longer a slow-moving trend, it’s a strategic imperative accelerated by Trump’s H-1B fee. Canada has both a chance and a responsibility: the chance to attract globally rare talent and secure contracts moving out of the U.S., and the responsibility to ensure our immigration and labour policies are agile enough to deliver.

In a volatile global economy, strategic precision, not blanket policy, will determine whether Canada becomes North America’s near-shore hub or watches opportunities migrate elsewhere.

For comprehensive legal analysis or strategic case support, contact Greenberg Hameed PC.

The content of this bulletin is for informational purposes only, and is not intended to provide or be relied on as legal advice.

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