President Donald Trump shared more details about the upcoming Gold Card and changes to the EB-5 visa during today’s first Cabinet meeting. He said that US immigration has not been properly monetized or run until now, and his new Gold Card aims to change that.
“I happen to think it will sell like crazy,” he said. “It’s a bargain.”
Commerce Secretary Howard Lutnick added that he would “modify” the EB-5 program together with Homeland Security Secretary Kristi Noem. The EB-5 visa program is suspect, poorly overseen, and poorly executed, he said.
“We will modify the EB-5 agreement,” he said. For $5 million, they will get a license from the Department of Commerce and then they can make a proper investment on the EB-5.”
He added they plan to overhaul the EB-5 program but did not clarify whether this meant it would be replaced by the Gold Card or will exist in addition to it.
Any changes to EB-5 program needs Congress approval, immigration attorneys say
EB-5 attorneys have expressed caution regarding Trump’s plan for EB-5. Many noted that Congress must approve any changes to the EB-5 program or the introduction of a new visa. The program is currently extended until Sept. 30, 2027, due to the EB-5 Reform and Integrity Act of 2022 (RIA), so congressional action is necessary to change or replace it, they said.
They also emphasized that the EB-5 program is not only a U.S. residency option but also a job-creation and capital investment initiative that benefits the U.S. economy.
“At present, it is not clear what procedures will be followed to end one immigration program and start a new investment visa program. However, both would likely require an act of the U.S. Congress to make these types of changes, said Jennifer Hermansky, EB-5 Committee chair for the American Immigration Lawyers Association (AILA). “The U.S. Congress is given the power to pass immigration laws that control admission, exclusion, and naturalization. While the President can seek to introduce new legislation to change the investment immigration laws for the future, the Executive Branch cannot unilaterally stop a congressionally mandated visa program on its own.”
Meanwhile, Ron Kalsko from Klasko Immigration said it’s highly unlikely that the “House and the Senate will pass immigration legislation to amend the Immigration and Nationality Act.”
In addition, Michael Harris from Harris Law P.A. discusses the legislative challenges that must be overcome concerning the EB-5 Program to be passed. He notes, “Congress cannot cancel the EB-5 Program as is via a reconciliation budget bill, which is under consideration now. Congress would need to be able to invoke cloture and avoid a filibuster with 60 votes or more through regular legislation, and that will never happen under the current dynamics in Congress. The RIA already made substantial reforms and improvements to the EB-5 Program by requiring stricter compliance by regional centers, issuers of securities, and protections for investors. I think Trump is simply trying to create noise as a way to deflect from how he will pay for his multitrillion dollar tax cuts.”
Mixed reactions to the EB-5 announcement continue
While some EB-5 attorneys view the proposed adjustments as an opportunity for improvement and increased investment, others voice concerns.
Bernard Wolsdorf from WR Immigration noted that the announcement answers to much-needed improvements to U.S. investment immigration.
“President Trump is a businessman, and this is his opening position,” he said. “He wants to increase the amount of investment and has proposed $5 million. At that rate, the number of applicants would drop to allow only a few oligarchs to obtain green cards, and they don’t want green cards because of worldwide taxation. However, I do see the possibility of legislation to increase the investment amount in the next few months.”
And there is good news,” Wolfsdorf said.
“President Trump is talking about removing all caps and quotas on investor visas which is a good thing. His goal of increasing the quota from 10,000 to one million is very forward thinking. President Trump has indicated his support for this job creation program and we now have a unique window of opportunity while Congress, that makes the law, considers updates to the EB-5 green card program,” he added.
Regional center trade association Invest in the USA (IIUSA) pointed out that the announcement shows Trump’s intent “to continue to utilize foreign investment to create hundreds of thousands of new American jobs and drive billions of dollars of economic growth in the US economy. The EB-5 program has played a significant role towards this goal. IIUSA is eager to collaborate with the President on his bold new initiative and with Secretary Lutnik and other leaders to further strengthen programs that create American jobs and drive economic growth.”
The American Immigrant Investor Alliance (AIIA) expressed concern over a potential end of the program, as it has “created tens of thousands of jobs across the United States. Any fraud in the program is minimal and that is reflected in a recent 2023 Government Accountability Office (GAO) report that found that less than 1% of EB-5 petitions are fraudulent during the 2021 fiscal year. The Trump administration’s attempt to end the EB-5 program will cost jobs — especially among working class Americans that the President vowed to support,” the association said.
However, AIIA welcomed the current administration’s support for investment-based legal immigration and looks forward to collaborating on the creation of a “gold card” program.
“We are glad that the current presidency is taking a renewed interest in this pathway and we welcome the President’s confirmation of his longstanding support for legal immigration that benefits America by fostering job creation through investment. We look forward to collaborating with stakeholders on the development of the EB-5 Gold Card program to ensure that the United States continues to receive economic benefits from immigrant investors, while preserving the current positive role of EB-5,” the association sadi.
Meanwhile, Tammy Fox-Isicoff from Rifkin & Fox-Isicoff PA voiced her skepticism about the feasibility and benefits of the proposed gold card. “If Trump could get rid of EB-5 with a swipe of his hand, why would anybody trust any program in the US? Trump also cannot create a golden visa with his magic wand. The EB-5 program expires in two years after September 2026, there will be no more grandfathering. Trump would be better off letting the program die a natural death and urging Congress not to renew it.”
U.S. “gold card” could face implementation challenges
As to the feasibility and advantages of the “gold card,” expectations differ between members of the EB-5 legal community.
According to Fox-Isicoff, “Ironically, the really rich who have $5 million to do this, never want residence in the US. They do not want to be subject to U.S. taxes, so this is really silliness.”
Bobi Ahn from Ahn Law believes the new visa program will primarily benefit Russian oligarchs and may not receive Congressional approval as intended by President Trump.
“It’s ridiculous. The Oligarchs won’t pass the vetting anyway (the source of funds have to be legal/established/documented – and I highly doubt that is something that can be provided by them), so the result may be that the EB-5 programs goes through another round of proposed increase in the required minimum investment amount, but probably won’t for a few more years.”
For litigation attorney Robert Cornish, the appeal of the current EB-5 program is that it offers a path to citizenship that can be funded at a reasonable cost, and the possibility of getting their investment back. “The ’gold card’ proposal does not recognize this reality. One would struggle to think of any investor with $5 million laying around to pay USCIS to subject themselves not only to US taxation worldwide, but foreign asset controls without the prospect of getting that money back. While it may be delightful to think that oligarchs would place such value on the investment returns of being an American citizen, they are attracted to opaque jurisdictions for many reasons.”
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