New international student enrolments in US universities have fallen sharply by 17% in the 2025–26 academic year, with an overwhelming 96% of institutions citing persistent visa delays and denials as the primary reason, according to a new report from the Institute of International Education (IIE).

Released recently, IIE’s Fall 2025 Snapshot — covering 825 higher education institutions — shows that 57% of campuses reported fewer new international students this year, only 14% saw stability, and 29% recorded an increase.

The report marks the second consecutive year of decline, with IIE warning that visa bottlenecks and policy uncertainty are now reshaping global student flows to the US.

India’s numbers dip in new enrolments, driving the national decline

For Indian students — who overtook China last year to become the largest international cohort — the trend has turned. Despite a 9.5 per cent rise in total Indian student numbers in 2024–25, the majority of US institutions now report year-on-year drops in new enrolments from India, with only 39% seeing stability or growth.

IIE notes that this decline in fresh Indian admissions is likely a key factor behind the nationwide slump, given India’s outsized share of the international student population.

Visa challenges were near-universal this year:

·        96% of institutions flagged long wait times

·        91% cited visa denials

·        81% reported disruptions from the pause in issuances during May–June

In comparison, only 64% of institutions blamed visa issues in 2021, underscoring how sharply the landscape has changed.

First major drop since the post-COVID surge

The Fall Snapshot was released alongside the Open Doors 2025 report, which confirms the first post-pandemic fall in new international enrolments — down 7 per cent from 2023–24. New postgraduate enrolments saw the sharpest hit, dropping 15 per cent, while new undergraduate numbers rose by 5 per cent.

Indian vs chinese student trends

In 2024–25, the US hosted around 3.63 lakh Indian students, accounting for 31% of all international students — far ahead of China’s 22.6% share.
Chinese student numbers fell 4%, continuing a multi-year decline.

Among Indian students:

·        Undergraduate numbers rose 11.3%

·        Postgraduate numbers fell 9.5%

·        OPT participation surged 47%, with 1.44 lakh Indians now on Optional Practical Training — nearly 40% of all Indian students in the US

Texas, New York, Massachusetts, California and Illinois remain the top US states hosting Indian students.

Yet, the number of F-category visas issued to Indian students between 2023 and 2024 fell sharply by 33.2%, the steepest drop globally after Iran.

Political climate and policy threats intensify uncertainty

The Trump administration’s ongoing actions — from revoking visas of students linked to pro-Palestine protests to temporarily halting student-visa interview scheduling for enhanced social-media vetting — have amplified anxieties in the international student community. Many universities are simultaneously grappling with cuts to federal funding.

Adding to the turbulence, a Bill introduced earlier this year in the US House seeks to abolish the OPT programme, a pillar of the US higher education system that allows graduates to work temporarily in the country.

Universities warn that eliminating OPT would be catastrophic:

·        76% of institutions say OPT is crucial for attracting students

·        70% say it helps US businesses retain global talent

·        92% say students would shift to other countries if OPT were scrapped

IIE’s report stresses that OPT remains a decisive factor shaping the global competitiveness of American higher education.

The bigger picture

Despite the decline in new enrolments, the total international student population in the US grew by 5 per cent in 2024–25, reaching 11.77 lakh — a legacy of three strong post-pandemic years.

But with visa backlogs intensifying, policy uncertainty deepening, and rival countries aggressively expanding student pathways, the US now faces its sharpest warning sign yet: A cooling demand from India — its largest international student engine.

If current trends persist, universities and policymakers fear the US could lose its long-held leadership in global education mobility.