On February 25, 2025, President Trump declared his intention to terminate the U.S. EB-5 Immigrant Investor Program, a pathway that allows foreign investors to gain permanent residency by investing in U.S. businesses that generate at least 10 jobs per investor. The program currently mandates an investment of $1,050,000, which can be reduced to $800,000 under specific conditions such as investments in high unemployment areas, rural locations, or government infrastructure projects. Investors, along with their dependents, can obtain U.S. citizenship after a five-year period of permanent residency.
Proposed Changes: Introduction of “Gold Card” Program
In the announcement, Trump proposed a new “Gold Card” program in place of the EB-5 visa, which would require a substantially higher investment of $5 million. This program would purportedly offer enhanced benefits, including a citizenship pathway, similar to what the EB-5 program provides. However, details on the new program are limited, with a commitment from the president to share a more comprehensive plan within two weeks. The primary goal, as stated, is to attract affluent individuals to the U.S. to stimulate business creation and contribute to diminishing the national deficit.
Legal Limitations of Presidential Authority
It’s important to note that President Trump does not possess the legal authority to unilaterally abolish an act of Congress, including the Immigration and Nationality Act, which governs immigration policy. This authority rests with Congress, as mandated by Article 1, Section 8, Clause 18 of the Constitution, granting lawmakers the power to establish immigration laws. The Supreme Court has recognized Congress’s “plenary” power over immigration, indicating that legislative authority in this field is largely exclusive.
In 2022, Congress extended the EB-5 program through September 30, 2027, via the EB-5 Reform and Integrity Act. Thus, any modification or termination of the program would require Congressional action, as the president can only propose new immigration laws, not enact them. Furthermore, amendments to the Immigration and Nationality Act would necessitate Congressional approval. The president is tasked with enforcing immigration laws through various agencies, including U.S. Citizenship and Immigration Services and U.S. Customs and Border Protection. If a move is made to dissolve the EB-5 program, it could prompt immediate judicial intervention to contest such an action.