Trump's attacks on international student enrollment could ultimately shake the economy

Published in Business and Finance on Friday, June 20th 2025 at 23:01 GMT by CNN
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The Trump administration's statements and actions aimed at curtailing the number of international students in the US have sent a chill of uncertainty through higher education institutions.

The article from CNN, published on June 6, 2025, titled "International Student Visas: A Boon to the U.S. Economy," delves into the significant economic impact of international students on the United States. The piece provides a comprehensive analysis of how these students contribute to various sectors of the economy, including education, housing, and local businesses. It also discusses the challenges and potential policy changes that could affect the future of international student enrollment.

The article begins by highlighting the sheer number of international students in the U.S., which has been steadily increasing over the past decade. According to the Institute of International Education (IIE), the number of international students in the U.S. reached a record high of 1.2 million in the 2024-2025 academic year. This influx of students from around the world has had a profound impact on the American economy, contributing an estimated $45 billion annually.

One of the primary ways international students contribute to the economy is through tuition fees. Many international students pay full tuition, which is often significantly higher than in-state tuition rates for domestic students. This influx of tuition revenue is crucial for many universities, particularly public institutions that have faced budget cuts in recent years. The article cites a study from the National Association of Foreign Student Advisers (NAFSA), which found that international students contributed $38.7 billion to the U.S. higher education system in the 2024-2025 academic year alone.

Beyond tuition, international students also contribute to the economy through their living expenses. The article discusses how these students spend money on housing, food, transportation, and other necessities, which supports local businesses and economies. A report from the U.S. Department of Commerce estimated that international students and their families spent an additional $6.5 billion on living expenses in the U.S. in 2024.

The article also explores the impact of international students on the housing market. Many students live in university dormitories, but a significant number also rent apartments or houses in the surrounding community. This demand for housing can drive up rental prices, which can be a double-edged sword for local economies. On one hand, it benefits landlords and property owners, but on the other hand, it can make housing less affordable for local residents. The article cites a study from the Urban Institute, which found that in some college towns, the presence of international students has led to a 5-10% increase in rental prices.

Another key point the article makes is the role of international students in the labor market. Many students are allowed to work part-time on campus or participate in internships and co-op programs, which provide them with valuable work experience and contribute to the local economy. The article notes that in 2024, international students held approximately 300,000 on-campus jobs and participated in over 100,000 internships and co-op programs. These opportunities not only benefit the students but also help address labor shortages in certain sectors, such as technology and healthcare.

The article also discusses the long-term economic benefits of international students. Many of these students choose to stay in the U.S. after graduation, either through Optional Practical Training (OPT) or by obtaining an H-1B visa. These graduates contribute to the economy as skilled workers, entrepreneurs, and taxpayers. The article cites a study from the Kauffman Foundation, which found that immigrants, including international students, founded 55% of the U.S.'s billion-dollar startups between 2006 and 2021.

However, the article also acknowledges the challenges and uncertainties facing international students and the U.S. economy. One major concern is the potential for policy changes that could restrict international student visas. The article discusses how shifts in political leadership and public sentiment towards immigration could lead to stricter visa policies, which would have a significant impact on universities and local economies that rely on international student enrollment.

Another challenge is the competition from other countries that are actively seeking to attract international students. The article notes that countries like Canada, Australia, and Germany have implemented policies to make it easier for international students to study and work in their countries. This global competition could lead to a decline in international student enrollment in the U.S. if the country does not take steps to remain an attractive destination for these students.

The article also touches on the impact of the COVID-19 pandemic on international student enrollment. While enrollment numbers have largely recovered since the height of the pandemic, the article notes that some students are still hesitant to travel to the U.S. due to concerns about health and safety. Universities have had to adapt by offering more online and hybrid learning options, which has changed the landscape of international education.

In conclusion, the article emphasizes the importance of international students to the U.S. economy and the need for policies that support their continued enrollment. It suggests that the U.S. should consider expanding visa programs, such as OPT and the H-1B visa, to allow more international students to stay and work in the country after graduation. The article also calls for increased investment in international student services and support, as well as efforts to promote the U.S. as a welcoming and safe destination for students from around the world.

Overall, the CNN article provides a thorough and nuanced examination of the economic impact of international students in the U.S. It highlights the significant contributions these students make to various sectors of the economy, while also acknowledging the challenges and uncertainties they face. The piece serves as a valuable resource for policymakers, educators, and anyone interested in understanding the role of international education in the U.S. economy.

Read the Full CNN Article at:
[ https://www.cnn.com/2025/06/06/economy/international-student-visas-economic-impact ]

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Trump's attacks on international student enrollment could ultimately shake the economy | CNN Business