The current administration has vowed to crack down on individuals who have overstayed their visas. This set of individuals will constitute of overseas students and visitors, thus putting fear in the higher education community, due to the active aggression in immigration policies.
This is going to hamper the US's ability to attract the best talent in the world. Many students from all over the world, who are bright enough and want to get the best education possible to choose to study abroad. US universities dominate the rankings for top universities and for that reason are the first choices for those students.
However, not giving them more incentives to study in the US will lead to lesser people opting for it, and more people going to Australia and Canada.
This is going to be a strategic loss for universities in the US as a high number of research and academic studies are being conducted by overseas students, however the Trump administration isn't entertaining this reason as it believes that illegal immigrants shouldn't have any right to stay in the US, while educators widely believe that leniency in visas is an incentive for the brightest minds to come to the US.