The move is set to affect high-skilled workers, non-agricultural seasonal helpers, au pairs and top executives.
Mr Trump plans to create jobs for Americans who are struggling financially as a result of the coronavirus pandemic.
However, critics believe the Whitehouse is using the coronavirus situation as an excuse to tighten immigration laws under President Trump.
In a briefing for reporters, the administration explained the freeze would affect more than 500,000 people through the course of 2020.
The call is estimated to block 170,000 people with the aim to extend a ban on some new green cards.
The green card allows permanent residence to foreigners.
In April, the Whitehouse revealed they would pause visas, a ruling which would have expired on Monday.
It is believed that existing visa holders will not be affected by the new measures.
H-1B Visas will also fall under the new ruling, a regulation that is often offered to Indian tech workers.
Critics estimate the move could accommodate Silicon Valley companies to outsource American jobs to lower-paid foreign employees.
READ MORE China MUST be stopped: IDS demands huge worldwide effort
University students and foreign au pairs who provide childcare are said to be affected.
However, Professors and scholars are exempt from this ruling.
L visas for managers and other key employees will be placed on hold.
The new restrictions have been supported by some groups.
Speaking to AP news agency, Mark Krikorian, executive director of the Centre for Immigration Studies said: “This is a bold move by the Trump administration to protect American jobs.”
The new policy was explained as a device to utilise “the best and the brightest” and “the most value for our economy”
However, restrictions have outraged some unions and many businesses who believe the pandemic reasoning is a cloak to implement the policy.
In a letter written earlier this month, the Chamber of Commerce said: “As the economy rebounds, American businesses will need assurances that they can meet all their workforce needs.
“To that end, it is crucial that they have access to talent both domestically and from around the world.”
American Civil Liberties Union also disagreed with the new policy, they said: “It’s the exploitation of a pandemic to reshape immigration law, while superseding Congress.”