NEW YORK, May 23, 2025 (BSS/AFP) - Donald Trump's administration has revoked Harvard University's ability to enroll foreign nationals, putting the future of thousands of students at risk, with China on Friday slamming the "politicization" of educational exchanges.

The US administration's decision on Thursday threatened the prestigious university with a huge financial blow.

The school in Cambridge, Massachusetts quickly slammed the decision as "unlawful" and said it would hurt both the campus and the country, while one student said the community was "panicking."

Trump is furious at Harvard -- which has produced 162 Nobel prize winners -- for rejecting his demand that it submit to oversight on admissions and hiring over his claims that it is a hotbed of anti-Semitism and "woke" liberal ideology.

The loss of foreign nationals -- more than a quarter of its student body -- could prove costly to Harvard, which charges tens of thousands of dollars a year in tuition.

"Effective immediately, Harvard University's Student and Exchange Visitor (SEVIS) Program certification is revoked," Homeland Security Secretary Kristi Noem wrote in a letter to the Ivy League institution, referring to the main system by which foreign students are permitted to study in the United States.

"This administration is holding Harvard accountable for fostering violence, antisemitism, and coordinating with the Chinese Communist Party on its campus," Noem said in a separate statement.

Chinese students make up more than a fifth of Harvard's international enrollment, according to university figures, and Beijing said the decision will "only harm the image and international standing of the United States."

"The Chinese side has consistently opposed the politicization of educational cooperation," foreign ministry spokeswoman Mao Ning said.

- 'Threatens serious harm' -

Harvard, which has sued the US government over a separate raft of punitive measures, fired back at the Trump administration's move, calling it "unlawful."

"We are fully committed to maintaining Harvard's ability to host our international students and scholars," the university said in a statement, adding that it was working to offer students guidance and support.

"This retaliatory action threatens serious harm to the Harvard community and our country, and undermines Harvard's academic and research mission."

Karl Molden, an international student from Austria, said he had applied to study at Oxford in Britain because he feared such measures. 

"It's scary and it's saddening," the 21-year-old government and classics student told AFP, calling his admission to Harvard the "greatest privilege" of his life.

"It's definitely going to change the perception of... students who (might) consider studying there -- the US is getting less of an attractive spot for higher education."

Leaders of the Harvard chapter of the American Association of University Professors called the decision "the latest in a string of nakedly authoritarian and retaliatory moves against America's oldest institution of higher education."

"The Trump administration is unlawfully seeking to destroy higher education in the United States. It now demands that we sacrifice our international students in the process. Universities cannot acquiesce to such extortion," it said.

- 'Everyone's panicking' -

Last month, Trump threatened to stop Harvard from enrolling foreign students if it did not agree to government demands that would put the private institution under outside political supervision.

"As I explained to you in my April letter, it is a privilege to enroll foreign students," Noem wrote.

"All universities must comply with Department of Homeland Security requirements, including reporting requirements under the Student and Exchange Visitor Program regulations, to maintain this privilege," she said.

More than 27 percent of Harvard's enrollment was made up of foreign students in the 2024-25 academic year, according to university data.

Fourth-year US student Alice Goyer told AFP "no one knows" what the development would mean for international students already enrolled.

"We just got the news, so I've been getting texts from a lot of international friends, and I think everyone's just -- no one knows," she said.

"Everyone's panicking a bit."

On whether students would willingly transfer to other institutions, as suggested by Noem in her letter, Goyer said she doubted classmates would pursue that path.

"I would hope maybe there's going to be a legal battle that'll take place."

A federal judge on Thursday ordered a nationwide halt to any terminations of international students' legal status, although it was not immediately clear how the ruling would impact those enrolled at Harvard.

Judge Jeffrey White said US officials have "wreaked havoc" on people's lives, and the injunction would provide "stability" for them to continue their studies.

It follows aggressive moves by the Trump administration against universities where student activists have protested Israel over the war in Gaza.

The administration has revoked "thousands" of visas, Secretary of State Marco Rubio said Tuesday, under an obscure law that allows removals for activities deemed counter to US foreign policy interests.