In an announcement posted on Facebook, Mr Turnbull said the visas for skilled migrants would be replaced with a new temporary visa with added requirements, including work experience and better English-language skills.
The new visa would be "specifically designed to recruit the best and the brightest in the national interest", he said.
The announcement follows a crackdown on 457 visas last month, when Immigration Minister Peter Dutton said the Government would scrap the fast-track arrangements in place for 457 skilled work visas for fast food chains.
The latest figures from the Immigration Department stated there had been a drop in 457 visas holders in Australia to 95,758 in September 2016.
The majority of the visa holders were from India, which accounted for almost a quarter of the intake, followed by the UK and China at 19.5 per cent and 5.8 per cent respectively.
"We are an immigration nation, but the fact remains: Australian workers must have priority for Australian jobs," he said.
More to come.