China just hit back with tariffs on $16 billion worth of U.S. products

China announced Wednesday that it would be imposing 25 percent tariffs on $16 billion worth of U.S. goods after the White House imposed similar sanctions on Chinese goods Tuesday.

The tit-for-tat measures are the latest action in an escalating trade war between Washington and China.

The latest round of sanctions will see a 25 percent tariff placed on U.S. goods like crude oil and cars, according to the Chinese Ministry of Commerce, which said it was forced into action following the “very unreasonable” taxes levied by the White House.

Other products targeted include coal, diesel, bicycles, and medical equipment, as well as steel and plastic products.

On Tuesday, U.S. Trade Representative Robert Lighthizer announced another list of Chinese goods, worth $16 billion, that will be hit with tariffs. The 279 items on the list mostly involve industrial equipment such as tractors, plastic tubes, and measurement equipment like speedometers.

The latest tranche of tariffs brings the total amount of Chinese goods facing a 25 percent tariff to $50 billion.

The tariffs from both sides will come into force on Aug. 23

Both sides have been threatening to significantly expand the trade war, with Donald Trump warning President Xi Jinping that he is willing to impose a 25 percent tariff on up to $200 billion worth of Chinese goods.

Earlier this week, an editorial in the state-run People’s Daily warned that U.S. technology companies like Apple could be used as “bargaining chips” by Beijing in any trade dispute, given how reliant many of these companies are on cheap labor and strong supply chain networks in China.

Cover image: This photo taken on August 7, 2018 shows a truck (C) transporting a container next to stacked containers at a port in Zhangjiagang in China's eastern Jiangsu province. Photo by Johannes EISELE/AFP/Getty Images.