China will impose a 34 percent tariff on imported American goods in addition to existing tariffs in response to similar moves by the United States, further escalating trade tensions between the world’s two biggest economies, reports the South China Morning Post.

The Chinese tariff will be effective from April 10, according to the State Council, China’s cabinet.

The retaliation comes in the wake of the 34 percent tariff imposed by the US on Chinese goods on Wednesday.

As part of its retaliatory measures, Beijing has imposed also export controls on 16 American companies and suspended the export rights of six US-linked companies to China.

Another 11 American companies, including drone manufacturer Skydio, have been added to the list of unreliable organizations. Furthermore, China will impose additional restrictions on the export of certain rare earth minerals.