The United States has imposed new tariffs on Chinese imports (such as shoes, diapers and food) worth $112 billion (£92 billion).
New tariffs have escalated dramatically during the fierce trade war, which could cost households $800 a year.
The move is the first phase of the latest plan by US President Donald Trump, which imposes a 15% tariff on $300 billion of Chinese imports by the end of the year.
In response, Beijing began to take measures against US$75 billion worth of US goods.
These measures include a 5% tariff on US crude oil, the first fuel blow in a trade war between the world's two largest economies.
The initial dispute over China’s so-called unfair trade practices is increasingly seen as a geopolitical struggle.