Beijing retaliates as new US tariffs kick in on $16 billion of Chinese goods

(CNBC) A new round of U.S. tariffs on $16 billion worth of Chinese imports kicked in on Thursday, prompting Beijing to retaliate with its own levies on American goods worth the same amount. The latest trade escalation comes as officials from the world's two largest economies meet for tariff negotiations in Washington.

At 12.01 a.m. EDT on Thursday, the U.S. began collecting additional 25 percent duties on 279 Chinese import product categories identified by U.S. Trade Representative. Key products that will be hit by the duties include semiconductors, chemicals, plastics, motorbikes and electric scooters. 

Beijing retaliated with its own fresh tariffs on $16 billion worth of additional imports from the U.S. including fuel, steel products, autos and medical equipment. The levies took effect the same time that the U.S. tariffs were imposed on Thursday, state news agency Xinhua reported, citing an announcement from the Customs Tariff Commission of the State Council.