China retaliated swiftly on Tuesday against fresh U.S. tariffs with hikes to import levies covering $21 billion worth of American agricultural and food products, moving the world's top two economies a step closer towards an all-out trade war.

China announced new tariffs on U.S. food and agricultural products, shortly after the U.S.’s additional levies on Chinese imports went into effect. China said it is imposing an additional 15% tariff on U.

Trade tensions between the United States and China are flaring up again. This time, China is hitting back with new tariffs on American agricultural products. Starting March 10, the Chinese government will impose extra duties of 10% to 15% on a wide range of U.