China announced on Friday that it was adding 14 European entities to its export control list, a direct retaliation against the European Union's decision one day earlier to penalize 14 Chinese enterprises as part of its latest sanctions package targeting Russia over the war in Ukraine.

Under the measures, Chinese companies are prohibited from exporting so-called dual-use items — goods and technologies that can serve both civilian and military purposes — to the 14 listed European organizations, China's Commerce Ministry said in a statement. Additionally, foreign companies are barred from supplying the 14 entities with dual-use items that originate in China.

The European companies affected include Czech vehicle manufacturer Tatra Trucks, Italian electric motor maker Lafert SpA, German manufacturer Sindlhauser Materials GmbH, and French drone manufacturer Cavok UAS.

A Chinese Commerce Ministry spokesperson said the measures were taken in response to the EU on Thursday adding 14 mainland Chinese and Hong Kong enterprises to its latest sanctions list against Russia. The actions are intended "to safeguard national security and interests, and to fulfill international obligations such as non-proliferation, in response to the E.U.'s egregious actions," the spokesperson said.

The EU's 21st sanctions package, adopted on Thursday, targets banks, cryptocurrency companies, and military equipment manufacturers, among other categories. The package also includes entities from third countries — namely China, India, and Turkey — that are believed to be supplying Russia with dual-use goods and technology.

China's Export Control Law, which took effect in December 2020, provides the legal framework for Beijing to restrict the export of dual-use items and related technologies on national security grounds. The law empowers the Commerce Ministry to maintain and update a controlled-items list and to designate specific foreign entities as restricted recipients. Beijing has increasingly leveraged this framework and related tools in recent years, having imposed export restrictions on minerals such as gallium, germanium, and graphite that are critical to semiconductor and defense supply chains.

The EU has progressively expanded its sanctions regime against Russia since Moscow launched its full-scale invasion of Ukraine in February 2022. Each successive package has broadened the scope of targeted entities, increasingly focusing on third-country firms accused of facilitating the flow of restricted goods to Russia. For its part, Beijing has consistently opposed unilateral sanctions not authorized by the UN Security Council and has criticized Western measures against Russia, casting them as extraterritorial overreach.

The exchange marks an escalation in trade frictions between China and the EU at a time when the two sides are already navigating disputes over electric vehicle tariffs, market access, and supply chain dependencies, adding another layer of complexity to a relationship in which both are major trading partners.

This story was originally featured on Fortune.com.