diff --git a/test/generator/each-block-keyed/_config.js b/test/generator/each-block-keyed/_config.js
new file mode 100644
index 0000000000..094c2f1066
--- /dev/null
+++ b/test/generator/each-block-keyed/_config.js
@@ -0,0 +1,28 @@
+export default {
+	data: {
+		todos: [
+			{ id: 123, description: 'implement keyed each blocks' },
+			{ id: 234, description: 'implement client-side hydration' }
+		]
+	},
+
+	html: '<p>implement keyed each blocks</p><p>implement client-side hydration</p>',
+
+	test ( assert, component, target ) {
+		const [ p1, p2 ] = target.querySelectorAll( 'p' );
+
+		component.set({
+			todos: [
+				{ id: 234, description: 'implement client-side hydration' }
+			]
+		});
+		assert.htmlEqual( target.innerHTML, '<p>implement client-side hydration</p>' );
+
+		const [ p3 ] = target.querySelectorAll( 'p' );
+
+		assert.ok( !target.contains( p1 ), 'first <p> element should be removed' );
+		assert.equal( p2, p3, 'second <p> element should be retained' );
+
+		component.teardown();
+	}
+};
diff --git a/test/generator/each-block-keyed/main.html b/test/generator/each-block-keyed/main.html
new file mode 100644
index 0000000000..7d5b90a9f8
--- /dev/null
+++ b/test/generator/each-block-keyed/main.html
@@ -0,0 +1,3 @@
+{{#each todos as todo @id}}
+	<p>{{todo.description}}</p>
+{{/each}}