diff --git a/src/parser.ts b/src/parser.ts
index 8aac376..a5dcac0 100644
--- a/src/parser.ts
+++ b/src/parser.ts
@@ -223,6 +223,7 @@ const generate = (node: luaparse.Node): string | MemExpr => {
             const S = node.value
                 .replace(/([^\\])?\\(\d{1,3})/g, (_, pre, dec) => `${pre || ''}${String.fromCharCode(dec)}`)
                 .replace(/\\/g, '\\\\')
+                .replace(/`/g, '\\`')
 
             return `\`${S}\``
         }
diff --git a/tests/test.js b/tests/test.js
index 062c99d..9406ea5 100644
--- a/tests/test.js
+++ b/tests/test.js
@@ -40,4 +40,17 @@ let exitCode = 0
     }
 }
 
+{
+    const luaEnv = luainjs.createEnv()
+    let str
+    try {
+        str = luaEnv.parse('return "Backtick `literals` in strings work"').exec()
+    } catch (e) {
+        throw Error('Backticks in strings transpile into invalid code!')
+    }
+    if (str !== 'Backtick `literals` in strings work') {
+        throw Error('Backticks in strings transpile incorrectly!')
+    }
+}
+
 process.exit(exitCode)