Computer programmer Fei Zhaojun was laid off in Beijing with about 160 colleagues two weeks after his boss asked whether artificial intelligence could soon replace human coders. His experience reflects China’s rapid, government-supported adoption of AI across software, translation, media and physical work. Fei now makes vlog-style videos during a career break, while others are adapting by training AI systems, working independently or using the technology as a tool. Industrial enterprises reporting use of AI models and agents rose to 47.5% last year from 9.6% in 2024, according to IDC. Analysts say AI could raise productivity but reduce job creation and worsen employment pressures, even as automation may help offset China’s aging and shrinking workforce. China’s overall urban unemployment rate is around 5%, while unemployment among people aged 16 to 24, excluding students, is roughly triple that.