Fei Zhaojun worked as a computer programmer in Beijing. One day his boss asked him if artificial intelligence could soon replace human coders. Two weeks later, Fei lost his job.
He was laid off along with about 160 of his coworkers. It is becoming a common story across China.
The Chinese government has pushed people and businesses to use AI in nearly every part of daily life. This push is reshaping the country's job market at a fast pace.
Some economists say the shift could hurt the overall strength of China's economy over time. Workers in many fields are losing jobs or fear that they might.
Workers Try to Adapt
Fei had doubted AI could do programming work well. His bosses believed otherwise.
"Mid-level coders' jobs are essentially replaceable in most cases," Fei said. He is now making short videos about ordinary people's lives during a career break.
Du Qinchun is a part time translator based in Chengdu. He now helps train an AI model to translate text, which has brought him more work for now.
He said pay in the translation industry has dropped by more than half compared with past years. College programs in foreign languages have become less popular as a result.
The research firm IDC found that 47.5% of Chinese industrial companies used AI models and AI agents last year. That is up sharply from just 9.6% in 2024.
Humanoid robots can already sort parcels in postal centers on a small scale. They are also starting to direct traffic and make coffee in some cities.
Food delivery robots are spreading across the country too. This could affect the jobs of millions of delivery workers in China.
AI is also changing entertainment. The number of short drama videos made for mobile phones fell about 75% in the first quarter of this year compared with the year before.
Mixed Effects on the Economy
China's economic growth has slowed in recent years. Some of this is linked to people spending less money because they worry about losing their jobs.
A prolonged downturn in the housing market has also hurt household wealth in China. These issues add to the concerns about AI and employment.
A report from the International Labor Organization found that women face a higher risk of losing jobs to AI than men. This is because women often work in roles that are easier to automate.
Wang Zhicheng used to write scripts for a company that made educational videos for children. After the company cut about half of its script writers, he left to start his own studio making picture books.
He said AI generated scripts often felt repetitive and strange. He believes humans should remain the ones who decide which AI content gets used.
Not everyone in China sees AI as a threat. High school chemistry teacher Yang Zheng said students use AI for homework help, but he does not see it replacing teachers.
"Teachers cannot be there all the time," Yang said. He added that AI often gets answers wrong, but it keeps improving.
Some experts believe unemployment could ease over the long run. China's population is aging and shrinking quickly, which could offset job losses from automation.
As of now, China's overall urban unemployment rate hovers around 5%. Unemployment for people aged 16 to 24, excluding students, is roughly three times that rate.