China faces high youth and low-skilled worker unemployment amid economic shifts and AI integration. The government aims for rapid AI adoption, but acknowledges potential job loss impacts, looking to balance technological advancement with social stability. While accepting short-term job losses for progress, the CCP is expected to implement measures to mitigate unemployment as societal unrest poses a significant threat. Historically, the CCP has prioritized stability, and current leaders may take a different approach by managing AI’s rollout to protect jobs while pursuing economic reform.
https://www.rand.org/pubs/commentary/2025/12/china-is-worried-about-ai-job-losses.html