China's approach to artificial intelligence (AI) is distinctively shaped by its strengths in manufacturing, infrastructure, and governance, setting it apart from the U.S., which excels in cloud computing and software development. While the U.S. focuses on abstract, cloud-based AI such as large language models, China prioritizes "embodied AI" - systems that interact with the physical world through sensors and actuators. This emphasis reflects China's long-standing belief in leveraging technology to solve governance challenges and its need to integrate AI with its vast physical infrastructure.