CNBC's The China Connection newsletter, which delivers insights and analysis on the world's second-largest economy, has found that artificial intelligence (AI) isn't replacing jobs in China as much as Silicon Valley's Silicon Valley is experiencing massive layoffs. This is due to a different government system in China, a national employment goal and lower labor costs, which have prevented local companies from laying off as many people as their U.S. peers. The average monthly salary for high-demand algorithm engineers in China is around $35,000, ten times less than what Silicon Valley offers, despite higher taxes and living costs in the U.N. The impact of AI on jobs at Chinese companies appears to be more contained than seen in Silicon Valley. However, for Chinese nationals in the US, sudden layoffs could impact their immigration status.