This research aims to find out how AI-enhanced project-based learning can affect English speaking performance, AI literacy and self-efficacy of students in middle school. Earlier studies have mostly concentrated on the immediate effects of AI in teaching English or traditional classrooms without adequate attention given to psychological variables of learners such as self-efficacy and AI literacy. Besides, there has been inadequate long-term empirical research conducted in real school settings to confirm about continuous influence resulted from using AI tools.

The study involved 84 third year middle school students (33 males, 51 females) who took part in a 5-week AI-enhanced English project course that included ten lessons. Pre- and post-tests were conducted to measure differences between mean scores for English speaking performance, AI literacy, and self-efficacy using paired t-tests.

The analysis showed significant improvements in all three dimensions. First, there were statistically significant gains in all sub-domains of English speaking performance (pronunciation, grammatical accuracy, fluency, and task completion). Second, there were significant gains in all sub-domains of AI literacy (AI awareness, understanding and utilizing AI principles, AI social values, and AI ethics). Participants demonstrated a significant improvement in their understanding and utilization of AI principles. Finally, statistically significant improvements in English speaking self-efficacy were observed.

These findings offer important implications. First, they demonstrate that AI-enhanced project-based learning can yield comprehensive educational benefits encompassing language skills, technological understanding, and psychological aspects. This is significant because it suggests that teaching with AI technology can provide a more effective and multifaceted learning experience. Second, the study provides evidence for the effectiveness of AI tools in actual classroom settings, informing future AI-integrated educational policies and curriculum development. Third, this study empirically demonstrates that AI-enhanced education can positively impact not only technical skills but also psychological factors such as learners' AI literacy and self-efficacy.

This research suggests that appropriate integration of AI technology in future educational settings can play a crucial role in developing learners' multifaceted competencies. Further longitudinal studies with diverse learner groups are recommended to verify the long-term effects of AI-enhanced education.

Keywords: English Education, English speaking performance, AI literacy, Self-efficacy, Digital tool.