There are substantial differences between the Chinese and US education systems. One difference is in the design and use of assessment due to differences in educational policies. This study described the differences in student learning outcomes, instructional approaches, and learner motivation in physical education as consequences of the policies in the two countries. Objectively measured data on skill and knowledge achievement and instructional procedures, and self-report data on student motivation were collected from a random sample of 870 students in 24 whole classes from eight Chinese middle schools and 1213 students in 39 classes from 15 US middle schools. Multivariate analyses of variance on class means revealed that Chinese students outperformed their US peers in skills, perhaps because skills were part of the high-stake tests for advancement in schooling. They were outperformed by the US students in a fitness knowledge test, perhaps because knowledge was not part of the high-stake tests. The differences in learning outcomes, instructional approaches, and motivation seem to suggest strong differentiated influences from the two countries' respective educational environments and assessment policies.