Generative AI tools such as ChatGPT are increasingly integrated into the teaching of English writing, and previous research confirms their ability to provide personalized feedback to correct grammatical and lexical errors and improve writing quality. However, few empirical studies have examined how ChatGPT shapes students’ argumentative writing self-efficacy. To fill this research gap, a circular framework of writing-feedback-revision was used for three weeks in this study. Forty-five Chinese English majors were divided into a high-level group (n = 22) and a low-level group (n = 23) according to their vocabulary test scores, and then randomly assigned to the ChatGPT feedback group and the teacher feedback group. The research instruments included an argumentative writing assignment, a writing self-efficacy questionnaire, and a vocabulary assessment. This paper examines the effects of feedback at different levels of writing on writing competence and self-efficacy. The results reveal three key findings. First, learners who received teacher feedback (mean rank = 27.39) made greater writing progress than those who used ChatGPT (mean rank = 19.19), with low-proficiency students showing the weakest improvement with AI feedback (mean rank = 13.63). Second, ChatGPT significantly improved the writing self-efficacy of low-level learners, but there was no corresponding gain in their writing performance. Third, teacher feedback had a consistent positive effect on both writing outcomes and self-efficacy. The evidence suggests that ChatGPT cannot completely replace writing instructors, especially for low-proficiency learners, as over-reliance on AI may inhibit writing growth. Nevertheless, ChatGPT can still be used as a viable aid to correct errors and refine expressions to develop writing confidence, and advanced learners need teacher-led training to develop critical and creative thinking. This study provides empirical evidence for AI-enhanced writing instruction and provides differentiated instructional designs for learners with different proficiency levels.
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