This study explores integrating participatory design and Artificial Intelligent Generated Content (AIGC) in fashion craft education to enrich learning experiences and revolutionize traditional craft education methods. By focusing on embroidery, the research leverages AI technology to promote content creation within educational settings. The participatory learning environment encourages students to engage with AI-generated content actively, enhancing their learning process. The findings demonstrate that AI-generated visual narratives significantly boost student engagement, comprehension, and creativity. Additionally, the research outlines future directions, such as assessing the long-term impacts of this approach, staying attuned to emerging technologies, experimenting with AI models and platforms for comparative analysis, and refining the participatory design process to ensure students feel empowered and experience a sense of belonging, thereby making them feel valued and included. This study emphasizes the importance of blending participatory design and AIGC, offering practical insights for educators and professionals navigating the intersection of digital learning and AI applications in craft design education.