Some Chinese Characters are actually adopted into Japanese. For example, the Chinese character “刀” （Dāo）will be read as “Katana” in “kun’yomi” since the word is native to Japanese. While in “日本刀” the pronunciation is “nihontō” (on’yomi) because it is borrowed from Chinese which means “Japanese sword”.

Source: https://languagetutor.com.au/what-is-the-difference-between-chinese-and-japanese-characters/
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