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Help How XML make an User Interface for android

After reading some resources I found that XML is used to store data and show data. But in android XML is used to make a layout. Here I am confused. How XML makes an user interface. In JAVA for a text field we use

JTextField jt =newJTextField(30);
add(jt);
But in android for a text field we write

<EditTextandroid:id="@+id/editText1"android:layout_width="match_parent"android:layout_height="wrap_content"android:ems="10"/>
I think when android machine find this XML then it replace this XML by a JAVA code.

If I am wrong please correct me.
 
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