Begin by preparing the sweet and sour sauce. Add the honey, ketchup, vinegar, soy sauce, orange marmalade, and chili garlic sauce to a saucepan. Whisk to combine. Bring the mixture to a gentle boil over medium/high heat. Turn the heat to low and simmer.
In a separate bowl make the cornstarch slurry, whisk together the cornstarch and warm water. When the cornstarch dissolves, pour the mixture into the saucepan. Whisk the slurry into the sweet and sour sauce. It should begin to thicken pretty quickly. Remove from heat and set aside.
Prepare the veggies by heating the sesame oil in a large skillet over medium/high heat. Add the onion and peppers to the oil and season with salt. Saute for 5-7 minutes or until they reach the desired texture. Cover and remove from heat.
Next, prepare the chicken. In three separate bowls, add the flour to one, whisked eggs to the second, and panko bread crumbs and salt to the third bowl.
Dredge a piece of chicken through the flour, then egg, and then the panko. Be sure it is fully coated. Set aside and repeat until all the chicken has been coated.
Transfer the chicken to the air fryer and spray with avocado oil. Be sure the chicken pieces are not overcrowded. Cook at 400º for 5-8 minutes (depends on what type of air fryer you’re using) or until the chicken is golden brown and crispy. You may need to cook the chicken in batches. We are looking for an internal temperature of 165ºF.
Transfer the cooked chicken to a large bowl and toss with the sauce until coated. Serve the chicken and peppers over rice or on their own.