Does this count as work/activities?

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That might be a side point in a PS if it was really meaningful to you, but no. It does not belong in work/activities.
 
I grew up in CA but lived in a foreign country for 2 years as a teenager. I want to talk about my experience being there.

Thanks
If you feel that describing that experience would make you a more appealing med school candidate, then list it under the "Other" category in the Experiences section of AMCAS. Alternatively, some elements might be more appropriate to include in your PS, in the Disadvantaged Essay, or as suggested by gonnif, could make for a good Secondary Essay topic.
 
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