Tesla Faces Stiff Competition in China. America Is Next.

China is way ahead of the U.S. in electric-vehicle adoption. For Chinese EV producers, that’s a double-edged sword. The market for their products is far larger than it is for American EV producers, but competition is much hotter.

Now after years of growth, the Chinese EV market is oversupplied. The current state of the Chinese EV market offers U.S. investors a look into what might happen in the U.S. down the road—and how market developments in America will impact

Tesla

(ticker: TSLA).