The presidential palace in New Delhi. Photo by Mark Silva
by Mark Silva
The presidential palace in New Delhi was built, less than a century ago, as headquarters for the colonial governor of the former British colony.
Erected at a time when the Indian independence movement was fomenting, the ostentatious aspect of this palace seems, as viewed in retrospect, an invitation to overthrow an empire.
The empire was turned on its head today: With Ford Motor Co.'s announced sale of Jaguar and Land Rover to India's Tata Motors, the ownership of two of Great Britain's legendary motor marques will pass this year from one former British colony to another.
This isn't so much a story of globalization as it is a tale of the globe turned on its axis.
For Ford, struggling to regain its footing, the $2.3 billion deal represents a significant loss. The company paid $2.5 billion for Jaguar in 1989 and $2.7 billion for Land Rover in 2000.
For Tata, the purchase will extend the Indian automobile and truck manufacturer's reach around the world to control of a British work force of about 15,300 in the Jaguar and Land Rover assembly lines.
And for a nation whose extraordinary growth and voracious appetite for energy is helping drive world oil prices higher, the rise of India as a world manufacturing power will accelerate debates over such matters as U.S. support for a civilian nuclear power program in a nation long allied with the old Soviet Union which never signed the Nuclear Nonproliferation Treaty.
If an American automaker has now relinquished control of one of the world's most luxurious lines of automobiles, and one of its legendary overland exploratory vehicles as well, the debate over the proper role of the United States in India's burgeoning economy -- and nuclear power program -- will return to Washington next year after the current debate over the heir to the White House is resolved.
The debate over globalization -- read free trade -- already has become a central fixture of the presidential campaign in the old manufacturing heartland of the United States where Ford once ruled as king of the automakers. Henry Ford never saw any of this coming.





