Colonial Resistance to the Tea Act
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As a result, many colonists refused to buy British tea. Also, the colonists were
able to get cheaper tea directly from Dutch and French traders who smuggled it to American merchants.
Mercantilist Policies Lead to the Tea Act In the 1770s, the British East
India Company found itself in deep financial trouble, due in part to dwindling tea sales in the
American colonies. As a result, more than 15 million pounds of tea sat unsold in British
warehouses. Parliament tried to help the British East India Company by passing the Tea
Act of 1773. The act let the company bypass colonial tea merchants and sell directly to
colonists. The Tea Act also gave the British East India Company a rebate on tea
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