The British Parliament had granted a monopoly to the East India Company to import and sell tea to the colonies.
People in the colonies were demanded the removal of restrictions imposed on them and autonomy. The British Government refused to yield to the demands of the colonies and in retaliation America decided to boycott British goods.
In 1773, as an act of resistance, the local residents of Boston dumped the boxes of tea in the sea belonging to the East India Company. This event is known as the ‘Boston Tea Party.’