Why did France give up territory west of the Mississippi River?

Answer:In 1762, during the French and Indian War, France ceded its America territory west of the Mississippi River to Spain and in 1763 transferred nearly all of its remaining North American holdings to Great Britain ... Reports of the retrocession caused considerable uneasiness in the United States.

In the 1763 Treaty of Paris, France gave up all its holdings on the continent to England. In an effort to prevent the English from fully capitalizing on their loss, France signed a secret treaty with Spain to give their ally French possessions west of the Mississippi River, including New Orleans.