<h1>Country and regional bloc push to finalize free trade deal this year, tackling steel, autos, carbon border and deforestation rules</h1> A country and a regional bloc are continuing free trade agreement negotiations, focusing on sensitive issues including steel, autos, a carbon border adjustment mechanism and deforestation-related regulation, with emphasis on addressing both tariff and non-tariff barriers and creating transparent regulatory frameworks. The parties seek preferential treatment for labour-intensive sectors, have closed roughly half the negotiation chapters with several in-principle agreements, and aim to finalise the FTA by year-end. Technical teams will exchange visits to resolve outstanding chapters and regulatory concerns; potential impacts cited include significant tariffs on certain exports and market access implications for commodities subject to the bloc's sustainability rules.