South Korea and the European Union (EU) on Monday kicked off a new round of negotiation on their free trade agreement (FTA) in Seoul.

The two-day negotiation was the eighth of its kind and was expected to be the final round, South Korean official said.

"Both sides will seek to wrap up negotiations this week," South Korean chief negotiator Lee Hye-min said before launching the negotiations with his counterpart Ignacio Garcia.

"The free trade agreement, if finalized, will benefit both sides," Lee said.

The auto trade remains as the most sensitive issue between the two sides. South Korea currently imposes an eight-percent import duty on European cars, while the EU imposes a 10-percent duty on autos from South Korea, local media said.

South Korea and the EU began their FTA talks in May 2007.

(Xinhua News Agency March 23, 2009)