You say
"Newton's laws of motion apply to ideal objects with measurable
attributes devoid of interference from extraneous sources (e.g.
'bodies falling in a vaccuum'.) This also explains why the laws of
physics don't themselves capture or describe 'the arrow of time' "
You really think reconciling the thermodynamic arrow of time with spacetime would be an open problem if the answer was this simple? In mechanics you begin with elastic bodies, and idealising steps like discarding friction or ignoring other awkward but not not fundamental details, then cover inelastic scattering, coefficients of friction, etc. This is sometimes jokingly referred to as the 'spherical cow in a vacuum' approach. If your concern is with how inaccurate idealisations obscure reality from us, you should read How The Laws of Physics Lie for a thorough treatment. Idealisations and abstractions are just that, but they are gigantically effective in making things computationally tractable. It's important to question how valid they are, but ridiculous to say any abstracting is incapable of revealing more than obscuring. See more general discussion here: Is the idea of a causal chain physical (or even scientific)? You should look at the modern approach of effective field theories, for how modern physics is tying relevant theories to relevant context, eg degrees of freedom at given length and energy scales. I make the direct case that the way mathematics is less useful in biology than physics, is only a surprise because of a kind of 'physics chauvenism', which expects all explanations to come down to equations: The Unreasonable Ineffectiveness of Mathematics in most sciences So of course biology being more complex with more degrees of freedom, and involving more historucal contingency, is not an argument against physicalism, only against physics-is-all-there-is thinking that says anything not readily reducible to it is suspect.
Eliminating action-at-a-distance, was a key concern for the developing scientific picture of physicalism, removing the 'mysterious ways' of divine intervention and miracles. In this picture we have locality, and signals require movements of matter or fields restricted to light speed (entanglement partially challenges locality, but cannot be used to send information faster than light). When people want to decry physicalist-materialism I can only think this is what they take issue with, because it's the core of this very succesful approach in science. Jung's Synchronicity and Sheldrake's Morphic Resonance are examples of relatively serious attempts to question this orthodoxy.
Thermodynamically closed systems are an idealisation that is almost never totally true, and yet the only circumstance that lynchpin of modern physics the second law of thermodynamics is valid in. But again the more general case is open systems, implying context. We can work with relatively closed though, and use the second law.
Continuous symmetries under transformation, is probably the deepest area in physics, because Noether's Theorem showed they are directly equivalent to stating conaervation laws. Accounting for rotational momentum implicitly assumes the net rotation of the universe is zero, and that we can reference the restframe of the universe.
It's also assumed the net energy of the universe was likely to have been zero, with initially equal matter and antimatter (CPR symmetry violation linked to current assymetry), and a role for equal but opposite sign energy in gravitational fields to baryonic rest mass. That is, that everything began together at one time in a singularity or close to it, at the Big Bang, which seems to have had very low entropy but no mass. So context is always there. But locality means that most of the time we can discard irrelevant context when looking at particular dynamics.
I see it as wrong to describe everything as 'reducing' to physics, that instead physics is a language foe translating between contexts. Discussed here: Is the idea that "Everything is energy" even coherent?