AGENCE FRANCE-PRESSE and ANNETTE CHIU in Zhuhai

Beijing will promote rapid reforms of the aviation industry to meet the demands of China's economy, a senior official said yesterday at an aerospace forum in Zhuhai.

Gao Hongfeng, vice-minister of the General Administration for Civil Aviation of China, said the mainland would be opening up the market as part of its terms of entering the World Trade Organisation.

"The direction has been set. We will firmly open the market at an appropriate pace," Mr Gao said.

Last year, the total turnover of the aviation sector reached 17.1 billion tonne-kilometres, passengers numbered 87.59 million and cargo transport amounted to 2.19 million tonnes, with average annual increases of 18 per cent, 16 per cent and 16 per cent respectively.

Mr Gao said the rate of these increases was three times higher than those recorded globally.

Although China's aviation sector market was the fastest-growing in the world, Mr Gao said the quality of its civil aviation development was comparatively low.

"At present, personnel training, infrastructure and management cannot match the fast growth of air transport, and this problem is becoming more and more serious," he said ahead of the opening of the Fifth China International Aviation and Aerospace Exhibition.

"There is still an imbalance in air transport between eastern and western regions ... regulations are not complete; air transport enterprises still do not have strong international competitiveness."

Beijing planned to relax restrictions on the approval of domestic routes and encourage investment - including from abroad. Authorities would support domestic airlines forging alliances with foreign companies, boost training of technicians and encourage local companies to recruit talent from overseas.

"It can be expected that in the coming 10 years, China's civil aviation industry will make substantial progress," he said.

The Zhuhai show, held every two years, is the only such event on the mainland. This year it attracted delegations from 32 countries and regions, and has drawn big global players including Boeing and Airbus. The development of domestic aircraft was the focus.

State-owned China Aviation Industry Corporation I will announce details today about the ARJ21-700 - which will become the first large commercial jetliner produced in China. Shanghai Airlines and Shandong Airlines have placed orders of the 70-seater regional jetliner which are expected to be delivered by 2008.

The other highlight of the show will be the debut appearance of a new short-range, ultra-low-altitude portable missile.