Strict control of the use of airspace below 3,000 metres (10,000 feet) has long been regarded as a hindrance in the country's aviation industry, according to the China Daily.

Zhang Hongbiao, president of helicopter manufacturer China Aviation Industry Corp II (AVIC II), said China would probably lift the long-standing restriction by 2010, the newspaper reported.

That would open up the skies to helicopters and light planes, for which there is a huge potential demand from government agencies and the growing "billionaires' club," Zhang said Friday in Beijing, where an aviation expo was being held.

However, the Air Traffic Control Committee of the Central Military Commission which controls airspace declined to comment on Zhang's statement, the report said.

China's aviation industry -- already the world's second largest -- is expected to witness explosive growth in the next two decades, with global giants such as Boeing and Airbus predicting annual growth rates of 7.3 to 8.0 percent, far higher than the world average.

China's ability to monitor low-altitude air traffic had also reached the level of developed countries, all the more reason to lift the ban, Zhang said.

Once Chinese airspace was opened up, helicopters could be used for law enforcement, medical aid, news reporting and other businesses, he said.

The potential had already lured the world's leading manufacturers to take action, the report said.

Italian helicopter maker Agusta this week set up a joint venture with Changhe Aircraft Industries Group, a subsidiary of state-owned AVIC II.