Jiji Press ran the story on Thursday, after reportedly obtaining a copy of the document.
The report says the document is a draft outline on territorial issues for a peace treaty with Japan and was produced by the Chinese government in May of 1950.
In the document, the Chinese government reportedly refers to the islands in the East China Sea as the Senkaku Islands, instead of calling them Diaoyu, as it does today.
The Jiji article says the document contains descriptions recognizing the islands as part of what is now Japan's Okinawa Prefecture.
The document reportedly states that China needs to consider whether or not the islands should be incorporated into Taiwan.
China's foreign ministry spokesperson Hua Chunying said on Thursday that the Chinese government is not aware of the report. But she added that China's claims to sovereignty over the islands have sufficient historical and legal grounds.
China contends that the islands are part of Taiwan and has consistently referred to them as Diaoyu.
But the Jiji report casts doubt on this contention.
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