China to replace industrial policy with new program to facilitate greater access for foreign companies

The new plan is set to roll out early next year, when the U.S. and China are expected to speed up negotiations for a deal to end their trade war, according to the report.

The Wall Street Journal report on Wednesday that China is planning to replace an industrial policy with a new program that promises greater access for foreign companies in a move to resolve trade tensions with the United States. The stocks in the U.S. jumped by a percentage point following the report.

China's top planning agency and senior policy advisers are drafting the replacement for President Xi Jinping's "Made in China 2025" that would play down the country's bid to dominate manufacturing and be more open to participation by foreign companies, the Journal reported, citing people briefed on the matter.

The "Made in China 2025" policy prioritizes development of key industry sectors, from robotics and aerospace to clean-energy cars and has provoked alarm in the West.

The new plan is set to roll out early next year, when the U.S. and China are expected to speed up negotiations for a deal to end their trade war, according to the report. 

(With inputs from agencies.)