Ancelotti made the remark in an external interview published on Monday with the Italian publication Il Giornale.
But the 65-year-old Italian later claimed that his remarks were “not interpreted in the way I intended” in a social media post.
He continued: “Nothing could be further from my interest than to reject the possibility of playing in a tournament that I consider could be a great opportunity to continue fighting for big titles with Real Madrid.”
Twelve European teams, including Real, have already qualified for the 32-team FIFA competition that will take place in the USA.
The La Liga winners released the following statement: “Real Madrid would like to announce that there has never been any doubt about our intention to compete in the new Club World Cup, which Fifa will host in the upcoming 2024–2025 season.
“Our club will therefore take part, as planned, in this official competition and we are proud and excited to be involved in it and we will once again inspire our millions of fans all over the world with another trophy.”
Ancelotti was cited as saying, “FIFA can forget it, footballers and clubs will not participate in that tournament,” in the interview with Il Giornale.