The two Manchester clubs are set to go head-to-head for Arsenal forward Alexis Sanchez.
The 29-year-old has been strongly linked with a move to Manchester City, but United are aiming to hijack the deal.
Respected journalist Gianluca Di Marzio says United boss Jose Mourinho has entered the race for the Chile forward despite already having Romelu Lukaku, Anthony Martial, Marcus Rashford and Zlatan Ibrahimovic in his squad.
City came close to sealing a deal for Sanchez last summer and manager Pep Guardiola is still interested in the Chilean international.
Sanchez’s contract runs out at the end of the season, but City were willing to pay around £25 million to complete the move during the January transfer window.
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United’s entry into the race could force up the price, giving Arsenal the chance to cash in on a player they may lose for free next summer.
Sanchez was on the bench for last night’s 0-0 Carabao Cup semi-final draw at Chelsea.
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