Sancho has been exiled from the first-team since August and has been made available for transfer this month with his feud with Erik ten Hag showing no sign of being resolved.
United’s preference is to offload the 23-year-old on a permanent basis with Juventus among the clubs monitoring the situation.
According to Sky Sports Germany, Dortmund have now made their move to re-sign the player they sold to United for £73million in the summer of 2021.
Dortmund want to sign the England international on a six-month loan deal with Sancho keen to return to the Westfalenstadion, where he developed into one of the most promising young players in Europe after arriving from Manchester City in 2017.
Bild also claim negotiations between the clubs are ‘nearing completion’ with Sancho expected to arrive at Dortmund’s training camp this week.
The German side would be expected to pay a loan fee for the player, with United continuing to pay a portion of his salary.
Sancho was dropped from the squad that lost to Arsenal in August with ten Hag explaining the winger had failed ‘to reach the highest levels’ in training.
Shortly after, Sancho hit back at his manager, denying his claims and insisting he had been made a ‘scapegoat’ by the Dutchman.
Sancho has not trained with the side since and has been banished from the first-team facilities.
Asked if Sancho has to leave in the January window, Ten Hag said last month: ‘So it is about a culture and every player has to match certain standards, and it was about that.
‘So what will happen there, he knows what he has to do if he wants to return. It is up to him. He knows what he has to do. It’s up to him.’
But with no apology forthcoming, Sancho’s time at Old Trafford looks to be over.
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