The Argentine is said to harbor a desire to leave for another team where he is a regular starter.
However, journalist Ben Jacobs admits that it will not be easy for Alvarez to leave, as he has a long contract.
Jacobs stated: “Julian Alvarez is not a player Manchester City want to lose, but it’s clear he wants some guarantees over playing time. That makes the situation open.
“When players like Raheem Sterling and Cole Palmer went to Pep Guardiola and explained they wanted a new challenge, the Manchester City boss was very understanding. He might not be as accommodating with Alvarez given his importance to the team.
“Manchester City got £45m and £40m for Sterling and Palmer respectively, and Alvarez’s price tag would be significantly more. At the moment, there is no specific number, but £70m+ is understood to be the ballpark. There is concrete interest from Paris St-Germain, and they have the budget following Kylian Mbappe’s departure.
“Chelsea could be one to watch, but they haven’t yet made any kind of meaningful approach. I still sense Jhon Duran might be ahead of Alvarez given he’s cheaper and only 20.
"Chelsea have faith in Nicolas Jackson and Christopher Nkunku can be used as a false nine, so Chelsea’s recruitment team aren’t as worried as they perhaps were earlier in the year about adding someone already proven or Premier League-seasoned.”