Sky television and The Athletic portal have reported City boss Ferran Soriano has informed Dortmund chief executive Hans-Joachim Watzke that they will activate a 75-million-euro (78.9-million-dollar) release clause in Haaland's contract.
Dortmund were not immediately reachable for comment but head of professional football Sebastian Kehl told the Sport1 programme 'Doppelpass' on Sunday that a transfer could be concluded this week.
A replacement for Norway's Haaland is already being lined up with Kehl hopeful a move for Germany international Karim Adeyemi, currently with Red Bull Salzburg will soon be completed.
Haaland himself switched to Dortmund from Salzburg early 2020 for 20 million euros.