The 18-year-old has attracted City's attention through his performances in Brazilian youth football.
He has scored five goals in eight appearances in 2026 across domestic and continental tournaments at Under-20 level, following a 2025 in which injuries disrupted his rhythm and limited his opportunities.
Spanish newspaper AS reports that talks between the clubs are continuing and relations between Palmeiras and the City Football Group are described as strong, which is expected to help smooth negotiations.
City's plan, if the move is completed, is to send Vinicius on an initial loan to Girona — the same development pathway used for Vitor Reis and previously for Savinho — to allow him to adapt to European football before a move to the Etihad.
Palmeiras are historically tough negotiators and have not publicly indicated what fee they would accept.
Vinicius has been playing above his age group within the Palmeiras academy since he was 17.
Despite the setbacks of last season, he has re-established himself quickly and is viewed internally as one of the academy's most promising forwards.
West Ham United have also been credited with interest in the teenager, but City's CFG infrastructure gives them a structural advantage in any bidding contest.