Swansea are aware they need to cash in on their starlet this summer as he has just one year left remaining on his contract.
The report claims United have yet to make a formal offer for the midfielder despite their interest.
Leeds very nearly signed James in January only for Swansea to pull the plug on the deal on deadline day.
And they could renew their interest if they are promoted to the Premier League.
Wales boss and Manchester United hero Ryan Giggs was full of praise for James earlier this season.
Man Utd transfer news: Daniel James is wanted by Ole Gunnar Solskjaer (Image: GETTY)
Man Utd transfer news: Ole Gunnar Solskjaer will overhaul his side this summer (Image: GETTY)
“He's a talent,” he said back in March.
“When you've got that raw pace, you're a threat at any level so as a winger, obviously for me playing as a winger, when I was younger, you then have to develop the other parts of your game which I feel he is doing.
“He's played up front as well which will help him because that gives you an appreciation of what you need to do.”
United finished their Premier League campaign with a humiliating 2-0 loss to Cardiff at Old Trafford.
Invalid email
We use your sign-up to provide content in ways you've consented to and to improve our understanding of you. This may include adverts from us and 3rd parties based on our understanding. You can unsubscribe at any time. Read our Privacy Policy
Man Utd signing James going back to Ferguson era claims Hislop
Man Utd transfer news: Paul Pogba could leave Old Trafford this summer (Image: GETTY)