The Whites came within a whisker of signing James from Swansea City in the 2019 January transfer window, but missed out and then saw Manchester United steal into snap him up in the summer of 2019.
Leeds are now back in the Premier League and want to bring in a winger before the transfer window slams shut in early October.
They are plotting a move to take James from Manchester United and believe that a fee of £12m plus add-ons could do the trick.
The Whites could though even consider a loan as they look to put him at the disposal of head coach Marcelo Bielsa.
Bielsa is claimed to be a big fan of Wales international James.
It remains to be seen if Manchester United will be willing to play ball by sanctioning the departure of a player they paid £18m for last year.
James turned out for Manchester United in their shock 3-1 home loss to Crystal Palace on Saturday.