Dalot spent last season on loan at AC Milan and is believed to be keen on returning to the San Siro ahead of the 2021/22 campaign.
The Rossoneri are also interested in getting their hands on the Portuguese again and are believed to be keen on signing him on another loan.
However, Manchester United rejected a loan offer with an option to buy for Dalot from the Serie A giants recently and are still considering their options.
According to Italian outlet Calciomercato.com, for the moment they are not prepared to loan the defender out with an option to make the move permanent.
Dalot is scheduled to report for pre-season with Manchester United later this month and will hold talks with Ole Gunnar Solskjaer.
AC Milan have continued to be in touch with the Red Devils but for the moment, there is no breakthrough in negotiations.
Solskjaer wants to bring in a more attacking right-back this summer but Manchester United do not want to match Atletico Madrid’s asking price for Kieran Trippier.
The Red Devils could consider holding on to Dalot if they fail to secure a new right-back.