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City beat the Reds 2-1 in the Premier League six weeks ago and will hope to pile more misery on Jose Mourinho's side.
Gundogan missed that game through injury and could possibly be rested for this game, but if he does take part, he is expecting fireworks at Old Trafford in what both teams will feel is a must-win game given recent form. City are without a win in five, while United come into the game following a 4-0 defeat at Chelsea in the Premier League.
"I think it will be a great game," said Gundogan.
"It’s a cup game – that makes it special anyway – but the fact it is United and everything that goes with a Manchester derby for the fans and the city gives it that extra edge.
"It has a huge meaning for Manchester, England and maybe the whole world will be watching and we will look to repeat the victory and the performance from earlier this season."
The former Borussia Dortmund star admitted United's 4-0 defeat to Chelsea could mean United fly out of the blocks on Wednesday evening in attempt to blow away the cobwebs, but added City are trying to get back to winning ways, too.
"Their defeat could be a factor, but it is the same for us because we’ve not won for five games," he said.
"Of course, we want to win this game and because we both are looking to get the win that will get us back on track so it could be a very lively game! Plus we are the holders of this cup and want to retain the trophy if we can, but it will be a very difficult tie for us."
That was exactly what happened this weekend when Fernandinho replied to a fan in Brazil and invited him to be his mascot during the game against Southampton.
The Brazilian agreed to join City from Palmeiras in the summer – but he won’t join up with his new team-mates until the Brazilian league season is finishes in December.