The 21-year-old has been struggling with injuries in the last 18 months and is expected to leave the club in January.
Liverpool are reportedly ahead of Monaco and Turkish outfit Trabzonspor in the race to sign the young striker.
City are reportedly looking for around £5million for the striker, who scored 20 times in 23 matches while on loan at Feyenoord in 2012.
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Since Guus Hiddink arrived at the helm, Chelsea have improved considerably after a tricky start to the campaign.
Newcastle United are staring down the barrel of relegation to the Championship for the second time in the past eight years.