A 10-0 aggregate victory over Burton Albion saw City saunter into February’s final.
They are back at Wembley in this competition for the third time in four years, having swatted Arsenal away to lift the trophy last year.
Chelsea meanwhile trailed to Tottenham after the first-leg of their all-London affair.
But goals from N’Golo Kante and Eden Hazard hauled them back into the contest with David Luiz scoring the decisive spot kick in a thrilling penalty shoot-out.
Maurizio Sarri is in a final in his first season in English football and is out to win his first piece of silverware as a manager.
Chelsea and Manchester City will go head to head in the Carabao Cup final at Wembley on Sunday, live on Sky Sports.
Pep Guardiola’s side won the competition last year and will be looking to defend their title for the first time,
while a final win would ease the pressure on Maurizio Sarri and Chelsea.
The game will come two weeks after their last meeting in the Premier League,
in which Manchester City ran away with a 6-0 victory, but Guardiola does not think the game will have a bearing on Sunday’s result.
Chelsea made it into the last 16 of the Europa League on Thursday,
but Maurizio Sarri says his side cannot make the same sluggish start on Sunday as they did against Malmo at Stamford Bridge.
Team News of Chelsea vs Manchester City
Chelsea goalkeeper Kepa Arrizabalaga is a doubt due to a hamstring injury.
Willy Caballero could deputise against his former club if Kepa, who missed Thursday’s Europa League win over Malmo, is not deemed fit.
David Luiz, Eden Hazard, Gonzalo Higuain and Marcos Alonso did not play against Malmo but should come into the side at Wembley,
while full-back Davide Zappacosta and winger Pedro could be in the squad following illness.
Provisional squad: Kepa, Caballero, Rudiger, Alonso, Jorginho, Kante, Barkley, Higuain, Hazard, Pedro, Kovacic, Hudson-Odoi, Giroud, Zappacosta, Willian, Christensen, Azpilicueta, Luiz, Emerson Palmieri, Ampadu, Hudson-Odoi, Cumming.
Man City have doubts over John Stones, Gabriel Jesus, Benjamin Mendy and Fabian Delph.
Defender Stones (groin) and striker Jesus (hamstring) will both be assessed after missing the midweek Champions League win at Schalke.
Defender Mendy continues to struggle with a knee problem and midfielder Delph has had a number of niggles and suffered illness in recent weeks. Goalkeeper Claudio Bravo (Achilles) is out long term.
Provisional squad: Ederson, Muric, Danilo, Walker, Stones, Otamendi, Kompany, Laporte, Zinchenko, Gundogan, Fernandinho, De Bruyne, D Silva, B Silva, Sterling, Sane, Mahrez, Foden, Aguero, Jesus.
Chelsea XI: Caballero, Azpilicueta, Rudiger, Luiz, Alonso, Kante, Jorginho, Barkley, Willian, Higuain, Hazard
Man City XI: Muric, Walker, Kompany, Laporte, Zinchenko, Fernandinho, Gundogan, De Bruyne, Bernardo, Sterling, Aguero
Score prediction | Chelsea 1-2 Man City
TV channel and live stream online coverage
The match will be shown live on Sky Sports’ Football and Main Event channels, and is available via Now TV with a day pass on offer for £7.99.
Sky Sports subscribers can stream the match online via SkyGo and the SkyGo app.
You can also follow the match NewGersy Sport.
Chelsea and Man City have only met once before in the League Cup, with City winning that clash 1-0 back in October 1993.