Don Balon says United have bid €40 million for the Colombia international - but won't go higher.
Real president Florentino Perez is eager to sell, despite James' performance in the Copa last week, and wants closer to €60 million to part with the midfielder.
However, United refuse to budge, leading Florentino to test the water in China.
Indeed, Chinese Premier League reps have assured Florentino that clubs are willing to match the €80 million Real paid AS Monaco for James almost three years ago.
The problem, however, is that James has made it clear he will only leave Real for a top European rival.