Bundesliga champions Bayern want to sign winger Sane to replenish their attacking stocks following the departures of Franck Ribery and Arjen Robben.
The German club's chairman, Karl-Heinz Rummenigge, suggested the 23-year-old will have to declare his interest in leaving the Etihad Stadium before a bid is lodged.
Amid the interest from the German champions, Goal understands City stepped up talks over negotiating a new contract with the former Schalke star, whose current deal runs until 2021.
"I don't feel like he is forcing a transfer, but in football anything can happen," Draxler said.
"I didn't ask him personally if he's going or not, but there have been some jokes. I've just said to him 'mia san mia' (Bayern's club motto) all the time in the last few days.
"When the media discusses a possible transfer of a great player like him, then you are curious.
"But you have to leave him alone and not ask him personally about what he will do. That would be too much.
"I think he would help Bayern a lot, like every other team in the world. I'm curious to know what will happen, but I think he looks happy at City and doesn't necessarily want to leave."
Draxler and Sane are set to share a pitch over the next few days as they attempt to help Germany past Belarus and Estonia in Euro 2020 qualifying.
The former is one cap shy of 50 for the national team and second only to captain Manuel Neuer for appearances among the current squad.
"We're on the path to building a completely new team with a new hierarchy," Draxler said.
"It remains to be seen who will take responsibility and put in the effort. There are many new players on the team.
"With [almost] 50 caps, I obviously have a certain level of experience, but far be it from me to say that I'll take over complete responsibility.
"Everyone has to help out in order for us to be successful again - that goes for me as well."