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City has not finished below its illustrious neighbour in the Premier League since United's most recent league title in 2012-2013, winning three subsequent top-flight crowns itself.
Two of those came under Guardiola, United finishing a distant second in 2017-2018 as City racked up a record-breaking 100-point haul.
The sides also met at the same stage of the Carabao Cup last season, as City prevailed en route to a third consecutive Wembley success in the competition, although there have been signs that the local argument is starting to turn of late.
“United has always been a big club," Guardiola said. "When I faced them with Barcelona, Bayern Munich and here, it was always important.
"It is a rivalry in the city and for many decades United was above Manchester City. For us, we are incredibly proud and it is an honour for the last decade to be there with them and sometimes win, most of the times, and sometimes lose."
A 3-1 first-leg triumph in last season's semi-final is City's only victory in the most recent five Manchester derbies.
United restored pride and caused nerves to jangle with a 1-0 win at the Etihad Stadium as Nemanja Matic scored and was sent off in the return game, while also completing a Premier League double in 2019-2020 either side of those matches.
Both teams have hit more impressive form since December's turgid 0-0 draw at Old Trafford in their most recent encounter, although it is United which sits level on points with champion Liverpool at the summit and has a chance to go top if it avoids defeat against Burnley next week.
"They have always been contenders," Guardiola said. "Every year, when we start the season, United is a contender.
"If it didn’t happen in the last few seasons, it is a question for them. It is no different facing United or other contenders."
City turned in a majestic performance as it dispatched Chelsea 3-1 at the weekend - a performance that was all the more impressive after a coronavirus outbreak robbed them of six first-team players.
Kyle Walker and Gabriel Jesus have completed 10 days of self-isolation after having positive tests confirmed on Christmas Day, but Ederson, Ferran Torres, Eric Garcia and Tommy Doyle will remain unavailable at Old Trafford for a one-off encounter - the EFL having ditched its usual two-legged format to ease fixture congestion.
“We don’t have many players. To play one or two games is okay but if this sustains for a long time and I can only use 14 or 15 players it will be more difficult," Guardiola said. "Like everyone in the world, we adapt, you have to adjust our lives and our professions as much as possible and we don’t have an alternative.
"The most important thing is that the guys who have COVID can recover well and the guys handle it well and try to avoid it as much as possible."
City will be in action for the first time since the death of club great Colin Bell, who passed away after a short illness, aged 74.
Players past and present lined up to pay tribute to Bell, with former City captain Vincent Kompany tweeting: "So very sad to hear [of] Colin Bell's passing. Heard all about The King!
"A true Manchester City legend. This man was on another level, if only I could have seen him play. Incredibly kind and humble when I met him."