Manchester United boss Ole Gunnar Solskjaer has reportedly assured Fred that the Brazilian midfielder will be in his plans for the 2019-20 campaign.
Fred joined United last summer in a big-money move from Ukrainian outfit Shakhtar Donetsk.
The 26-year-old failed to impress in his first season in the Premier League, contributing just one goal in 25 appearances in all competitions for the English giants.
The Brazil international was a regular in the latter stages of the campaign, though, playing in seven of the team's final 11 Premier League matches.
According to The Sun, Solskjaer has had 'a couple of telephone conversations' with Fred in recent weeks where the head coach has assured the South American that he has a future with the Red Devils.
United will continue their preparations for the 2019-20 campaign with a clash against English rivals Leeds United in Perth on Wednesday.