The Reds were drawn to face the Citizens in Friday's draw in Switzerland. In the other three last eight encounters, Juventus meet Real Madrid, Sevilla take on Bayern Munich and Barcelona play Roma.
The first legs are set to be played on 3 and 4 April, while the return fixtures are scheduled in for 10 and 11 April. Meanwhile, Liverpool will host City in the first leg at Anfield.
Nonetheless, Klopp says his side will be ready to face Pep Guardiola's men and will be highly motivated for the clash. The Merseysiders are the only team to have beaten City in the Premier League in 2017/18.
The German told the club's official website: "I've said it before and it's still the truth, it's always common in a draw that you'll get your neighbour, more or less, but to be honest I don't mind, really.
"It is exactly like it was before – we take what we've got. Now it's Manchester City, let's go.
"We've lost once and we've won once against them in the league – and I don’t think they thought before the best draw they could have got is Liverpool. That's a sign for us and how strong we can be.
"We are for sure not the favourites in this round, but in the last eight there are not a lot of favourites - maybe two of them, Bayern and Barcelona – but thank God it's football and nothing is decided.
"We have a few games to play until then, but I am really looking forward to it and we will give it everything."
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