Alejandro Garnacho came off the bench to send Man United ahead in the 82nd minute, but Bernardo Silva levelled the scores in the 89th minute, and Pep Guardiola's side then won the shootout 7-6.
Jadon Sancho and Evans missed for Man United, while Bernardo was denied for Man City, with the Premier League champions gaining some sort of revenge for their FA Cup final loss to Erik ten Hag's team.
Here, Sports Mole picks out seven talking points from a Man United point of view, as the 20-time English champions fell just short in the showpiece event at Wembley Stadium.
Garnacho shows his class in cameo appearance
Garnacho started the 2024-25 campaign as he ended last season - finding the back of the net against Man City. The Argentina international was only on the pitch for the final 30 minutes, but he demonstrated his class with an excellent goal and was also a scorer in the penalty shootout.
The 20-year-old scored 10 times in all competitions at club level last term, but he should be able to move comfortably past that total in the coming campaign.
Garnacho has the arrogance and ability to become a superstar for Man United over the next few years, and Ten Hag has no choice but to name him in the XI against Fulham on Friday evening despite the fact that Saturday's game proved to be his first club appearance since the FA Cup final.
The forward should also have had an assist to his name in the Community Shield, but Marcus Rashford passed up a gilt-edged chance when he struck the post from inside the box.
Rashford needs more one-on-one sessions with Van Nistelrooy
One of Man United's best-ever finishers Ruud van Nistelrooy has joined the coaching staff at Old Trafford, and it is understood that he has been working closely with Rashford.
The England international was bright for spells of the contest against Man City, but he curled an excellent chance wide of the post in the first period and then hit the woodwork when he should have scored in the second.
Finishing is a skill that can be improved, and Man United will be hoping that Van Nistelrooy can help Rashford rediscover his form from the 2022-23 campaign.
Rashford did not take a penalty in the shootout, as he was replaced in the 83rd minute by Sancho, who was one of two Man United players to miss in the conclusion to the match.
There has been speculation surrounding Rashford's future this summer, but he looks almost certain to stay, and there is huge pressure on the 26-year-old to improve this term.
Ten Hag made to pay for surprising Amass omission
With Luke Shaw and Tyrell Malacia both absent, there was expected to be a start at Wembley for 17-year-old Harry Amass considering his huge involvement in pre-season.
Instead, Lisandro Martinez started at left-back, with Amass not even in the squad, but that decision from head coach Ten Hag proved to be costly in the latter stages.
Indeed, Facundo Pellistri bizarrely finished the game at right-back, with Diogo Dalot going to the opposite side.
Pellistri was beaten by Bernardo in the air for Man City's leveller, and he looked shaky in defence, with the Uruguay international clearly not comfortable in that area of the field.
Man United are on the verge of signing Bayern Munich duo Noussair Mazraoui and Matthijs de Ligt, which will significantly boost their defensive options, but Amass's absence on Saturday was a big surprise, as he could have easily been introduced at left-back and allowed Dalot to start and finish on the right.
Sancho may have now played his final game for Man United
Sancho has managed to patch-up his relationship with Ten Hag, which looked incredibly unlikely earlier this summer, but the Englishman is still being heavily linked with a departure before the window closes.
Paris Saint-Germain are said to be keen, and it is highly likely that Man United will sell if they receive a suitable offer in the latter stages of the market.
Sancho was not considered for a start in the Community Shield, only being introduced in the 83rd minute, and he struggled to make his mark before having his penalty saved by Ederson in the shootout.
His absence from the starting side was telling, particularly with Rasmus Hojlund injured and Joshua Zirkzee an unused substitute, and he could now have played his final match for the club.
"He's a very good penalty taker and I had and I have no doubts to let him score a penalty and also in the future he will take penalties," Ten Hag said in his post-match press conference, but a lot of damage was done last year, and cutting ties is still the best outcome for both parties.
Man United are close to double defensive signing
After the Community Shield, Ten Hag was asked about the imminent deals for Mazraoui and De Ligt.
"No, I can't," said the manager when asked if he could provide an update on the potential double arrival. "When we have some news, we will announce it. Until that point, we will work with the squad that is available.
"It's clear we have the problems (in defence) and we have to work. The players have to work to be available and the staff have to work. Together it should be a good collaboration with the players who are available."
Leny Yoro's foot injury was a huge setback for Man United, with the centre-back out until November, and although Evans has been an incredible servant to the club, even last season, the Northern Ireland international cannot again be relied upon in the new campaign.
Mazraoui and De Ligt will be strong signings for the 20-time English champions, and both could potentially be on the squad list for the team's Premier League opener against Fulham.
Amad sends message to Ten Hag
Amad Diallo has been one of Man United's best players during pre-season, and he sent another strong message to Ten Hag in the Community Shield on Saturday afternoon.
The Ivory Coast international was at the heart of Man United's passing exchanges, and he almost set up Mason Mount for what would have been a stunning first-half goal.
Amad also showed excellent feet inside a crowded box before missing the target in the opening 45 minutes, and it would now be a surprise if he was not in the starting side against Fulham on Friday night.
Garnacho has to play, but with Hojlund injured and Zirkzee yet to debut for the club, Ten Hag has no choice but to select Amad, who is rightly now ahead of Anthony in the pecking order at Old Trafford.
The 22-year-old showed glimpses of his quality towards the end of last season, and this now has to be his breakthrough campaign for the 20-time English champions.
Man United need a holding midfielder
In fairness to Casemiro, he was one of Man United's better players at Wembley, finishing with a pass success rate of 84%, in addition to winning seven tackles. However, there remain concerns over his mobility, and his best work is coming from an attacking point of view.
Casemiro will likely stay at Old Trafford unless there is an offer from the Saudi Pro League, and there can still be a role for him next term, but Man United need to bring in a specialist central midfielder.
It is understood that talks with PSG over a potential deal for Manuel Ugarte are still ongoing despite claims that the Red Devils had moved away from the Uruguay international.
Man United need a mobile holding midfielder who is strong on the ball, and Ugarte fits the brief.
Deals for De Ligt and Mazraoui are now secure, and with that in mind, central midfield has to be the priority before the end of the transfer window, with Ugarte the ideal acquisition.